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HomeMy WebLinkAboutCO 514 ( I~'" , Conservation 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. S L 4=- Conservation Order Category Identifier Organizing (dol1e) RESCAN DIGITAL DATA OVERSIZED (Scannable with large plotter/scanner) 0 Color items: 0 Grayscale items: 0 Poor Quality Originals: 0 Other: 0 Diskettes, No. 0 Maps: 0 Other, No/Type 0 Other items OVERSIZED (Not suitable for plotter/scanner, may work with 'log' scanner) 0 Logs of various kinds 0 Other NOTES: BY: ROBIN6> DATE 3/ q/ () LJ TOTAL PAGES /fO- /s/ ~ Scanning Preparation BY: ROBIN ~ Production Scanning DATE ôh /0 L{ /s/ VI1P Stage 1 PAGE COUNT FROM SCANNED DOCUMENT: PAGE COUNT MATCHES NUMBER IN SCANNING PREPARATION: _YES _NO BY: ROBIN MARIA DATE: /s/ Stage 2 IF NO IN STAGE 1 PAGE(S) DISCREPANCIES WERE FOUND: - YES NO BY: ROBIN MARIA DATE: /5/ (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 Cornments about this Document: 5/21/03 ConservOrdCvrPg.wpd ~ :( { ~ \ INDEX CONSERVATION ORDER NO. 514 Kuparuk River Unit 3F-19A 1. January 16, 2004 2. January 29, 2004 3. January 16,2004 CPA's Application for Spacing Exception 3F-19A Notice of Hearing, Affidavit of publication, e-mail Distribution list, bulk mailing CP A Applications w/attached list of co-owners Conservation Order 514 (' (' STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage AK 99501 Re: THE APPLI CA TI 0 N OF ConocoPhillips Alaska, Inc. for an order granting an exception to spacing requirements of Rule 3 of Conservation Order 432B to provide for the drilling and operation of the Kuparuk . River Unit 3F-19A Production well. IT APPEARING THAT: ) Conservation Order No. 514 ) ) Kuparuk River Field ) Kuparuk River Unit ) Kuparuk River Oil Pool ) ) Kuparuk River Unit We1l3F-19A ) ) March 5, 2004 1. ConocoPhillips Alaska, Inc. ("CP AI"), by letter dated January 16, 2004 and received by the Alaska Oil and Gas Conservation Commission ("Commission") that same day, requests exception to the well spacing provisions of Rule 3 of Conservation Order No. 432B ("CO 432B") to allow drilling and operation of the Kuparuk River Unit ("KRU") 3F-19A oil production well to a location within the same governmental quarter section as another well capable of producing from the Kuparuk River Oil Pool. 2. Notice of opportunity for public hearing was published in the Anchorage Daily News on January 29, 2004 pursuant to 20 AAC 25.540. 3. No protests to the application or requests for hearing were received. FIND IN GS: 1. The KRU 3F-19A production well will be drilled as a deviated hole with a surface location 124 feet from the east line and 37 feet from the south line of Section 19, T12N, R9E, Umiat Meridian ("UM") to a bottomhole location 816 feet from the east line and 302 feet from the north line of Section 19, T12N, R9E, UM. This bottomhole location lies near the center of State Lease ADL 25632, and more than 500' away from the nearest lease or unit boundary. 2. Well spacing in Section 19, T12N, R9E, UM is regulated by Rule 3 of Conservation Order 432B ("CO 432B"), which supersedes statewide spacing requirements of20 AAC 25.055. Rule 3 of CO 432B states in part: "Not more than one well may be drilled on any governmental quarter section or governmental lot corresponding to it.." Conservation ordel .J. 514 Page 2 of 3 March 5, 2004 (' As proposed, KRU 3F-19A requires an exception to Rule 3 of CO 432B, as it will be the third well bore open to the Kuparuk Oil Pool within the northeast governmental quarter section of Section 19. 3. The location of the KRU 3F-19A 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 KRU 3F-19A well have been notified. CONCLUSIONS: 1. An exception to the well spacing provisions of Rule 3, CO 432B is necessary to allow the drilling and operation of the KRU 3F-19A production well. 2. Granting the requested spacing exception for the KRU 3F-19A 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. NOW, THEREFORE, IT IS ORDERED: CP AI's application for exception to well spacing provisions to allow the drilling and operation of the KRU 3F-19A production well is approved. DONE at Anchorage, Alàska an . N , Chair £1. . a...., ka Oil and Gas Conservation Commission , ~ ....~ . ..,/ Daniel T. Seamount, Jr., Commissioner Alaska Oil and Gas Conservation Commission 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 Ciri Land Department PO Box 93330 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Departm ent PO Box 129 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 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 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 ( /lÞ#d q/yby 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 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 Darwin Waldsmith PO Box 39309 Ninilchick, AK 99639 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 CO 514 (' (' Subject: CO 514 From: Jody Colombie <jody_colombie@admin.state.ak.us> Date: Fri, 05 Mar 200408:50:19 -0900 To:Cynthia~Mciver <bren-- mcîver@àdrnin.state~ak.us> Thanks Bren Jody Colombie <jody colombie@admin.state.ak.us> Special Staff Assistant Alaska Oil and Gas Conservation Commission Ii Department of Administration i¡ Content- T,'pe: appJ ication':ms\\'ord I CO5 t 4.doc . Content-Encoding: base64 ._- ...------- --... d__._._---- ..--------..-- m.. ----.-- 1 of 1 3/5/20048:50 AM Notice Happy Valley #6 and CO 514 ( f Jody Colombie <jody colombie(Q}admin.state.ak.us> lof2 3/5/2004 8:50 AM #3 spacing exception for 3 F -19 A l' (" " Subject: spacing exception for3F-19A From: Bill Van Dyke <bilI_van_dyke@dnr.state.ak.us> . . Date: Thu,04Mar200408:21 :23 -0900 . I , . " . ,", , " ' , To:' "Allsup-Drake, Sharon'K" <Sharon;K.Allstip~Drake@conocophillips.com> CC: "Steve _Davies@Admin. State. Ak. Us". <s~eve ~ davies@ad~~state.ak. us> ,.", " , DNR has no objection to this well and the spaclng exception. Bill Van Dyke Division of Oil and Gas 907.269.8786 -----Original Message----- From: Allsup-Drake, Sharon K [mailto:Sharon.K.Allsup-Drake@conocophillips.com] Sent: Wednesday, March 03, 2004 4:22 PM To: bill van dyke@dnr.state.ak.us Cc: McLure, Kelly Subject: notification of spacing exception for 3F-19A Mr. Van Dyke - this email is to notify you of our intention to request a spacing exception for the Kuparuk well 3F-19A from AOGCC. If you do not object to this request, please return this email stating that you do not object. I will then forward to AOGCC. Thanks, Sharon office phone: 263-4612 fax: 265-6224 1 of 1 3/4/2004 9:27 AM ,. .,,~,.I I . , :' -.: . \ rtJ rtJ U1 n1 U1 0 0 0 Return Rociept Fee (Endor::;ernent Required) Postage $ Certified Fee 1.75 0 Restricted Delivery Fee U1 (Endorsement Required) .., n1 Total Posta¡¡e & Fees $ 4.65 rtJ 0 Sent To ~ IYk:. -fç~r:.~ :\'k~JÆ f__- Çb~ .~- _O?_~~nv:_:$~~- 0'- -- --*'~ Ç.-~. - -- -,.- I - Street, Apt, No,; . ~:- ~?- ~~~ -~~: -- JJ --~- L\ - -" .?:_L -~-~ -~..~:~-~-~~t~--_P._!:_: -- ___n- --.-.. 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(Extra Fee) 0 Yes 7002 3150 0005 3522 7998 1 02595-02-M-1 035 M"~""_'-~~".."""~_."'~'-"~"""""""""'-""""-'-"'-""""'."'"..,.""""".."..""",,',, """"".""'.""!'"' ~~"'..,,"~_. Domestic Return Receipt ,~ J( ( Steve - Attached are all the receipts for the notification of the 3F-19 spacing exception we sent to the co-owners. Sharon Drilling and Wells ConocoPhillips Alaska, Inc. 263-4612 RECEIVEiJ' FEB 1 3 2004 Alaska Oil & Gas Con~, Cnmmí~i~¡ùn , Ao.c.horag~; KRU well # 3F-19A Page 1 of 1 (' ( Allsup-Drake, Sharon K From: Forsthoff, Gary (GMFO) [GMFO@chevrontexaco.com] Sent: Wednesday, February 11, 2004 9:49 AM To: Allsup-Drake, Sharon K Subject: KRU well # 3F-19A This e-mail shall serve as verification that I have received the "Notice of Request for Exception" for KRU well 3F- 19. GM Forsthoff Chevron Texaco Alaska Assets PO 8 36366 Houston, TX 77236 281 -561-3583 281-561-3592 FAX gmfo @ chevrontexaco.com 2/11/2004 Co-Owner List & Spacing Exception 3F-19A ( (' Sllbj~ç~::Ç;Ø+9WÞ~f::Lì$t&. 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Date: Wed, 04 Feb 2004 19:02:UQ.';O60()", ,,'.:, '..,.:',." , , T", ~';",',,<'f,<.<~, ,;'J, YJ,,~,'< ";'iP~:1:~'fi!:', )i13~,:(~!,~;;,~,:,\.1:,'.,'h:'l:i,i,«',E" , !'¡:'~'k:!a:x~'l" ~,ì,i:,;,'~<':,',",:,¡',:~~'~, ~,{;:;t."~:','O:~,";:,'~~':",;5':~,':';',:~" :¡:'~~,sÇ;,'rÆ,,""¡'¡':í,'~~;;;;..;,,"':';~;",;:':",':/;~;;:'t"',"";: ;;~ 1;;':,'\'; ~:,;,In:'~~,.',;','r,¡,:,~,$',:":;\ :,',' "i".',',':,';',{,,:;-,:,;",\:r,'¡',:':','~, :;', ,\,",'~:;:,',:},:;:,",',_,", Fr::,',:',,"',:,",'/>-',\<:""¡i,;},~.':,,: <~}~"~i::~~:~~I-~~~~\~:~¥!R~;:,,, ',~~m. }_.)~ '~;~<S,~~~9~H~¥!.@.,~~~~.~:~~,~, .~:~~~!1~::}~~~.t\'::-;":?~~:~~~';',:J:::\:: ~.,:::,¡r:::~:!i:'}:;,F'~,;L::;~:;}~;,,~: "i,\~::~,~ «3F-19A SPACING EXCEPTION LETTER. doc» 2.doc» > > «co-owner list.doc» > > «co-owner list Mr. Davies, Please find the attached documents with the 3F-19A spacing exception letter and the other attachments containing lists of the Co-Owners for the 3F-19A sidetrack well. Any further questions please contact me at 907-265-6059. Regards, Kelly McLure Kelly McLure Kuparuk Drilling Drilling & Wells Anchorage 907-265-6059 (0) 907-265-1535 (f) Engineer 1 of 1 2/5/2004 8:51 AM .~( ConocoPtì í IIi ps ( Post Office Box 100360 Anchorage, Alaska 99510-0360 Randy Thomas Phone (907)265-6830 Fax: (907) 265-1535 Email: rlthomas@ppco.com January 16, 2004 Sarah Palin, Chair Alaska Oil and Gas Conservation Commission 333 West ih Avenue Suite 100 Anchorage, Alaska 99501 (907) 279-1433 Re: Application for Spacing Exception, producer sidetrack 3F-19A Dear Commissioner Palin: ConocoPhillips Alaska, Inc. hereby applies for a Spacing Exception an onshore production well, KRU 3F- 19A, a development well. The proposed 3F-19A is designed as an infill Kuparuk A and C sand producer. This new well will recover A and C Sand waterflood and enhanced oil recovery (EOR) reserves that are located in a fault isolated area. Combined incremental Kuparuk A and C Sand reserves are 1.79 MMSTBO, where 129 MSTBO are incremental EOR recovery. The waterflood and EOR reserves cannot be recovered until we add an active producing well to the well pattern configuration. The requested exception refers to the well spacing requirements specified in Rule 3 of Conservation Order 4328, which states: "Not more than one well may be drilled on any governmental quarter section...", because the prospective pay interval in 3F-19A will lie within the NE 1/4 of Section 19, T 12N, R9E, U.M., and that 3F-19A will be the second well drilled within that particular quarter section (the other well being the existing 3F-13A production well). Property line considerations do not apply, as the 3F-19A well bore will be in the main portion of the Kuparuk River Unit, and therefore will be more than 500 feet from a property line where ownership or landownership changes. Offset well distance requirements do no apply because the 3F-19A well bore will lie more than 1000 feet from other wells completed within the pool. The 3F-19A sidetrack targets Section 19, T12N, R9E in order to potentially produce unswept A-sand oil on the Westside of the injection pattern. We believe A-sand oil is trapped against a north-south trending fault located on the west side of the injection pattern. Adjusting the directional profile to move the productive interval completely out of the northeast quarter of Section 19, T12N, R9E will compromise the original purpose of drilling this infill producer. Moving the contacted productive interval into either Section 18 (to the north) or Section 20 (to the east) will cause the well to potentially intercept mapped fault zones in those areas, resulting in faulted out pay intervals and/or loss of pressure support from 3F-20 due to fault isolation. Even though we will run the completion prior to rig release, we do not intend to produce or test the well until we receive the spacing exception. Please find attached for the review of the Commission the information required by 20 MC 25.055 (d). We have included a plat showing the location of 3F-19A, all other completed and drilling wells on the property, and all adjoining wells within 1,000 feet. Also included is a copy of the notices sent by certified mail to our co-owners and the affidavit verifying that all facts are true. If you have any questions or require any further information, please contact Kelly McLure at 265-6059. Please find attached the list of Co-Owners for the 3F-19A sidetrack well. Sincerely, Randy Thomas GKA Drilling Team Leader ( JUN-2?-2ØØ3 13:06 EXECUTIVE OFFICE (' 9Ø? 263 4438 P.01 KUPARUK RIVER UNIT WORKING INTEREST OWNERS. COMMITTEE Chairman :D ~. J:,¡ li3 @;1itoJ ) J. A. LeeF\£ (Joe) ConocoPhillips Alaska, Inc. / 700 "G" Street! ATO.21 00 (Zip 99501) P. O. Box 100360 Anchorage, AK 99510.0360 (907) 263.4431 Fax: (907) 263-4438 Email: i.leone@conocoohillios.com x Representatives J. A. Leone (Joe) ConocoPhillips Alaska, .Inc. 700 KG" Street! A TO-21 00. (Zip 99501) P. O. Box 100360 Anchorage, AK 99510.0360 (907) 263-4431 Fax: (907) 263w4438 Email: j .leone ~ conocoph illios.com ]). d,(()!{,ð,{ f'Ix,J) ~G. Y. Birrell (Gorõâ'n) BP Exploration (Alaska), Inc. 900 E. Benson Boulevard (Zip 99508) P. O. Box 196612 (MB4-2) Anchorage, AK 99519-6612 (907) 564-5240 Fax: (907) 564-4264 Email: birrelav@ bo.com G. M. Forsthoff (Gary) I Chevron U.S.A. Inc. 11111 So. Wilcrest Dr. (Zip 77099) P. O. Box 36366 Houston, TX 77236 (281) 561-3583 Fax: (281) 561.3592 Email: ~hevrontexaco.com Unit Secretary K. H. La Bau (Kay) ConocoPhillips Alaska, Inc. 700 "G" Street! ATO-1475 (Zip 99501) P. O. Box 100360 Anchorage, AK 9951 0-0360 (907) 265-6114 Fax: (907) 263-4966 Email: kav.h.labau @ conocoQhillios.com Alternates D. P. Kruse (Dan) ConocoPhillips Alaska, Inc. 700 lOG" Street! ATO.1220 (Zip 99501) P. O. Box 100360 Anchorage, AK 99510-0360 (907) 265-1315 Fax: (907) 265.6133 Email: dan,o.kruse@conocophillios.com F. A. McCorkle (Frank) BP Exploration (Alaska), Inc. 900 E. Benson Boulevard (Zip 99508) P. O. 80x 196612 (MB4-2) Anchorage, AK 99519-6612 (907) 564-5592 Fax: (907)564-4264 Email: mccorkfa@bp.com S. Schwartz (Steve) Chevron U.S.A. Inc. 11111 So. Wilcrest Dr. (Zip 77099) P. O. 80x 36366 Houston, TX 77236 (281) 561.4735 Fax: (281) 561-3592 Email: steve.schwartz'-.g,hevrontexaco.com Any chsJnglS please COÐØlCr ICq I..dtlu (oØ7) 26S-6". "'vised Mitch oW. :IOfn ( ( KUPARUK RIVER UNIT WORKING INTEREST OWNERS' COMMITTEE (Continued) x ReDresentatives 'J. P. Williams. Jr. (Jack) ExxonMobil Alaska Production. Inc. 3301 "C" Street 14th Floor (Zip 99503) P. O. Box 196601 Anchorage. AK 99519-6601 (907) 564-3689 Fax: (907)56~3677 Email: :x J. MacArthur (Jack) Union Oil Company of California 909 West 9th Avenue (Zip 99501) P. O. Box 196247 Anchorage. AK 99519-6247 (907) 263-7964 Fax: (907) 263-7828 Email: iDJgJ1hur@unocal.com 1 Exxon requests no mailouts except to M. M. Veta Alternates M. M. Vela (Marc) ExxonMobil Alaska Production, Inc. 3301 .C" Street I 4th Floor (Zip 99503) P. O. Box 196601 Anchorage, AK 99519-6601 (907) 564-3770 Fax: (907) 564-3705 Email: marcos.m.vela@exxonmobil.com Union Oil Company of California 909 West 9th Avenue (Zip 99501) P. O. Box 196247 Anchorage. AK 99519-6247 (907) Fax: (907) Email: Any ching.. plNU COntBt Kay Lø Bau (907) 26U11~ RtJvlnd MI/fCh H, 2ØtJ3 TOTAL. P.Ø2 #2 STATE OF ALASKA (NOTICE TO PUBLISHER ( ADVERTISING ORDER NO. ADVERTISING INVOICE'IVI".:>T BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., IFIED AO-O2414020 ORDER AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COpy OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE f, 'SI;EpØTT()""':iFØ~iIN\l:()løl$~ )I)Re~si,' ":""""':","""'"",.":,'/,:',":::'::,,,:>;,,,':>:\",,';,',: F AOGCC AGENCY CONTACT DATE OF A.O. R 333 W 7th Ave, Ste 100 Jodv Colombie J anuarv 27. 2004 0 Anchorage, AK 99501 PHONE PCN M (YUf) 7Qi -1')') 1 - DATES ADVERTISEMENT REQUIRED: T Anchorage Daily News January 29, 2004 0 POBox 149001 Anchorage, AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: STOFO330 Advertisement to be published was e-mailed Type of Advertisement X Legal D Display D Classified DOther (Specify) SEE A TT ACHED SEND INVOI,CE IN TRIPLICATE AOGCC, 333 W. 7th Ave., Suite 100 PAGE 1 OF TOTAL OF TO Anchorage, AK 99501 2 PAGES ALL PAGES$ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 3 4 FIN AMOUNT Sy CC PGM LC ACCT FY NMR DIST LlO 1 04 02140100 73540 2 I/ ? // } I'll If 3 .. 4 ,~, ^ a v ~ / 'V REQUISITIONED BY( )1 J(Q ~'S~hvU1 ~' lf71 L{) / \. ~ / '---" v ( / L/'( J / V '-"'" 02-902 (Rev. 3/94) Publisher/Original Copies: Department Fiscal, Department, Receiving AO.FRM { f Notice of Public Hearing ST ATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of ConocoPhillips Alaska, Inc. ("ConocoPhillips") for a spacing exception to allow the production of the KRU 3F-19A oil development well in accordance with 20 AAC 25.055. ConocoPhillips by letter dated January 16, 2004 and received by the Alaska Oil and Gas Conservation Commission ("Commission") on January 16, 2004, has requested the Commission to issue an order in conformance with 20 AAC 25.055 allowing regular production of the KRU 3F-19A oil development well, which will be the third well open to the Kuparuk River Oil Pool within the NE 1/4 of Section 19, T12N, R9E, Umiat Meridian ("UM"). The surface location of the proposed well is 37 feet from the south line and 124 feet from the east line of Section 19, T12N, R9E, UM. The proposed bottomhole location is 302 feet from the north line and 816 feet from the east line of Section 19, T12N, R9E, UM. The Commission has tentatively set a public hearing on this application for March 2, 2004 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West ih 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 February 13, 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 ConBervation Commission at 333 West ih Avenue, Suite 100" Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on March 1,2004. If you are a person with a disability h to comment or to attend the pu . later than February 18, 200 . need a special modification in order ontact Jody Colombie at 793-1221 no Published: January 29, 2004 ADN: AO 02414020 inCh orage Daily News Affidavit of Publication ( 1 129/2004 1001 Northway Drive. Anchorage. AK 99508 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD# DATE PO ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 62272 01/29/2004 02414020 STOF0330 $175.20 $175,20 $0.00 $0,00 $0.00 $0,00 $0,00 $175.20 STATE OF ALASKA THIRD JUDICIAL DISTRICT RECE\VEO rEa 1 0 [004 . Comm;5S\O\'\ n'~ &. G~S COOS. Mas\i.a v~ ~"c"o{aQe Notice of Public Hearing 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. STATE OF ALASKA Alaska 011 and Gas Conservation Commission Re: The application of ConocoPhi llips Alaska, Inc. ("ConocoPhillips") for a spacing exception to allow the production of theKRU 3F-19Aoll development well in accordance with 20 AAC 25.055. 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 Anchora¡?;e, 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 al1I).exed 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. ConocoPhlllips bY letter dated January 16, 2004 : and received by the Alaska Olland.GasConserva- I tlon Commission ("Commisslon") on January 16, , 2004, has requested the Commlssion'tQissueòn or- , der In conformance with 20 AAC 25.055 allowing regular production of the KRU 3F.19A oil develop- ment well, which will be thethirdweU open to the Kuparuk River Oil Pool within the'N'E 1/4 of Sec- I tion 19, T12N, R9E, Umiat Meridian ('~UM"). The' surface location of the proposed well is 37feet i from the south line and 124 feetfromthe eåsf line I of Section 19, Tl2N, R9E, UM. The proposed bot- I tomhole location is 302 feet fromfhe north line and 816 feet from the east line of Section 19, Tl2N, R9E, UM. The Commission 'has tentatively set, a public hear- I ing on this apPlication. .for March 2, 2004 at 9:00 am I at the Alaska 011 and Gas Co'nservation Commis- sion at 333 West 7th Avenue, Suite .lOP, Anchorage,; Alaska 99,501. A pe'rson may request that the tentä- tiv,ely scheduled hearing be held by filing a writ- teh.request.with the Commission no later than 4:30 I pm on February .13, 2004. ' , Signed If a. request for a hearing is not timely filed, the , Commission will consider the issuanc:e of anorder I without a hearing. To learn if the' Commission wi II hold the public hearing, please call 793,1221. ' 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,Sulte 100; Anchorage, Alaskä 9,9501:': Writ- ,ten comments mu$.tbe received no later than 4:30 pm.on March 1,2004.' " ' , " Subscribed and s rn to me before this date: f~~fL Notary Public in and for the State of Alaska. Third Division. Anchorage, Alaska I f YOU are a person wïth'~'disability whb may need a sp~cial modificationi'rí.order to comment or to attend fhepublic hearing/.Pleasecontact JoCly I Colombie at 793..1221 no later th.an February 18, 2004. :' . ... I John K. Norman, Chair Alaska 011 and Gas Conservation Commission ADN: AO 02414020 Publish: January 29, 2004 STATE OF ALASKA ADVERTISING ORDER ;.!:,i;;:~F~'~~~~~'~~,~:¡~~~~~~~i~~;~~~~,',.'... !: F A oacc R 333 West ih Avenue, Suite 100 0 Anchorage, AK 99501 M 907-793-1221 ( NOTICE TO PUBLISHER l ADVERTISING ORDER NO. INVOICE I'.. u "T BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO.,\ .-IFIED AO-O2414020 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COpy OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE AGENCY CONTACT DATE OF A.D. Iodv r .1 Ih1f". T. PHONE PCN (907) 791 -1221 DATES ADVERTISEMENT REQUIRED: v 27 ,)()()4 . T 0 Anchorage Daily News POBox 149001 Anchorage, AK 99514 January 29, 2004 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: United states of America AFFIDAVIT OF PUBLICATION 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 SUBMITIED 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 2004, and thereafter for - consecutive days, the last publication appearing on the day of , 2004, 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 2004, Notary public for state of My commission expires 02-901 (Rev. 3/94) Page 2 AO.FRM PUBLISHER I 771~ c/ / /;;L '¥ /0 ~ ó< ( A'. 3 7 :: '/0. 3h Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: The application of ConocoPhillips Alaska, Inc. ("ConocoPhillips") for a spacing exception to allow the production of the KRU 3F-19A oil development well in accordance with 20 AAC 25.055. ConocoPhillips by letter dated January 16, 2004 and received by the Alaska Oil and Gas Conservation Commission ("Commission") on January 16, 2004, has requested the Commission to issue an order in confonnance with 20 AAC 25.055 allowing regular production of the KRU 3F-19A oil development well, which will be the third well open to the Kuparuk River Oil Pool within the NE 1/4 of Section 19, T12N, R9E, Umiat Meridian ("UM"). The surface location of the proposed well is 3 7 feet from the south line and 124 feet from the east line of Section 19, T 12N, R9E, UM. The proposed bottomhole location is 302 feet from the north line and 816 feet from the east line of. Section 19, T12N, R9E, UM. The Commission has tentatively set a public hearing on this application for March 2, 2004 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West ih 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 February 13, 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 March 1,2004. If you are a person with a disability h to comment or to attend the pu . later than February 18, 200 . need a special modification in order ontact Jody Colombie at 793-1221 no Published: January 29, 2004 ADN: AO 02414020 RE: Notice ( ( Subject: RE: Notice From: legalads <legalads@adn.cont> Date: Tue, 27 Ian 2004 16:49: 16 -0900 To: J odyColöinbie<jody_colombie@admin.state.ak.us> Hi Jody: Following is the confirm ation inform ation on your legal notice. Please let m e know if you have any questions or need additional inform ation. Account Number: STOF 0330 Legal Ad Number: 62272 Publication Date(s): January 29, 2004 Your Reference or PO#: AO-02414020 Cost of Legal Notice: $175.20 Additional Charges Web Lillie E-Mail Link: Bolding: Total Cost to Place Legal Notice: $175.20 Ad Will Appear on the web, www.adn.com: XXXX Ad Will Not Appe ar on the web, www.adn.com: Thank You, Kim Kirby Anchorage Daily News Legal Classified Representative E-Mail: legalads@adn.com Phone: (907) 257-4296 Fax: (907) 279-8170 ---------- From: Jody Colom bie Sent: Tuesday, January 27, 2004 4:20 PM To: legalads Subject: Notice «File: Ad Order form .doc»«File: KRU 3F-19A SpacinQ Exception Notice.doc» 1 of2 1/28/2004 7:50 AM RE: Notice 2 of2 ,{ ( Please publish the attached notice on 1/29/04. Thank you! 1/28/20047:50 AM Notice 1 of 1 ( ( Subject: Notice From: lady Colombie <jody - colombie@admin.state.ak.us> Date: Tue, 27 lan 2004 16:20:44 -0900 To: Legal Ads Anchorage DailyNews <legalads@adn.com> Please publish the attached notice on 1/29/04. Thank you! 1/27/2004 4:22 PM Notice 1 of 1 (' ( Subject: Notice From: Jody Colombie <jody - colombie@admin.state.ak.us> Date: Wed, 28 Jan 2004 07:52:38 -0900 To: angeläweb b<angie- webb@adtrin.state.ak.us> Please publish the attached notice. Jody 1/28/2004 8:21 AM Notice 1 of 1 ( ( Subject: Notice From: Jody Colombie <jody - colombie@admin.state.ak.us> Date: Tue, 27 Jan 2004 16:21 :33 -0900 . . To: undisc1osed-recipiêIlts:;' . . .. . BCe: NahcyNortön<N ancy- NortoÍl@adn1in~ state.a!<. us>, CynthiaB Mciver <bren _IDciver@adtnin.state.ak.us> Please publish. 1/27/20044:23 PM Public Notice KRU 3F-19A ( ( ( lof2 1/27/20044:23 PM Public Notice KRU 3F-19A (" ( <nnclean.@pobox.alaska.net>, allenhuckabay<allenhuckaba)@hotmai1.com>, "j ames . scherr" <james. scherr@mms.gov>, ghammons <ghammons@ao1.com>, LeachRD@BP . com, lorenzettin1@cs.com 2 of2 1/27/2004 4:23 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, I D 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 ,,' ~ A.," .. ~.~ ConocoPhillips (' Post Office Box 100360 Anchorage, Alaska 99510-0360 Randy Thomas Phone (907) 265-6830 Fax: (907) 265-1535 Email: rlthomas@ppco.com RECEIVED JAN 1 6 2004 Alaska Oil & Gas Cons. Commission Anchorage January 16, 2004 Sarah Palin, Chair Alaska Oil and Gas Conservation Commission 333 West ih Avenue Suite 100 Anchorage, Alaska 99501 (907) 279-1433 Re: Application for Spacing Exception, producer sidetrack 3F-19A Dear Commissioner Palin: ConocoPhillips Alaska, Inc. hereby applies for a Spacing Exception an onshore production well, KRU 3F- 19A, a development well. The proposed 3F-19A is designed as an infill Kuparuk A and C sand producer. This new well will recover A and C Sand waterflood and enhanced oil recovery (EOR) reserves that are located in a fault isolated area. Combined incremental Kuparuk A and C Sand reserves are 1.79 MMSTBO, where 129 MST80 are incremental EOR recovery. The waterflood and EOR reserves cannot be recovered until we add an active producing well to the well pattern configuration. The requested exception refers to the well spacing requirements specified in Rule 3 of Conservation Order 4328, which states: "Not more than one well may be drilled on any governmental quarter section...", because the prospective pay interval in 3F-19A will lie within the NE 1/4 of Section 19, T 12N, R9E, U.M., and that 3F-19A will be the second well drilled within that particular quarter section (the other well being the existing 3F-13A production well). Property line considerations do not apply, as the 3F-19A well bore will be in the main portion of the Kuparuk River Unit, and therefore will be more than 500 feet from a property line where ownership or landownership changes. Offset well distance requirements do no apply because the 3F-19A well bore will lie more than 1000 feet from other wells completed within the pool. The 3F-19A sidetrack targets Section 19, T12N, R9E in order to potentially produce unswept A-sand oil on the Wests ide of the injection pattern. We believe A-sand oil is trapped against a north-south trending fault located on the west side of the injection pattern. Adjusting the directional profile to move the productive interval completely out of the northeast quarter of Section 19, T12N, R9E will compromise the original purpose of drilling this infill producer. Moving the contacted productive interval into either Section 18 (to the north) or Section 20 (to the east) will cause the well to potentially intercept mapped fault zones in those areas, resulting in faulted out pay intervals and/or loss of pressure support from 3F-20 due to fault isolation. Even though we will run the completion prior to rig release, we do not intend to produce or test the well until we receive the spacing exception. Please find attached for the review of the Commission the information required by 20 AAC 25.055 (d). We have included a plat showing the location of 3F-19A, all other completed and drilling wells on the property, and all adjoining wells within 1,000 feet. Also included is a copy of the notices sent by certified mail to our co-owners and the affidavit verifying that all facts are true. If you have any questions or require any further information, please contact Kelly McLure at 265-6059. Sincerely, ~\ Randy Thomas GKA Drilling Team Leader (' CHECKLIST - SPACING EXCEPTION A~"'LlCATION OPERATOR ConocoPhillips Alaska PROPERTY ID/ LEASE S: ADL 2565 ìnc FIELD/POOL Kuparuk River/Kuparuk Oil PI/BH: ADL 2565 WELL NAME 3F-19A VERTICAL EXPLORATORY GAS DEVIATED DELINEATION OIL X DEVELOPMENT X SURFACE LOCATION PRODUCTIVE INTERVALS (Top and Bottom) BOTTOM HOLE 37' FSL, 124' FEL, See 19, T12N, R9E, UM 520'FNL,704'FEL,See19,T12N,R9E,UM 377 FNL, 778 FEL See 19, T12N, R9E, UM 302' FNL, 816' FEL, See 19, T12N, R9E, UM Check applicable reason(s) for spacing exception per 20 AAC 25.055(a): (1) to drill a well for oil within 500 feet of a property line where ownership or landownership chan es, (2) to drill a well for gas within 1500 feet of a property line where ownership or landownershi chan es, (3) to drill and complete more than one oil well in a governmental quarter section; or to drill and complete an oil well closer than 1000' to any well drilling to or ca able of roducin from the same 001, 4 to drill and com lete more than one as well in a overnmental section; or or to drill and complete a gas well closer than 3000' to any well drilling to or ca able of roducin from the same 001. Does the application contain: 1/ A brief ex lanation for wh the 0 erator has chosen to drill the s ecified location. A plat drawn to a scale of one inch equaling 2,640 feet or larger, showing the location of the well or portion of the well for which the exception is sought, all other completed and drilling wells on the property, and all adjoining properties and wells within 1,000 feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for as. The names of all owners, landowners, and operators of all properties within 1,000 feet of a well or portion of the well requiring the spacing exception that is drilling for oil or within 3,000 feet of a well or portion of the well requiring the spacing exception that is drilling for as. A copy of the notice sent by certified mail to the owners, landowners and operators described above, the date of mailin , and the addresses to which the notice was sent. An affidavit by a person acquainted with the facts verifying that all facts are true and that the lat correctl ortra s ertinent and re uired data. If the operator requests a variance from the notice requirements of 20AAC25.055(d), sufficient information to demonstrate that it is not feasible to comply with the notice re uirements because of the com lexit of ownershi within the notice area. x II A/ ;;-1 / J' ./ 3A-ll 3B-O4 3B-Ol ~--..., 2W-IO ~, 1:48Ø0Ø METERS ø lØØØ 2ØØØ 3ØØØ 4ØØØ Søøø METERS I I I I 1 I FEET ø 1 øøøø 2ØØØØ FEET I I I Plat 3F -21 Scale 1" = 2640' 3G-2 fit' 3AtO3A 3\-04 ill 3A'f2 3 3F -13A Section 18 .. .~ Section 19 f ~w 3F-16A 3F-16 .. ,~ i ,§if' <it 3F-19A.3F-l t 3F-15 '8..øJ 4, Section 17 Section 20 ...-... 3F -05 I' q¡ 3F -06 --, ¡)}........ ., Top C4 Sand in well METERS 0 8 Top A 1 Sand in well FEET i 1 0¡0 20¡0 30¡0 40¡0 S0¡0 FEET 8 3F-19A bottom hole location ~ ~ 3F -05 '-- [/ ---- ~ 8 Top C4 Sand in well METERS ø 8 Top A 1 Sand in well FEET i 10¡0 20¡0 3000 4000 5000 FEET I \ I 8 3F-19A botiom hoie iocaiion Faults ~ mapped at top Kuparuk (' (' AFFIDAVIT TO THE ALASKA OIL AND GAS CONSERVATION COMMISSION AFFIDAVIT OF KELLY A. MCLURE STATE OF ALASKA THIRD JUDICIAL DISTRICT I, Kelly A. McLure, declare and affirm as follows: 1. 1. My name is Kelly A. McLure. I am over 19 years old and have personal knowledge of the matters set forth herein. 2. 2. I am a Drilling Engineer for the well operator, ConocoPhillips Alaska, Inc. 3. 3. I am acquainted with the facts associated with the drilling of the 3F-19A well. 4. 4. I have reviewed the application submitted for the exception to 20 AAC 25.055 and all facts herein are true. 5. 5. I have reviewed the plat attached and it correctly portrays pertinent and required data. DATED at Anchorage, Alaska this / 6 'ffl day of January, 2004. SUBSCRIBED AND AFFIRMED before me at Anchorage, Alaska this 2004. /6'rH day of January, ~\\\\Un~RBi!lll # ~\f ~:"A.I("", ~f. ,;.~~ ~t~~«:i~~~:ì7::~If"Jt..O~..~ ~ . ~.o,. ~".. ~"¡ " ~'" s .'fi(; "1'4 +0".. ""';"" ::::: ;,\" () ~. '::'~ø~ .~ ::- :fJ? ~ )... ~ ~ ..", ea: = ': ~ = ~ """.... '*""""'" : = -~ ' ;::: -::. '~ -I., SC':A\' t::::- ..<* f ~"" ~ I;.: 10-' ,-:0,..",..1\... ~",.,~':' .1I;.""Ii!C H 1" ,'¡~~..." ~... .i.~' VI'< ,r~. ¡¡;. I ,," "'"' 'I¡,;~ ,," I/~,~. ~"'.~".If""" ~\i.~ ~ 4';11/,.. I[t1,\ r""¡,;; ^\S'p, ~.,~ ,ff/, "'Ii !if ,.~ ,... ,". \,~~'\ (fÞf!niN~ ~i~\t'i\ \ AND FOR THE STATE OF ALASKA My commission expires fl1/J¡:Z.c:..¡.+ /2 / 2 b h. 6 / .-,.' Rev: 07/1CVO1 C\J oðy\t e.aa plata TRANS1\'.( lL LETIER CHECK UST ( . CIRCLE APPROPRIATE LETTERIPARAGRAPHS TO BE INCLUDED IN TRANSMl1T AL LEITER WELL NAME PTD# , 3~-Ic)A lA.n ()..~:$(j:t1 e.J.. CHECK WBA T ADD-ONS APPLIES (OPTIONS) MUL TJ LA TERAL (ll API Dumber Ian two (2) d1dU are between ~9) PILOT (PH) SPACING EX CEPTI ON x DRY DITCH SAMPLE I HOLE "CLUE" The permit II for a Dew we1Jbore aegmeDt of elildac weB -' Permh No, API No. . Produdio8 should roDtiDoe to be reported as a rOD~O. or the origiaal API bWDber stated above.. In accordaøœ with :0 AAC 25.00s(~ all record&, data aad lop aeqwred for the pDot bole must be clearly dlft'ereDtiated iD both Damt: (DUlle DB per:m1t plus PH) ..d API Dumber (SO - 70/80) from recorda. data aDd Joel acquired for well (Dame on permit). The pcJ1JIit II approved subject to fuU compliallce with 20 MC 2S.0S!. Approval to peñorate aDd prodoœ b CODÙDgcØt upon issuance of . coDaervatioD order .ppro~ 8 spacing exceptioD. (O£lttz:.o Fí.('~ JCOJDP811Y N81bel8111UØle8 the UabßIcy of aD)' protest to tbe spaelng exceptJOD Ihat may occur. AD dry dltth sample 8eU submitted to the Commission must be 10 no greater tbaD 30' sample intenal. from below the permafrost or from where samples are fint caught aDd 16' sample iutervals through target ¡ODes.