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Home My WebLink AboutCO 599Irt~a Pro'ect IDrcler Fil t e Cover Pace XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable by direct inspection of the file. Order File Identifier ~,.a,dee IIIIII'IIIIIIIII Organizing (done) RESCAN ^ Color Items: ^ Greyscale Items: ^ Poor Quality Originals ^ Other: DIGITAL DATA ^ Diskettes, No. ^ Other, No/Type: Re,~a~~e~~ iiiuiuiiii iiilii OVERSIZED (Scannable) ^ Maps: ^ Other Items Scannable by a Large Scanner OVERSIZED (Non-Scannable) ^ Logs of various kinds: NOTES: BY: Maria .~~. Project Proofing BY: Maria Date: Date: Scanning Preparation x 30 = BY: ~ Maria ~ Date: 1. Production Scanning I ^ Other:: Q /s/ ~ III II~I~I~IIII ilIII s D lsl ~/`, + =TOTAL PAGES_ ~• (Count does not include cover sheet} lsl III IIIIIIIIII~ fIIII Stage 1 Page Count from Scanned File: o~~ (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: ~ES NO BY: Maria Date: ~ ~~ D Q~ /s/ Stage 7 If NO in stage 1, page(s) discrepancies were foundVV YES NO BY: Maria Date: /s/ Scanning is complete at this point unless rescanning is required. II I II ~I iI I II If I I ~II ReScanned If I IIII~II~III ~I~II BY: Maria Date: /s/ Comments about this file: Quality Checked III IIIIII ill III II 10/6/2005 Orders File Cover Page.doc • • INDEX CONSERVATION ORDER NO. 599 NB-04A 1) June 18, 2007 Teck Cominco Alaska Inc. for spacing exception NB-04A 2) June 26, 2007 Recusal from Decision John Norman 3) June 28, 2008 Notice of Hearing, affidavit of mailing, a-mail list, bulk mailing list CONSERVATION ORDER NO. 599 • ~ STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF TECK COMINCO ALASKA INCORPORATED for an order granting an exception to the spacing requirements of 20 AAC 25.055 (a)(4), allowing drilling, completion, testing and regular production within the same governmental section and within 3,000 feet of a well capable of producing from the same pool. Conservation Order No. 599 NB No. 04A Exploratory Gas Well April 11, 2008 NOTICE CLOSING DOCKET BY THE COMMISSION: The Commission has the closed the Docket in the above captioned matter. ENTERED AND EFFECTIVE at Anchorage, Alaska and this 11th day of April, 2008. BY DIRECTION OF THE COMMISSION -~., _, Jody 7. Cold bie' Sp~c~l Asp ' ant o the Commission STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF TECK COMINCO ALASKA INCORPORATED for an order granting an exception to the spacing requirements of 20 AAC 25.055 (a)(4), allowing drilling, completion, testing and regular production within the same governmental section and within 3,000 feet of a well capable of producing from the same pool. Conservation Order No. 599 NB No. 04A Exploratory Gas Well April 11, 2008 IT APPEARING THAT: Teck Cominco, by letter dated June 18, 2007 and received by the Alaska Oil and Gas Conservation Commission ("Commission") on June 21, 2007, has requested the Commission issue an order in conformance with 20 AAC 25.055 (a)(4) allowing testing and production of the NB No. 04A ("NB-04A") gas exploration well, which if productive may be open to regular production within the same governmental section and within 3,000 feet of a well capable of producing from the same pool. The surface location of this vertical well is 1,078 feet from the west line and 1,494 feet from the north line of Section 17, T31N, R18W, Kateel River Meridian. 2. The Commission published notice of opportunity for public hearing in the Anchorage Daily News on June 28, 2007, pursuant to 20 AAC 25.540. 3. No protests to the application or requests for hearing were received. FINDINGS: 1. The surface and bottomhole locations of this vertical well are 1,078 feet from the west line and 1,494 feet from the south line of Section 17, T31N, R18W, Kateel River Meridian. 2. NB-04A is anon-conventional gas exploration well that is located on private property. NANA Regional Corporation is the landowner, and Teck Cominco is the owner and operator for the affected leases. 3. This well is located about 1-1/2 miles north of the Red Dog Mine in an area that has been extensively drilled for mineral exploration purposes. This location is favorably positioned on the underlying geologic structure. 4. This well will be an integral part of a multi-well program to test the capability of the reservoir to produce gas in commercial quantities from anon-conventional, shale reservoir. 5. Production of gas from shale reservoirs requires de-watering to reduce pressure and increase gas flow. Typically, shale reservoirs need more closely spaced wells than conventional gas reservoirs to produce gas in economic quantities. 6. The productivity of this shale is unknown. Adequately de-watering the affected section of the reservoir and testing its capability to produce gas require that well NB-04A be placed closer than 3,000 feet to offset non-conventional gas wells NB-O1, NB-02, NB-03 and NB-O5. NB-04A will lie within the same governmental section as wells NB-02 and NB-03. 7. An exception to the well spacing provisions of 20 AAC 25.055 (a)(4) is necessary for the drilling, completion, testing and regular production of NB-04A. 8. The Commission received no objections or protests from the public notice regarding the NB-04A well. Conservation Order 599 ~ • April 11, 2008 Page 2 of 2 CONCLUSIONS: 1. An exception to the well spacing requirements of 20 AAC 25.055 (a)(4) is necessary to allow drilling, completion, testing, and regular production of the NB-04A well gas exploration well. 2. Granting a spacing exception to allow drilling, testing, and regular production of the NB-04A well gas exploration well will not result in waste or jeopardize the correlative rights of adjoining or nearby owners. NOW, THEREFORE, IT IS ORDERED: Teck Cominco's application for exception to the spacing requirements of 20 AAC 25.055 for the purpose of drilling, completion, testing and regular production of the NB-04A gas exploration well is granted. ENTERED at Anchorage, Alaska, and dated April 11, 2008. ti~ atL rgl, ~~ ~~'' f '". --~~ .. - r -~' ~-` ~ ,~,. Daniel T. Seamount, Jr., Chair ~°' ~ Alaska Oil and Gas Conservation Commission fir. x :~.z J~~x rc~. Cathy P. oerster, Commissioner Alaska it and Gas Conservation Commission RECONSIDERATION AND APPEAL NOTICE As provided in AS 31.05.080(a), within 20 days after written notice of the entry of this order or decision, or such further time as the Commission grants for good cause shown, a person affected by it may file with the Commission an application for reconsideration of the matter determined by it. If the notice was mailed, then the period of time shall be 23 days. An application for reconsideration must set out the respect in which the order or decision is believed to be erroneous. The Commission shall grant or refuse the application for reconsideration in whole or in part within 10 days after it is filed. Failure to act on it within 10 days is a denial of reconsideration. If the Commission denies reconsideration, upon denial, this order or decision and the denial of re- consideration are FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the Com- mission mails, OR 30 days if the Commission otherwise distributes, the order or decision denying reconsideration, UNLESS the denial is by in- action, in which case the appeal MUST be filed within 40 days after the date on which the application for reconsideration was filed. If the Commission grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on re- consideration will be the FINAL order or decision of the Commission, and it may be appealed to superior court. That appeal MUST be filed within 33 days after the date on which the Commission mails, OR 30 days if the Commission otherwise distributes, the order or decision on re- consideration. As provided in AS 31.05.080(b), "[t]he questions reviewed on appeal are limited to the questions presented to the commission by the application for reconsideration." In computing a period of time above, the date of the event or default after which the designated period begins to run is not included in the pe- riod; the last day of the period is included, unless it falls on a weekend or state holiday, in which event the period runs until 5:00 p.m. on the next day that does not fall on a weekend or state holiday. Page 1 of 1 Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Friday, April 11, 2008 4:05 PM Subject: AIO 33 (Ooogurek), AIO 34 (Ooogurek), CO 599 (Exploratory) Attachments: aio34.pdf; co599.pdf; aio33.pdf BCC:Birnbaum, Alan J (LAW); Crisp, John H (DOA); Davies, Stephen F (DOA); Fleckenstein, Robert J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Mahnken, Christine R (DOA); Maunder, Thomas E (DOA); McIver, C (DOA); McMains, Stephen E (DOA); Noble, Robert C (DOA); Norman, John K (DOA); Okland, Howard D (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Saltmarsh, Arthur C (DOA); Scheve, Charles M (DOA); Seamount, Dan T (DOA); Smith, Chasity R (DOA); Williamson, Mary J (DOA); 'Aleutians East Borough'; 'Anna Raff ; Arion, Teri A (DNR); 'Arthur Copoulos'; 'Barbara F Fullmer'; 'bbritch'; 'Bill Walker'; 'Brad McKim'; 'Brandon Gagnon'; 'Brian Gillespie'; 'Brian Havelock'; 'Brit Lively'; 'Bruce Webb'; 'buonoje'; 'Cammy Taylor'; 'Cande.Brandow'; 'carol smyth'; 'Cary Carrigan'; caunderwood@marathonoil.com; 'Charles O'Donnell'; 'Chris Gay'; 'Christian Gou-Leonhardt'; 'Cliff Posey'; 'Dan Bross'; 'dapa'; 'Daryl J. Kleppin'; 'David Brown'; 'David Hall'; David House; 'David L Boelens ; 'David Steingreaber'; 'ddonkel'; 'Deanna Gamble'; 'Deborah J. Jones'; 'doug_schultze ; 'Eric Lidji '; 'Evan Harness'; 'eyancy'; 'foms2@mtaonline.net'; 'Francis S. Sommer'; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Rogers'; 'Gary Schultz'; 'ghammons'; 'Gordon Pospisil'; Gould, Greg M (DEC); 'Gregg Nady'; 'gregory micallef; 'gspfoff; 'Hank Alford'; 'Harry Engel'; 'jah'; 'James Scherr'; 'Janet D. Platt'; 'jejones'; 'Jerry McCutcheon'; 'Jim Arlington'; 'Jim White'; 'Jim Winegarner'; 'Joe Nicks'; 'John Garing'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'John W Katz'; johnny.aiken@north-slope.org; 'Jon Goltz'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; knelson@petroleumnews.com; 'Krissell Crandall'; 'Kristin Dirks'; 'Laura Silliphant'; 'Lois'; 'Lynnda Kahn'; 'mail=akpratts@acsalaska.net'; 'mail=fours@mtaonline.net'; 'Marilyn Crockett'; 'Mark Dalton'; 'Mark Hanley'; 'Mark Kovac'; 'Mark P. Worcester'; 'Marguerite kremer'; 'marty'r 'Matt Rader'; 'mckay'; 'Meghan Powell'; 'Mike Bill'; 'Mike Mason'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'Nick W. Glover'; NSK Problem Well Supv; NSU, ADW Well Integrity Engineer; 'Patty Alfaro'; 'Paul Decker'; 'Paul Winslow'; Pierce, Sandra M (DNR); 'Randall Kanady'; 'Randy L. Skillern'; 'rcrotty'; Rice, Cody J (DNR); 'rmclean'; 'Rob McWhorter '; rob.g.dragnich@exxonmobil.com; 'Robert Campbell'; 'Robert Fowler'; 'Robert Province'; 'Roger Belman'; 'Rudy Brueggeman ; 'Scott Cranswick'; 'Shannon Donnelly'; 'Sharmaine Copeland'; 'Sondra Stewman ; 'Sonja Frankllin'; 'Stan Porhola'; 'stanekj'; 'Steve Lambert'; 'Steve Moothart'; 'Steven R. Rossberg'; 'tablerk'; 'Tamera Sheffield'; 'Temple Davidson'; 'Terrie Hubble'; 'Tim Lawlor'; 'Todd Durkee'; Tony Hopfinger; 'trmjrl'; 'Walter Featherly'; 'Walter Quay'; 'Wayne Rancier'; David Johnson; Joseph Longo; Maurizio Grandi; Tom Gennings Attachments: aio34.pdf;co599.pdf;aio33.pdf; Jody Colombie Special Assistant Alaska Oil & Gas Conservation Commission Direct: 907-793-1221 Fax: 907-276-7542 *Note new email address 4/11 /2008 Mary Jones David McCaleb Cindi Walker XTO Energy, Inc. IHS Energy Group Tesoro Refining and Marketing Co. Cartography GEPS Supply & Distribution 810 Houston Street, Ste 2000 5333 Westheimer, Ste 100 300 Concord Plaza Drive Ft. Worth, TX 76102-6298 Houston, TX 77056 San Antonio, TX 78216 George Vaught, Jr. Jerry Hodgden Richard Neahring PO Box 13557 Hodgden Oil Company NRG Associates Denver, CO 80201-3557 408 18th Street President Golden, CO 80401-2433 PO Box 1655 Colorado Springs, CO 80901 John Levorsen Michael Parks Mark Wedman 200 North 3rd Street, #1202 Marple's Business Newsletter Halliburton Boise, ID 83702 117 West Mercer St, Ste 200 6900 Arctic Blvd. Seattle, WA 98119-3960 Anchorage, AK 99502 Baker Oil Tools Schlumberger Ciri 4730 Business Park Blvd., #44 Drilling and Measurements Land Department Anchorage, AK 99503 2525 Gambell Street #400 PO Box 93330 Anchorage, AK 99503 Anchorage, AK 99503 Ivan Gillian Jill Schneider Gordon Severson 9649 Musket Bell Cr.#5 US Geological Survey 3201 Westmar Cr. Anchorage, AK 99507 4200 University Dr. Anchorage, AK 99508-4336 Anchorage, AK 99508 Jack Hakkila Darwin Waldsmith James Gibbs PO Box 190083 PO Box 39309 PO Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai National Wildlife Refuge Penny Vadla Richard Wagner Refuge Manager 399 West Riverview Avenue PO Box 60868 PO Box 2139 Soldotna, AK 99669-7714 Fairbanks, AK 99706 Soldotna, AK 99669-2139 Cliff Burglin Bernie Karl North Slope Borough PO Box 70131 K&K Recycling Inc. PO Box 69 Fairbanks, AK 99707 PO Box 58055 Barrow, AK 99723 Fairbanks, AK 99711 Williams Thomas Arctic Slope Regional Corporation Land Department / ` PO Box 129 // j J Barrow, AK 99723 ~ """"'~~ / #3 • • STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING ORDER INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE /~ 0.02714053 /`1 SEE BOTTOM FOR INVOICE ADDRESS F R AQGCC 333 W 7th Ave, Ste 100 AGENCY CONTACT Jod Colombie DATE OF A.O. June 26 2007 ° n'I Anchorage, AK 99501 907-793-1238 PHONE - PcN DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News PO Box 149001 Arichora e AK 99514 g ~ June 28, 2007 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Advertisement to be published was e-mailed Type of Advertisement Legal® ^ Display Classif ied ^Other (Specify) SEE ATTACHED SEND INVOICE IN TRIPLICATE TO AOGCC, 333 W. 7th Ave., Suite 100 Anchora e AK 99501 PAGE 1 OF 2 PAGES TOTAL OF ALL PAGES$ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARIA 02910 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LID ~ OS 02140100 73451 2 REQUISIT NED BY: DIVISION APPROVAL: 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 Teck Cominco Alaska Incorporated ("Teck Cominco") for a spacing exception to allow the drilling, completion, testing and production of the NB-04A gas exploration well in accordance with 20 AAC 25.055. Teck Cominco, by letter dated June 18, 2007 and received by the Alaska Oil and Gas Conservation Commission ("Commission") on June 21, 2007, has requested an order allowing an exception to the spacing requirements of 20 AAC 25.055 (a)(4) to allow drilling, completion, testing and production of the NB-04A gas exploration well, which if productive may be open to regular production within the same goverrunental section and within 3,000 feet of a well capable of producing from the same pool. The surface location of this proposed vertical well is 1,078 feet from the west line and 1,494 feet from the north line of Section 17, T31N, R18W, Kateel River Meridian. The Commission has tentatively set a public hearing on this application for July 31, 2007, 2007 at 1:30 pm 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 July 16, 2007. If a request for a hearing is not timely filed, the Commission may consider the issuance of an order without a hearing. To learn if the Commission will hold the public hearing, please ca11793-1221. 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 July 30, 2007 except that if the Commission decides to hold a public hearing, written protest or comments must be received no later than the conclusion of the July 31, 2007 hearing. If you are a person with a disability who may need special accommodations in order to comment or to attend the public hearing, please contact Jody Colombie at 793-1221. .._ Cathy . Foerster Commissioner '~~~ ~ ` .~l.~L D ~ fJ~~n~ nlz9~zar Anchorage Daily News Affidavit of Publication ~~~~~~ ~,~ ~ ~~ ~,O, _ ~~,)i~ ,~; 1001 Northway Drive, Anchorage, AK 99508 ,ar,E,~~r~1 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD # DATE PO ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 264928 06/28/2007 02714053 STOF0330 $199.20 $199.20 $0.00 $0.00 $0.00 $0.00 $0.00 $199.20 STATE OF ALASKA THIRD JUDICIAL DISTRICT Christine Clark, 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 individuals. Signe Subscribed and sworn to me before this date: Notar~ Public in and for the State of Alaska. Third Division. Anchorage, Alaska MY COMMISSION EXPIRES: `' / ~<<~t~LY(A /`l~~ri ~ ~,...: fi~,~.. _... ~, ~. M_ . ww ~~ • ~ ~~ • ~, ~~'Jt1 1It111 ~~. ~ ......1 gaaJB soup 'sung 'W~ ~uo_N STATE OF ALASKA /basks OA and Gas Consarvadon Commission RB: the applicationbf Teck cominco Alaska Incorporated ("Teck Cominco")-for a sppaacing exception to allow the drilling, completion, testingand production of the NB-04Agas exploration well in accordance with 20 AAC 2s.oss. Teck Cominco, by letter dated June 18, 2007 and re- eeived by the Alaska Oil and Gas Conservation Com- mission ("Commission") on June 21,.2007, hasre- regular production wnnm u1e same BBovernmemal sec- tionand within 3,000 feet of a welk'capatile of pro- ducingfrom the same poW. The su[face location of this proposed vertical wQl(ts 1,078 feet ftom the west line and 9,494 feet ftom lid north fine of;Section l7, T31N, R18W, Kateel River Meridian. _ the Co~ssipn has tentatively set's pub~liC hearing on this plicafion for Ju{y 31, 2007, 2007 at 1:30 pm at the A ka Oil and Gas Conservation Commissi!on at 333 WB th Avenue, Suite 100, Anchorage, Alaska 94501. A uerson may reauest that the tentatively vdnh the commrssion no later loan a:30 Pm on wry.16, ,2007. Its request for shearing FS not timely filed, the Com- mission may consider the issuance of an order with- out a hearing: To team if the Commission will hold the public hearing,. please caA 793.1221... , ,. In addition, a pees®n may sutimit Written comments July 31, 2007 hearing: If you are a person with a disability who may need special accommodations in order to comment onto attend the pubiichearing, please contact Jody Colom- bie at 793-1221. /s/:Cathy P.FOerster Commissioner AO#92714053 Putilish: June28, 2007. RE: Public Notice • Subject: RE: Public Notice From: "Ads, Legal" <legalads@adn.com> Date: Tue, 26 Jun 2007 15:56:54 -0800 To: Jody Colombie <jody_colombie ~ad'minatate.ak.us> Hello Jody: Following is the confirmation information on your legal notice. Please review and let me know if you have any questions or need additional information. Account Number: STOF 0330 Legal Ad Number: 264928 Publication Date(s): June 28, 2007 Your Reference Number: 02714053 Total Cost of Legal Notice: $199.20 Thank You, Kim Kirby Legal Classified Representative E-mail: legalads@adn.com Phone: (907) 257-4296 Fax: (907) 279-8170 We have a new web site for our legal notices. Please check it out and let me khow what you think. http://www.legalnotice.org/pl/adn/ <http://www.legalnotice.org/pl/adn/> -----Original Message----- From: Jody Colombie [mailto:jody colombie@admin.state.ak.us] Sent: Tuesday, June 26, 2007 12:28 PM To: Ads, Legal Subject: Public Notice 1 of 1 6/26/2007 4:19 PM Public Notice Subject: Public Notice From: Jody Colombie <Jody_colombie@admin.state.ak.us> Date: Tue, 26 Jun 2007 12:27:34 -0800 To: Legal Ads Anchorage Daily News <legalads@adn.com> Jody Colombie <jody colombie(a,admin.state.ak.us> Special Staff Assistant Alaska Oil and Gas Conservation Commission Department of Administration Content-Type: application/msword '' Ad Order ADN form.doc Content-Encoding: base64 Content-Type: application/msword !NB-04A Spacing_Exception_Notice.doc - Content-Encoding: base64 __ _ _ 1 of 1 6/26/2007 12:28 PM ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED O /~ 0-02714053 /'1 ORDER AFFIDAVIT F PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7~' Avenue. Suite 100 Anchnrage_ AK 995(11 PHONE PCN M 907-793-1238 - DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News June 28, 2007 PO Box 149001 Anchora e AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS g ~ ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Account # STOF0330 AFFIDAVIT OF PUBLICATION United states of America R E M I N D E R 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 2007, and thereafter for consecutive days, the last publication appearing on the day of , 2007, 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 2007, Notary public for state of My commission expires Public Notice NB-04A gas exploratory well Subject: Public Notice NB-04A gas exploratory well From.: Jody Colombie <jody_colombe@admin.state.ak.us> Date: Tue, 26 Jun 2007 12:28:24 -0800 'I'o: undisclosed-recipients:; BCC: Cynthia B Mciver <bren_mciver@admin.state.ak.us>, Christine Hansen <c.hansen@iogcc.state.ok.us>, Terrie Hubble <hubbletl@bp.com>, Sondra Stewman <StewmaSD@BP.com>, stanekj <stanekj@unocal.com>, trmjrl <trmjrl @aol.com>, jdarlington <jdarington@forestoil.com>, nelson <knelson@petroleumnews.com>, Mark Dalton <mark.dalton@hdrinc.com>, Shannon Donnelly <Shannon.donnelly@conocophillips.com>, "Mark P. Worcester" <mark.p.worcester@conocophillips.com>, Bob <bob@inletkeeper.org>, Dave Roby <dave roby@admin.state.ak.us>, bbritch <bbritch@alaska.net>, mjnelson <rnjnelson@purvingertz.com>, Charles O'Donnell <charles.o'donnell@veco.com>,"Randy L. Skillern" <SkilleRL aBP.com>, "Deborah J. Jones" <JonesD6@BP.com>, "Steven R. Rossberg" <RossbeRS ~BP.com>, Lois <lois@inletkeeper.org>, Dan Bross <kuacnews@kuac.org>, Gordon Pospisil <PospisG@BP.com>, "Francis S. Sommer" <SommerFS@BP.com>, Mikel'Schultz <MikelSchultz@BP.com>, "Nick W. Glover" <GloverNW@BP.com>, "Daryl J. Kleppin" <KleppiDE@BP.com>, "Janet D. Platt" <PlattJD@BP.com>, "Rosanne M. Jacobsen" <JacobsRM coBP.com>, ddonkel <ddonkel@cfl.rr.com>, mckay <mckay@gci.net>, Barbara F Fullmer <barbara.£fullmer@conocophillips.com~, doug_schultze <doug_schultze@xtoenergy.com>, Hank Alford <hank.alford@exxonmobil.com>, Mark Kovac <yesnol@gci.net>, 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>, eyancy <eyancy@seal-tite.net>, "JamesM. Ruud" <james.m.ruud@conocophillips.com>, Brit Lively <bl@mapalaska.com>, jah <jah@dm•.state.ak.us>, buonoje <buonoje@bp.com>, Mark Hanley <mark_hanley@anadarko.com>, Julie Houle <julie_houle cLdnr.state.ak.us>, John W Katz <jwkatz@alaskadc.org> ,tablerk <tablerk@unocal.com>, Brady <brady@aoga.org>, Brian Havelock <beh@dnr.state.ak.us>, Jim White <jimwhite@satx.rr.eom>, "John S. Haworth" <john.s.haworth@exxonmobil.com>, marty <marty@rkindustrial.com>, ghammons <ghammons@aol.com>, rmclean <rmclean@pobox.alaska.net>, mkm7200 <mkm7200@aol.com>, BrianGillespie <ifbmg@uaa.alaska.edu>, David L Boelens <dboelens@aurorapower.com>, Todd Durkee <todd.durkee@anadarko.com>, Gary Schultz <gary_schultz@dnr.state.ak.us>, Wayne Rancier <RANC1ER~a petro-canada.ca>, Brandon. Gagnon <bgagnon@brenalaw.com>, Paul Winslow <pmwnslow@forestoil.com>, Sharmaine Copeland.<copelasv@bp.com>, Kristin Dirks <kristin dirks@dnr.state.ak.us>, Kaynell Zeman <kjzeman cz~marathonoil.com>, John Tower <John.Tower@eia.doe.gov>, Bill Fowler <Bill_Fowler@anadarko.COM>, Scott Cranswick <scott.cranswick@mms.gov>, Brad McKim <n~ekimbs@BP.com>, James Scherr ~james.scherr@mms.gov>, Tim Lawlor <Tim_Lawlor@ak.blm.gov>, Lynnda Kahn <Lynnda_Kahn@fws.gov>, Jerry Dethlefs <Jerry.C.Dethlefs@conocophillips.com>, Crockett@aoga.org, Tamera Sheffield <sheffield@aoga.org>, Jon Goltz <Jon.Goltz@conocophillips.com>, Roger Belman <roger.belman@eonocophillips.com>, Mindy Lewis <mlewis@brenalaw.com>, Kari Moriarty <moriarty@aoga.org>, Patty Alfaro <palfaro@yahoo.com>, Gary Rogers <gary_rogers@revenueatate.ak.us>, Arthur Copoulos <Arthur_Copoulos@dnr.state.ak.us>, Ken <klyons@otsintl.com>, Steve Lambert <salambert@unocal.com>, Joe Nicks mews@radiokenai.com>, Jerry McCutcheon <susitnahydronow@yahoo.com>, Bill Walker <bill-wwa@ak.net>, Paul Decker <paul_decker@dnr.state.ak.us>, Aleutians East Borough <admin@aleutianseast.org>, Marguerite kremer <marguerite_kremer@dnr.stateak.us>, Mike Mason <mike@kbbi.org>, Garland Robinson <gbrobinson@marathonoil.com>, Cammy Taylor <cammy_taylor@dnr.state.ak.us>, Thomas E Maunder <tom maunder@adminatate.ak.us>, Stephen F Davies <Steve_davies@admin.state.ak.us>, 1 of 2 6/26/2007 12:28 PM Public Notice NB-04A gas exploratory well Keith Wiles <kwiles@marathonoil.com>, Deanna Gamble <dgamble@kakivik.com>, James B Regg <jim_regg@admin.state.ak.us>, Catherine P Foerster <Cathy_foerster@admin.state.ak.us>, gregory micallef <micallef@clearwire.net>, Laura Silliphant <Laura_silliphant@dlir.state.ak.us>, David Steingreaber <david.e.steingreaber@exxonmobil.com>, akpratts@acsalaska.net, Robert Campbell <Robert.Campbell@euters.com>, Steve Moothart <steve_moothart@dnr.state.ak.us>, Anna Raff <anna.raff@dowjones.com>, Cliff Posey <cliff@posey.org>, Meghan Powell <Meghan.Powell@asrcenergy.com>, Temple Davidson <temple_davidson@dnr.state.ak.us>, V~alter Featherly <WFeatherly@PattonBoggs.com>, Tricia Waggoner <taggoner ~~nrginc.eom>, John Spain yps@tateside.com?, Cody Rice <Cody_Rice@legis.state.ak.us>, John Garing<garingJD@bp.com>, Harry Engel <engelhr@bp.com>, Jim Winegarner <jimwinegarner@brooksrangepetro.com>, Matt Rader <matt_rader@dnr.state:ak.us>, carol sm@ <carol.smyth@shell.com>, Arthur C'Saltmarsh art_saltmarsh@admin.state.ak.us>, Chris Gay <cdgay@marathonoil.com>, fours@mtaonline.net, Rudy Brueggeman <rudy.brueggemann@internatonal.gc.ca>, Cary Carrigan <cary a kfgd.com>, Sonja Frankllin <sfranklin6@bloomberg.net>, Mike Bill <Michael.B11@bp.com>, Walter Quay <WQuay@chevron.com>, "Alan Birnbaum <V"V"Alan J Birnbaum V">" <clan_birnbaumV"@law.state.ak.us>, Randall Kanady <Randall.B.Kanady@conocophillips.corn>, MJ Loveland <N1878@conocophillips.com>, Christian Gou-Leonhardt <Christian_Gou-Leonhardt@legis.state.ak.us> Jody Colombie <jody colombie cr,admin.state.ak.us> Special Staff Assistant Alaska Oil and Gas Conservation Commission Department of Administration Content-Type: application/pdf NB-04A Public Notice.pdf Content-Encoding: base64 2 of 2 6/26/2007 12:28 PM Mary Jones David McCaleb Mona Dickens XTO Energy, Inc. IHS Energy Group Tesoro Refining and Marketing Co. Cartography GEPS Supply & Distribution 810 Houston Street, Ste 2000 5333 Westheimer, Ste 100 300 Concord Plaza Drive Ft. Worth, TX 76102-6298 Houston, TX 77056 San Antonio, TX 78216 George Vaught, Jr. Jerry Hodgden Richard Neahring PO Box 13557 Hodgden Oil Company NRG Associates Denver, CO 80201-3557 408 18th Street President Golden, CO 80401-2433 PO Box 1655 Colorado Springs, CO 80901 John Levorsen Michael Parks Mark Wedman 200 North 3rd Street, #1202 Marple's Business Newsletter Halliburton Boise, ID 83702 117 West Mercer St, Ste 200 6900 Arctic Blvd. Seattle, WA 98119-3960 Anchorage, AK 99502 Baker Oil Tools Schlumberger Ciri 4730 Business Park Blvd., #44 Drilling and Measurements Land Department Anchorage, AK 99503 2525 Gambell Street #400 PO Box 93330 Anchorage, AK 99503 Anchorage, AK 99503 Ivan Gillian Jill Schneider Gordon Severson 9649 Musket Bell Cr.#5 US Geological Survey 3201 Westmar Cr. Anchorage, AK 99507 4200 University Dr. Anchorage, AK 99508-4336 Anchorage, AK 99508 Jack Hakkila Darwin Waldsmith James Gibbs PO Box 190083 PO Box 39309 PO Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Kenai Nalional Wildlife Refuge Penny Vadla Richard Wagner Refuge Manager 399 West Riverview Avenue PO Box 60868 PO Box 2139 Soldotna, AK 99669-7714 Fairbanks, AK 99706 Soldotna, AK 99669-2139 Cliff Burglin Bernie Karl North Slope Borough PO Box 70131 K&K Recycling Inc. PO Box 69 Fairbanks, AK 99707 PO Box 58055 Barrow, AK 99723 Fairbanks, AK 99711 Williams Thomas Arctic Slope Regional Corporation Land Department ~ n PO Box 129 ~ '((// Barrow, AK 99723 ~ r~ ~~ ~~ ~ ~ STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West Seventh Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF TECK COMINCO) ALASKA INCORPORATED for an order ) granting an exception to the spacing ) requirements of 20 AAC 25.055 (a)(4), ) allowing drilling, completion, testing and ) regular production within the same ) governmental section and within 3,000 feet ) of a well capable of producing from the ) same pool. ) Recusal from Decision John K. Norman, Chairman hereby recuses himself from June 26, 2007 Date ~. 1 Certify ~~t ~~ ...~-1~~t ;IG' . ®f the above ~ ~~ s ~~i 'tm e of the i~l1~ , ~ l oi~ :~ .~.,~~^~~ r rid /) f,- `~' /°' [:l i l LG .,~ JC'_ NB No. 04A Exploratory Gas Well entitled case. ~1 • E & P SERVICES, INC. June 18, 2007 Mr. Tom Maunder, P.E. Petroleum Engineer Mr. Steve Davies Petroleum Geologist • ~ccii red ~-,,,. ,.,/u.ns. Z ~, Zoo 7 QS ~4.ir~ P.trN~! r' ~+s ~i ~l 6.2607 Alaska Oil and Gas Conservation Commission 333 7th Ave, Suite 100 Anchorage, AK 99501 Re: Teck Cominco Alaska Incorporated, Application for Exemption to 20 AAC 25.055(a)(4), Spacing Exemption for Well No. NB-04A, Red Dog Gas Exploration Project Dear Mr. Maunder and Mr. Davies, The 2007 Red Dog Shale Gas Exploration Project will consist of drilling two (2) shallow shale gas exploration wells and completing a third, to complete afive-spot pattern of test wells designed to determine if natural gas will desorb in commercial quantities from the organic-rich shales of the Kivalina formation. All five wells originally in the five-spot pattern currently have valid spacing exemptions. These wells are NB-O1 (PTD 205-095), NB-02 (PTD 205-096), NB-03 (PTD 206-090), NB-04 (PTD 206-091), and NB-OS (PTD 206-097). In year 2006, well number NB-04 was prematurely abandoned due to downhole mechanical problems associated with high fresh water influx rates and hole instability that was exacerbated by drilling with air. The subject well, NB-04A, is a replacement for well NB-04. The NB-04A surface location is approximately 15 ft. from the NB-04 surface location and as such maybe ~ ;' covered by the NB-04 exemption, particularly since it is a replacement well drilled from the same pad as NB-04 and is located in close proximity to the P&A'ed NB-04 well. This application for spacing exemption is submitted in the event it is required by an alternative interpretation of the spacing exemption regulation. Well No. NB-04A is located less than 3000 ft. from wells No. NB-O1, NB-02, NB-03, and NB-OS (permitted but not yet drilled). Under 20 AAC 25.055(a)(4), well No. NB- 04A will also be subject to a spacing exemption since it is located within the five-spot pattern. 2000 East 88th Avenue, Suite 200 • Anchorage, Alaska 99507 • (907) 258-3446 • (907) 279-5740 r~C ~ • The following information is submitted on behalf of Teck Cominco Alaska Incorporated in support of this application for a spacing exemption: 1. 20 aac 25.055 (d) (1): The names of all owners, landowners and all properties within 1000 ft. of a well drilling for oil, or within 3000 ft. of a well drilling for gas for which and exemption is sought. There is only a single landowner involved, which is: Nana Regional Corporation P.O. Box 49 Kotzebue, Alaska 99752 The operator of the NB-04A well and all the surrounding acreage affected by the Red Dog Gas Exploration Project is: Teck Cominco Alaska Incorporated 3105 Lakeshore Drive, Bldg. A Anchorage, Alaska 99517 Since Teck Cominco Alaska Incorporated is the applicant, a copy of this application has been sent by Certified Mail only to Nana Regional Corporation at the above address. 2. 20 AAC 25.055 (d) (2): A plat drawn to scale of one inch equaling 2640 feet or larger showing the location of the well for which the exemption is sought, all other drilling and completed wells on the property, and adjoining properties and wells: The plat is attached. 3. 20 AAC 25.055 (d) (3): An affidavit by a person acquainted with the facts verifying that the facts are true, and that the plat correctly portrays pertinent and required data: The affidavit is attached. Teck Cominco Alaska Incorporated believes that 20 AAC 25.055, as presently written, was never intended to cover the situation presented by the Red Dog Gas Exploration Project, where a closely spaced five-spot well pattern is required to test the gas desorption potential of the Kivalina shales. The objectives of the five spot program are to confirm geologic and reservoir properties over a large area relative to the near well-bore data obtained from the test wells; to simulate the fully bounded conditions of interior wells in a full field development setting by allowing for dewatering the center well; to determine relative permeability through simulation history matching of the gas, water, and pressure data obtained from producing the five-spot wells; and to prove the capabilities of the target shale body to produce gas in commercial quantities. r~G ~ • The center well in the pattern will provide an analog of how wells will perform field- wide once a regional pressure drawdown is attained through dewatering, and will prove the capability to produce methane. Previous studies have shown that a single unconfined well will produce significantly less than fully bounded wells due to ability of the surrounding formation to replenish water to the shale fractures near the producing well, and therefore may not provide a reliable indicator for future field production. Furthermore, reservoir simulation history matching of a single well may yield unreliable relative permeability data. Once reservoir simulation history matching has been successfully completed, the results can be used to make certain critical determinations prior to proceeding with the full field development, such as optimal well spacing, well field layout, and optimal stimulation and operating practices. Advanced Resources International, under contract to Teck Cominco, has developed the five-spot well location spacing to be used in the pilot project. Based on this spacing, and on the forgoing information, Teck Cominco respectively requests that the Commission consider an alternative interpretation of 20 AAC 25.055 for the Red Dog Pilot project which considers the five-spot pattern to be a single interactive penetration of the reservoir. Thank you for your consideration of these matters. ~.. < ~~ r~_ ~----_ R.C. Gardner Sr. Technical Advisor For Teck Cominco Alaska Incorporated Attachments ~;; ~ • • • • AFFIDAVIT This affidavit will certify that I, R.C. Gardner, am acquainted with the information in the Application of Permit to Drill for the Teck Cominco Alaska Incorporated Well No. NB- 04A, the subsequent responses to questions from the AOGCC regarding the drilling and operations procedures relating to the well; the application for spacing exempting for this well as defined in 20 AAC 25.055; and the plat showing the location of this well with respect to surrounding wells. I further certify that the facts presented in these documents are true, and correctly portray the pertinent and required data. ,~ ,~-- Signed: r~ " ~ - ~ ---------__. Date: ~`l ~` ,~~' , R.C. G dner Sr. Technical Advisor Fairweather E & P Services, Inc. Signed and sworn before me this_ day of June, 2007. '' ~~~, ~.-i pct ~ ~~;;~~ 1 l~c~~ rain Notaty Public t' na! C~~,'n /rc~ 5S, u~ ~~~~; ~~S G 2/ LS%.~