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Home My WebLink AboutCO 656 • • Image Project Order File Cover Page 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 b direct inspection of the file. 0 ( (O Order File Identifier Organizing (done) ❑ Two -sided itt II II II 11111 1111 ❑ Rescan Needed III 111111 111 RES AN DIGITAL DATA OVERSIZED (Scannable) Color Items: ❑ Diskettes, No. El Maps: ❑ Greyscale Items: ❑ Other, No/Type: ❑ Other Items Scannable by a Large Scanner ❑ Poor Quality Originals: OVERSIZED (Non - Scannable) ❑ Other: ❑ Logs of various kinds: NOTES: ❑ Other:: BY: Maria Date: 30 /0.. isi la 1 Project Proofing 1 111111 IIII BY: en Date: 0 IA- /s! 1 • Scanning Preparation x 30 = + = TOTAL PAGES L3 (Count does not include cover sheet) IAA BY: (Mari 7/30//g_ Date: /s/ Production Scanning I 111111 1111 Stage 1 Page Count from Scanned File: at-i- (Count does include cover sheet) Page Count Matches Number in Scanning Pre aration: vYES NO BY: M Date: 7/30 ,/a.. isi 1 1 Sta 1 If NO in stage 1, page(s) discrepancies were found: YES NO BY: Maria Date: isi Scanning is complete at this point unless rescanning is required. II 1 III ReScanned II 11111 1111 BY: Maria Date: /s/ Comments about this file: Quality Checked II 11111 i 10/6/2005 Orders File Cover Page.doc • • Conservation Order 656 Kustatan Field #1 1. March 7, 2012 CIE Spacing exception application 2. March 19, 2012 Notice of hearing, affidavit of publication, mailing list, email list Conservation Order 656 S • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF Cook Inlet Energy, LLC ) Docket Number: CO -12 -07 for an exception to the spacing requirements of ) Order No. 656 20 AAC 25.055(a)(2) to complete a ) development gas well within 1500 feet of a ) Kustatan Field No. 1 Development Gas property line where the owner and landowner ) Well are not the same on both sides of the line. ) Kustatan Field #1 Gas Pool Kustatan Field Cook Inlet, Alaska ) April 27, 2012 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 27th day of April, 2012. BY DIRECTION OF THE COMMISSION Jo I ' J. Colour • ie Spb • ial Assistant to the Commission 4 • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF Cook Inlet ) Docket Number: CO -12 -07 Energy, LLC for an exception to the spacing ) Order No. 656 requirements of 20 AAC 25.055(a)(2) to ) complete a development gas well within 1500 ) Kustatan Field No. 1 Development Gas feet of a property line where the owner and ) Well landowner are not the same on both sides of ) Kustatan Field #1 Gas Pool the line. ) Kustatan Field Cook Inlet, Alaska ) April 27, 2012 IT APPEARING THAT: 1. By a letter dated March 7, 2012, Cook Inlet Energy, LLC requested the Alaska Oil and Gas Conservation Commission (AOGCC) to issue an order for an exception to the spacing provisions of 20 AAC 25.055(a)(2) to allow completion of the Kustatan Field No. 1 development gas well within 1500 feet of a property line where the owner and landowner are not the same on both sides of the line. 2. Pursuant to 20 AAC 25.540, the AOGCC tentatively scheduled a public hearing for April 26, 2012, and on March 20, 2012 the AOGCC published notice of the opportunity for that public hearing on the State of Alaska's Online Public Notice website and on the AOGCC's website, and electronically transmitted the notice to all persons on AOGCC's email distribution list. On March 25, 2012, the notice was published in the ALASKA JOURNAL OF COMMERCE. 3. By certified mail, Cook Inlet Energy, LLC sent notice of the application to all owners, landowners, and operators of all properties within 3,000 feet of the Kustatan Field No. 1 well. Cook Inlet Energy, LLC provided the AOGCC the notice, date of mailing, addresses to which the notice was sent, and proof of mailing. 4. No protest to the application or request for hearing was received. 5. Because Cook Inlet Energy, LLC provided sufficient information upon which to make an informed decision, the request can be resolved without a hearing. 6. The tentatively scheduled public hearing was vacated on April 12, 2012. FINDINGS: 1. Cook Inlet Energy, LLC is the operator of the Kustatan Field and is the operator of the Kustatan Field No. 1 development gas well, which are located on the west side of the Cook Inlet, Kenai Peninsula Borough, Alaska. Order 656 • April 27, 2012 Page 2 of 3 2. The surface location of the Kustatan Field No. 1 gas development well is 3443' from the north line and 1468' from the west line of Section 4, T7N, R14W, Seward Meridian. 3. The Kustatan Field No. 1 is a vertical well; the productive and prospective gas reservoir(s) and the bottom hole location have the same coordinates as the surface location. 4. The Kustatan Field No. 1 lies within State of Alaska lease ADL- 390368. 5. The Kustatan Field No. 1 is the only well within Section 4, T7N, R14W, Seward Meridian, and it is the only well within State of Alaska lease ADL- 390368. There are no other oil or gas wells within 3,000 feet of the Kustatan Field No. 1 well. 6. Cook Inlet Energy, LLC is the owner and operator of lease ADL- 390368. Other potentially affected owners, landowners and operators, those within a 3,000 -foot radius of the well, are the State of Alaska, Cook Inlet Region, Inc., the Diocese of Sitka and Alaska Orthodox Russian Church in America, and Apache Alaska Corporation. Cook Inlet Energy, LLC sent notice of its application to these entities by certified mail on March 8, 12 and 13, 2012. 7. Cook Inlet Energy, LLC may recomplete the Kustatan Field No.1 well in previously producing gas reservoirs that lie within the Kustatan Field #1 Gas Pool, which is defined in, and governed by, Conservation Order No. 566. Cook Inlet Energy, LLC may complete additional prospective gas reservoirs in the Kustatan Field No.1 that do not lie within the Kustatan Field #1 Gas Pool. 8. Previously produced and prospective gas reservoir(s) accessed by Kustatan Field No.1 are lenticular and discontinuous. 9. The AOGCC received no comments, objections or protests in response to the public notice regarding the Kustatan Field No. 1 or to the notification sent by Cook Inlet Energy, LLC to all known owners, landowners and operators within 3,000 feet of the Kustatan Field No. 1 well. CONCLUSIONS: 1. An exception to the well spacing provisions of 20 AAC 25.055(a)(2) is necessary to allow completion of the Kustatan Field No. 1 development well in gas reservoirs that lie outside of the Kustatan Field #1 Gas Pool in order to maximize recovery of reserves. 2. The Kustatan Field No. 1 will recover reserves that are not accessible to other existing wells. 3. A spacing exception to allow completion of the Kustatan Field No. 1 development gas well is consistent with sound engineering and geoscience principles and will not result in waste or jeopardize correlative rights of adjoining or nearby owners. 4. Waiver of the property line set -back requirements of 20 AAC 25.055(a)(2) will not promote waste or jeopardize correlative rights. Order 656 • April 27, 2012 Page 3 of 3 NOW THEREFORE IT IS ORDERED: Cook Inlet Energy, LLC's March 7, 2012 application for exception to the well spacing provisions of 20 AAC 25.055 for the purpose of completing the Kustatan Field No. 1 development gas well is approved. Cook Inlet Energy, LLC may proceed with the completion and recompletion of the Kustatan Field No. 1 well and regular production from it as long as Cook Inlet Energy, LLC complies with the terms of the lease and applicable Alaska Law. DONE at Anchorage, Alaska and dated A . . ! 2. ` b p i f J i T 4 an ' V y r , V• ner " hair Commissioner � � �. mmis 'o 4 r'XON 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 AOGCC grants for good cause shown, a person affected by it may file with the AOGCC 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 AOGCC 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 AOGCC denies reconsideration, upon denial, this order or decision and the denial of reconsideration are FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the AOGCC mails, OR 30 days if the AOGCC otherwise distributes, the order or decision denying reconsideration, UNLESS the denial is by inaction, in which case the appeal MUST be filed within 40 days after the date on which the application for reconsideration was filed. If the AOGCC grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on reconsideration will be the FINAL order or decision of the AOGCC, and it may be appealed to superior court. That appeal MUST be filed within 33 days after the date on which the AOGCC mails, OR 30 days if the AOGCC otherwise distributes, the order or decision on reconsideration. As provided in AS 31.05.080(b), "[tlhe questions reviewed on appeal are limited to the questions presented to the AOGCC 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 period; 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. • S Colombie, Jody J (DOA) � ) From: Colombie, Jody J (DOA) Sent: Friday, April 27, 2012 1:05 PM To: Ballantine, Tab A (LAW); Brooks, Phoebe; Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Fisher, Samantha J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Herrera, Matt F (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Makana Bender; Matt Herrera; Maunder, Thomas E (DOA sponsored); McIver, Bren (DOA); McMains, Stephen E (DOA); Mumm, Joseph (DOA sponsored); 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); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); 'Aaron Gluzman'; 'Ben Greene'; 'Bruce Williams'; Bruno, Jeff J (DNR); 'CA Underwood'; Casey Sullivan; 'Dale Hoffman'; David Lenig; 'Donna Vukich'; Eric Lidji; Erik Opstad; Franger, James M (DNR); 'Gary Orr; 'Graham Smith'; 'Greg Mattson'; Heusser, Heather A (DNR); 'Jason Bergerson'; Jennifer Starck; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lara Coates'; Lois Epstein; Marc Kuck; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; Maurizio Grandi; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; Perrin, Don J (DNR); Peter Contreras; Pexton, Scott R (DEC); Richard Garrard; 'Ryan Daniel'; 'Sandra Lemke'; Talib Syed; 'Ted Rockwell'; 'Wayne Wooster; 'Wendy Wollf; 'William Hutto'; 'William Van Dyke'; (michael.j.nelson @conocophillips.com); (Von. L. Hutchins @conocophillips.com); 'AKDCWelllntegrityCoordinator; Alan Dennis; alaska @petrocalc.com; Anna Raff; 'Barbara F Fullmer; bbritch; Becky Bohrer; Bill Penrose; Bill Walker; Bowen Roberts; Brandon Gagnon; Brandow, Cande (ASRC Energy Services); Brian Havelock; Bruce Webb; caunderwood; Chris Gay; 'Claire Caldes'; Cliff Posey; Crandall, Krissell; 'D Lawrence'; dapa; Daryl J. Kleppin; 'Dave Harbour; 'Dave Matthews'; David Boelens; David House; 'David Scott; David Steingreaber; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; Elowe, Kristin; Erika Denman; Francis S. Sommer; Fred Steece; Garland Robinson; Gary Laughlin; Gary Schultz (gary.schultz @alaska.gov); ghammons; Gordon Pospisil; Gorney, David L.; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; gspfoff; Jdarlington (jarlington @gmail.com); 'Jeanne McPherren'; Jeff Jones; Jeffery B. Jones (jeff.jones @alaska.gov); Jerry McCutcheon; Jill Womack; Jim White; Jim Winegarner; 'Joe Lastufka'; Joe Nicks; 'John Easton'; John Garing; John Katz (john.katz @alaska.gov); John S. Haworth; John Spain; Jon Goltz; Jones, Jeffrey L (GOV); Judy Stanek; Julie Houle; Kari Moriarty; Kaynell Zeman; Keith Wiles; Kelly Sperback; 'Kim Cunningham'; Larry Ostrovsky; Laura Silliphant (laura.gregersen @alaska.gov); 'Luke Keller; Marc Kovak; Mark Dalton; Mark Hanley (mark.hanley @anadarko.com); Mark P. Worcester; Marguerite kremer (meg.kremer @alaska.gov); 'Michael Dammeyer; Michael Jacobs; Mike Bill; Mike Mason; 'Mike Morgan'; Mikel Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; nelson; Nick W. Glover; NSK Problem Well Supv; Patty Alfaro; Paul Decker (paul.decker @alaska.gov); 'Paul Figel'; 'Paul Mazzolini'; Randall Kanady; Randy L. Skillern; 'Rena Delbridge'; 'Renan Yanish'; rob.g.dragnich @exxonmobil.com; 'Robert Brelsford'; Robert Campbell; 'Ryan Tunseth'; Scott Cranswick; 'Scott Griffith'; Shannon Donnelly; Sharmaine Copeland; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Sondra Stewman; 'Stephanie Klemmer; Steve Lambert; Steve Moothart (steve.moothart @alaska.gov); Steven R. Rossberg; 'Suzanne Gibson'; tablerk; Tamera Sheffield; Taylor, Cammy 0 (DNR); Temple Davidson; Teresa Imm; Terrie Hubble; Thor Cutler; 'Tim Mayers'; Tina Grovier; Todd Durkee; Tony Hopfinger; trmjrl; Vicki Irwin; Walter Featherly; Will Chinn; Williamson, Mary J (DNR); Yereth Rosen Subject: CO 656 (Kustatan #1 Spacing Exception) Attachments: co656.pdf Jodh J. Colombie Special Assistant Alaska Oil and Gas Conservation Commission 333 West 7th Avenue Anchorage, AK 99501 (907)793 -1221 (phone) (907)276 -7542 (fax) 1 0 0 Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman NRG Associates Hodgden Oil Company Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI 95 Tools K &K Recycling Inc. Land Department E. Oil h 7 P. Box 58055 P.O. Box 93330 795 E. 94 Ct. Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, Anchors a AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 + II \"( UN \\\ #2 �I STATE OF ALASKA NOTICE TO PUBLISHER • ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED O_0221401 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF A ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. March 19, 2012 R 333 W 7th Ave, Ste 100 Jody Colombie ° Anchorage, AK 99501 PHONE PCN M (9071 793 —1221 DATES ADVERTISEMENT REQUIRED: o Alaska Journal of Commerce March 25, 2012 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement SEE ATTACHED SEND INVOICE INTRIPLICATE` AOGCC, 333 W. 7th Ave., Suite 100 PAGE 1 OF TOTAL OF Anchorage, AK 99501 2 PAGES ALL PAGES$ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LID 12 02140100 73451 2 REQUISITION D B 4111- DIVISION APPROVAL: AlA 02 -902 Rev. 3/94 Publisher/Original Copies: Department Fiscal, Department, Receiving ( g P P P AO.FRM • S Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket # CO- 12 -07. The application of Cook Inlet Energy, LLC for an exception to the spacing requirements of 20 AAC 25.055(a)(2) to recomplete a development gas well within 1500 feet of a property line where the owner and landowner are not the same on both sides of the line. Cook Inlet Energy, LLC, by a letter dated March 7, 2012, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055(a)(2) to recomplete the Kustatan Field No. 1 development gas well within 1500 feet of a property line where the owner and landowner are not the same on both sides of the line. The surface location of this well is provided below. Because this is a vertical well, the top of the productive interval(s) and the bottomhole location have the same coordinates. Kustatan Field No. 1 Surface Location: 3443' from the north line and 1468' from the west line of Section 4, T7N, R14W, Seward Meridian The AOGCC has tentatively scheduled a public hearing on this application for April 26, 2012 at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on April 11, 2012. If a request for a hearing is not timely filed, the AOGCC may consider the issuance of an order without a hearing. To learn if the AOGCC will hold the hearing, call 793 -1221 after April 23, 2012. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on April 25, 2012, except that, if a hearing is held, comments must be received no later than the conclusion of the April 26, 2012 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the AOGCC's Special Assistant, Jody Colombie, at 793 -1221, no later than April 24, 2012. Cath P. Foerster Chair, Commissioner • a01 'V ALASKA .. J ournal ofCommerce Notice of Public Nearing • STATE OF ALASKA and Gas Alaska Oil & Gas Conser ation Commission Alaska Oil Commission nservation v Public Notices FILE NO: AO - 02214012 Re: Docket # CO- 12 -07. The applica- Von of Cook Inlet Energy, LLC for an Ad #: 10161125 A04 exception to the spacing requirements of 20 MC 25.055(a)(2) to recomplete -rgY a development gas well within 1500 AFFIDAVIT OF pU feet of a property line where the owner and landowner are not the same on both sides of the line. Cook UNITED STATES OF AMERICA, STATE OF ATTAC dated Inlet 20 , 2, �equests er )N HERE ALASKA, THIRD DISTRICT BEFORE ME, THE Alaska Oil and Gas Conservation UNDERSIGNED, A NOTARY PUBLIC THIS Commission (AOGCC) issue an order for an exception to the spacing DAY PERSONALLY APPEARED Lara Bickford requirements of 20 MC 25.055(a)(2) to recomplete the Kustatan Field No. 1 WHO, BEING FIRST DULY SWORN, develoment ACCORDING TO THE LAW, SAYS THAT SHE of a property as line here the owner and IS THE Business Manager OF THE ALASKA landowner are not the same on both JOURNAL OF COMMERCE PUBLISHED AT 301 sides of the line. The surface location ARTIC SLOPE AVENUE, SUITE 350, IN SAID of this well is provided below. Because this is a vertical well, l, the top THIRD DISTRICT AND STATE OF ALASKA of the productive interval(s) and the AND THAT ADVERTISEMENT, OF WHICH THE c nates. location have the same ANNEXED IS A TRUE COPY, WHICH WAS Kustatan Field No. 1 PUBLISHED IN SAID PUBLICATION Surface Location: 3443' from the north line and 1468' from the west line of Section 4, T7N, R14W, Seward 03/25/2012 Meridian The AOGCC has tentatively scheduled 25th DAY OF MARCH 2012 a public hearing on n this this application for AND THERE AFTER FOR 1 Alaska 26, Oil and CONSECUTIVE WEEK(S) AND THE Commission, at 333 West 7th Avenue, Suite LAST PUBLICATION APPEARING ON To req est that the tentatively sched- 03/25/2012 uled hearing be held, a written request 25th DAY OF MARCH 2012 han 4:30 m. on April 11, 20 la If a request for a hearing is not timely filed, the AOGCC may consider the issuance of an order without a hear - / ing. To learn if the AOGCC will hold the hearing, call 793 -1221 after April 23, 2012. Lara Bickford In addition, written comments regard - Business Manager ing this application may be submitted to the SUBSCRIBED AND SWORN BEFORE ME Commission, Oil t 333 West 7th Avenue, THIS 26th DAY OF March 2012 Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on April 25, 2012, except that, if a hearing is held, corn- . • ■ merits must be received no later than a� ►� L . t .n■ 111 _ the conclusion of the April 26, 2012 NOTARY PUBLIC STATE OF ALAS • hearing. MY COMMISSION EXPIRES 6/14/12 If, because of a disability, special accommodations may be needed to NOTARY PUBLIC comment attend the s s, n tact the AO GCC's Special ial A Assistato nt, , Jody Colombie, at 793 -1221, no later BELIhDA CUMMINGS than April 24, 2012. STATE OF ALASKA By: /s/Cathy P. Foerster MY COMMISSION EXPIRES June 14, 2012 Chair, Commissioner Pub: 3/25/2012. Ad #10161125 • ,STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE AFFIDAVIT MUST OF BEB IN PUBLICATION (P TRIPLICATE ART SHOWING 2 OF THIS FORM) ADVER WITH TISING ATTACHED ORDER NOCO., PY CERTIFIED OF M A O_02214011 ORDER 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 Jodv Colombie March 19. 2012 ° Anchorage_ AK 99501 PHONE PCN M (9071 793 -1221 DATES ADVERTISEMENT REQUIRED: 0 Alaska Journal of Commerce March 25, 2012 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he /she is the of Published at in said division and state of and that the advertisement, of which the annexed is a true copy, was published in said publication on the day of 2012, and thereafter for consecutive days, the last publication appearing on the day of , 2012, 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 2012, Notary public for state of My commission expires • • S Colombie, Jody J (DOA) From: Colombie, Jody J (DOA) Sent: Tuesday, March 20, 2012 8:58 AM To: 'Aaron Gluzman'; 'Ben Greene'; 'Bruce Williams'; Bruno, Jeff J (DNR); 'CA Underwood'; Casey Sullivan; 'Dale Hoffman'; David Lenig; 'Donna Vukich'; Eric Lidji; Erik Opstad; Franger, James M (DNR); 'Gary Orr; 'Graham Smith'; 'Greg Mattson'; Heusser, Heather A (DNR); 'Jason Bergerson'; Jennifer Starck; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lara Coates'; Lois Epstein; Marc Kuck; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; Maurizio Grandi; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; Perrin, Don J (DNR); Peter Contreras; Pexton, Scott R (DEC); Richard Garrard; 'Ryan Daniel'; 'Sandra Lemke'; Talib Syed; 'Ted Rockwell'; 'Wayne Wooster; 'Wendy Wollf; 'William Hutto'; 'William Van Dyke'; ( michael .j.nelson @conocophillips.com); (Von. L. Hutchins @conocophillips.com); 'AKDCWelllntegrityCoordinator; Alan Dennis; alaska @petrocalc.com; Anna Raff; 'Barbara F Fullmer; bbritch; Becky Bohrer; Bill Penrose; Bill Walker; Bowen Roberts; Brandon Gagnon; Brandow, Cande (ASRC Energy Services); Brian Havelock; Bruce Webb; caunderwood; Chris Gay; 'Claire Caldes'; Cliff Posey; Crandall, Krissell; 'D Lawrence'; dapa; Daryl J. Kleppin; 'Dave Harbour; 'Dave Matthews'; David Boelens; David House; 'David Scott; David Steingreaber; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; Elowe, Kristin; Erika Denman; Francis S. Sommer; Fred Steece; Garland Robinson; Gary Laughlin; Gary Schultz (gary.schultz @alaska.gov); ghammons; Gordon Pospisil; Gorney, David L.; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; gspfoff; Jdarlington (jarlington @gmail.com); 'Jeanne McPherren'; Jeff Jones; Jeffery B. Jones (jeff.jones @alaska.gov); Jerry McCutcheon; Jill Womack; Jim White; Jim Winegarner; Joe Nicks; 'John Easton'; John Garing; John Katz (john.katz @alaska.gov); John S. Haworth; John Spain; Jon Goltz; Jones, Jeffrey L (GOV); Judy Stanek; Julie Houle; Kari Moriarty; Kaynell Zeman; Keith Wiles; Kelly Sperback; 'Kim Cunningham'; Larry Ostrovsky; Laura Silliphant (laura.gregersen @alaska.gov); Marc Kovak; Mark Dalton; Mark Hanley (mark.hanley @anadarko.com); Mark P. Worcester; Marguerite kremer (meg.kremer @alaska.gov); 'Michael Dammeyer; Michael Jacobs; Mike Bill; Mike Mason; 'Mike Morgan'; Mikel Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; nelson; Nick W. Glover; NSK Problem Well Supv; Patty Alfaro; Paul Decker (paul.decker @alaska.gov); 'Paul Figel'; Randall Kanady; Randy L. Skillern; 'Rena Delbridge'; 'Renan Yanish'; rob.g.dragnich @exxonmobil.com; 'Robert Brelsford'; Robert Campbell; 'Ryan Tunseth'; Scott Cranswick; 'Scott Griffith'; Shannon Donnelly; Sharmaine Copeland; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Sondra Stewman; Steve Lambert; Steve Moothart (steve.moothart@alaska.gov); Steven R. Rossberg; 'Suzanne Gibson'; tablerk; Tamera Sheffield; Taylor, Cammy 0 (DNR); Temple Davidson; Teresa Imm; Terrie Hubble; Thor Cutler; 'Tim Mayers'; Tina Grovier; Todd Durkee; Tony Hopfinger; trmjrl ; Vicki Irwin; Walter Featherly; Will Chinn; Williamson, Mary J (DNR); Yereth Rosen; Ballantine, Tab A (LAW); Brooks, Phoebe; Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Fisher, Samantha J (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Herrera, Matt F (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Makana Bender; Matt Herrera; Maunder, Thomas E (DOA sponsored); McIver, Bren (DOA); McMains, Stephen E (DOA); Mumm, Joseph (DOA sponsored); 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); Schwartz, Guy L (DOA); Seamount, Dan T (DOA) Subject: Public Notices AOGCC Attachments: CO 12 -07 CIE Public Notice.pdf; CO 12 -08 CPA Public Notice.pdf Jody J. Colombie Special Assistant Alaska Oil and Gas Conservation Commission 333 West 7th Avenue Anchorage, AK 99501 (907)793 -1221 (phone) (907)276 -7542 (fax) 1 * • I Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman NRG Associates Hodgden Oil Company Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI K &K Recycling Inc. Land Department Baker Oil Tools P.O. Box 58055 P.O. Box 93330 795 E. 94 Ct. Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department g P.O. Box 69 P.O. Box 60868 3201 Westmar Circle Barrow, AK 99723 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 4 ) n/ r L4t • 1 A A Cook Inlet Energy_ March 7, 2012 Alaska Oil and Gas Conservation Commission 333 West 7 Ave., Suite 100 Anchorage, Alaska 99501 Re: Spacing Exception for the Kustatan Field 1 (KF #1) Well Workover and Recompletion Dear Commissioners, Cook Inlet Energy, LLC (CIE) hereby applies for an exception under 20 AAC 25.055(d) to the well spacing requirements in 20 AAC 25.055(a)(2). Specifically, CIE requests approval to workover the KF #1 Well (API 50 -133- 20496- 00 -00) for gas within 1,500 feet of a property line where the owner and landowner is not the same on both sides of the line. CIE proposes to reenter the KF #1 Well and recomplete the previously producing zone(s) and potentially complete and test shallower zones not covered by CO 566 (please refer to previously submitted CIE Sundry Permit application). The KF #1 Well has a surface location within Section 4, T. 7 N., R. 14 W., S.M. 3,443 feet from the north section line and 1,468 feet from the west section line. The well is a straight hole and has the same bottomhole location. The attached Exhibit A lists the Landowners, Owners, and Operators within 3,000 feet of the KF #1 Well and their contact information. The attached Exhibit B is a plat prepared on Alaska Mapper, the State of Alaska's mapping program, at a scale which complies with 20 AAC 25.055(d)(2). The attached Exhibit C is the Notice provided to Landowners, Owners and Operators by certified mail. The attached Exhibit D is an affidavit from Mr. Pirtle Bates, Jr., Certified Professional Landman # 56864 and Land Manager for CIE, verifying the plat and facts contained herein. Respectfully, David Hall CEO 601 W. 5 Avenue, Suite 310, Anchorage, AK 99501 (907) 334 -6745 * (907) 334 -6735 fax • Spacing Exception for the KF e11 Workover and Recompletion March 7, 2012 EXHIBIT A Landowner Owner Operator As defined in As defined in As defined in AS 31.05.170 7 AS 31.05.170 10 20 AAC 25.990 46 Le ' al Descri • tion rt` 1 State of Alaska Cook Inlet Cook Inlet ADL 390368 Energy, LLC Energy, LLC T. 7 N., R. 14 W., Seward Meridian, Alaska. Section 4, Unsurveyed, All tide and submerged lands, 8.75 acres; Section 9, Unsurveyed, All tide and submerged lands, 441.57 acres; Special Surveys U.S Survey 12121, Lot 1 and that portion of Lot 2 lying within Sections 3, 4, 9 & 10, 310.37 acres; U.S. Survey 4527, Lot 1 and 3, 161.09 acres; This Tract (C12003 -203) contains 962.89 acres, more or less. State of Alaska Apache Alaska Apache Alaska ADL 391100 Corporation Corporation T. 7 N., R. 14 W., Seward Meridian Alaska. Section 5, Unsurveyed, All tide and submerged lands, 286.66 acres; Section 6, Unsurveyed, All tide and submerged lands, 494.86 acres; Section 7, Protracted, All, 612.00 acres; Section 8, Protracted, All, 640.00 acres; T. 7 N., R. 14 W., Tract A, Seward Meridian, Alaska. Section 5, Unsurveyed, All uplands within the S1 /2 and the S1 /2NW1/4, excluding U.S. Survey 12121, Lot 2, 107.49 acres, Section 6, Unsurveyed, All uplands, 115.25 acres; Special Surveys U.S. Survey 12121, Lot 2, that portion within Section 5, 9.59 acres; CIRI This Tract (C12006 -204) contains 2,265.85 acres, more or less. CIRI CIRI CIRI T. 7 N., R. 14 W., Tract A, Seward Meridian, Alaska Sec. 4, N1/2 excluding USS 12121 Lots 1 & 2; Sec. 5, NE1 /4; Diocese of Sitka Diocese of Sitka Diocese of Sitka T. 7 N., R 14 W., Seward Meridian, Alaska. & Alaska & Alaska & Alaska U.S. Survey 363, Tract B, 4 68 acres Orthodox Orthodox Orthodox Church in Church in Church in America, Inc. America, Inc. America, Inc. Cook Inlet Cook Inlet Cook Inlet T. 7 N., R. 14 W., Seward Meridian, Alaska. Energy, LLC Energy, LLC Energy, LLC U.S. Survey 1999, 15.26 acres Cook Inlet Cook Inlet Cook Inlet T. 7 N, R. 14 W., Seward Meridian, Alaska. Energy, LLC Energy, LLC Energy, LLC U.S. Survey 4527, Lot 2, 4.97 acres • Spacing Exception for the KF Jell Workover and Recompletion March 7, 2012 Contact Information: State of Alaska CERTIFIED MAIL 7010 0290 0002 9144 6485 Department of Natural Resources Alaska Division of Oil and Gas 550 W 7th Avenue, Suite 800 Anchorage, AK 99501 -3560 907 - 269 -8800 CIRI CERTIFIED MAIL 7010 0290 0002 9144 6508 PO Box 93330 Anchorage, AK 99509 -3330 907 - 274 -8638 Cook Inlet Energy, LLC CERTIFIED MAIL 7010 0290 0002 9144 6515 601 W. 5th Avenue, Suite 310 Anchorage, AK 99501 907 - 334 -6745 Diocese of Sitka CERTIFIED MAIL 7010 0290 0002 9144 6522 & Alaska Orthodox Church in America, Inc. PO Box 210569 Anchorage, AK 99521 Apache Alaska Corporation CERTIFIED MAIL 7010 0290 0002 9144 6539 2000 Post Oak Boulevard, Suite 100 Houston, TX 77056 -4400 C N o — N • N s 3 � i J o All Status Map (public) c Alaska Mapper -d NAD 83 Alaska Albers Equal Area C s— 2,000 sumey ft. o O I✓ 0 0 ...,---- w ti wo = r w - GS 366 •1D1. 777269 to = x ZAN'D IV A' CONVEYED ccs � •---- SO -64 -0360 QCD 1437 V1 W - o T . / r -- 0 &G LFASF ' " ; 4~170tr / / 401_ 391100 I ' •, A VERT ISSUED, ISSUED f 8 U \________ .- i GRAPHIC ILLUSTRA I It oN ONLY. SOURCE DDCUME \T REMA INS THE OFFICIAL RECORD Dale Creased: Tuesd a • Mardi 6. 2012 • Spacing Exception for the KF Fell Workover and Recompletion March 7, 2012 EXHIBIT C Cook Inlet Energy_ March 7, 2012 Landowners, Owners and Operators See Distribution List Kustatan Area Cook Inlet Basin, Alaska RE: Notice Under 20 AAC 25.055(d) of Cook Inlet Energy, LLC's Application for a Spacing Exception for the Workover and Recompletion of the Kustatan Field 1 (KF #1) Well — API 50-133-20496-00-00 Dear Landowner, Owner and/or Operator, Cook Inlet Energy, LLC (CIE) is applying for a Spacing Exception under 20 AAC 25.055(d) and this Notice is being sent by certified mail to meet the notification requirements under 20 AAC 25.055(d). Specifically, CIE submitted a Sundry Permit Application to reenter the KF #1 and applied for an exception under 20 AAC 25.055(d) to the well spacing requirements in 20 AAC 25.055(a)(2). CIE plans to workover the KF #1 Well (API 50 -133- 20496- 00 -00) for gas within 1,500 feet of a property line where the owner and landowner is not the same on both sides of the line. CIE proposes to reenter the KF #1 Well and recomplete the previously producing zone(s) and potentially complete and test shallower zones not covered by Conservation Order 566 (previous spacing exception for certain zones within KF #1). The KF #1 Well has a surface location within Section 4, T. 7 N., R. 14 W., S.M. 3,443 feet from the north section line and 1,468 feet from the west section line. The well is a straight hole and has the same bottomhole location. CIE, through a search of the public record, has identified you as a Landowner, Owner or Operator (as defined in AOGCC regulations) within 3,000 feet of the KF #1 Well. Please contact me should you require additional information. Sincerely, Pirtle Bates, Jr. Land Manager - i Distribution List: Alaska Division of Oil and Gas; CIRI; Cook Inlet Energy, LLC; Diocese of Sitka & Alaska Orthodox Church in America, Inc.; and Apache Alaska Corporation 601 W. 5 Avenue, Suite 310, Anchorage, AK 99501 (907) 334-6745 * (907)334 -6735 fax • Spacing Exception for the KF fbell Workover and Recompletion March 7, 2012 EXHIBIT D Affidavit State of Alaska, Third Judicial District Personally appeared before me, Pirtle Bates, Jr., who, being duly sworn according to law, deposes and says: 1. I, Pirtle Bates, Jr., am Land Manager for Cook Inlet Energy, LLC and a Certified Professional Landman #56864. 2. I have prepared the foregoing Exhibits following a thorough review of land status records at the State of Alaska, Department of Natural Resources, Division of Oil and Gas, the Kenai Peninsula Borough, and the State Recorder's Office for the Anchorage Recording District. 3. The Landowners, Owners and Operators, as defined in relevant state statutes and regulations, identified in Exhibit B are the result of that record search and correct to the best of my knowledge. 4. The well location was taken from AOGCC records relating to the Kustatan Field 1 Well (API 50-133-20496-00-00). 5. The Notice in Exhibit C was sent to the Landowners, Owners and Operators identified in Exhibit A by certified mail. Further the affiant sayeth naught. k. 17/p_c)( Pirtle Bates, Jr. Date CPL #56864 UNITED STATES OF AMERICA § STATE OF ALASKA § ri Subscribed and sworn to before me on the / day of March, 2012. i 1 Not Public My commission expires: 1 ' 1 ZO / SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. X ❑ Agent • Print your name and address on the reverse i0. v . ' ■ ID Add == ee so that we can retum the card to you. B. Recei ' C. Dat- • !I ivory ___ _ • Attach this card to the back of the mailpiece, avr, j i N — — .. . - -- , j or on the front if space permits. ; • i m D. Is • live ,�y� al 1i O p ° $' = m o 1 Article Addressed to: ff YES, entb iC rll . _� _S+' ❑ No o n o o o .. 3 - _ a state of At —a MAR 0 2012 ._rs =�_ { ` . it. i m ° De artment•of Natural Resources m z- c 8,-.- " Division of Oil and Gas COOK 1 1111 FT 2 CA w ° a 1%., ni 550 W. 5th Avenue, Suite 800 3. Service Type tNEH( Y 411": z v P arm -. a ° 5 y Anchora a AK 99501 - CI �" D EXp ress Mail ro p r m rU m a m a T g' ❑Registered El Retum Receipt for Merchandise o CI_ g _ E o Bi w Q w ❑ Insur Mall ❑ C.O.D. w -� 3 o •. m 4. Restricted Delivery? (Extra Fee) ❑ Yes i i �� y 0 3 o m g.3 2. Article Number; 7010 029 0002 9144 6485 f l e. • < • .6 (Transfer from service 1360 In- :L✓ t • • I: IRS For, 381 2034 I i Domes Reign Receipt 102595- 02- M-154o m - � : m m ❑ ' 3 -. A W O � y �` o t 7 15 p p N ❑ ❑ ❑ �a - N COMPLETE THIS SECTION ON DELIVERY m CI w m 8 m / I - v y SENDER: COMPLETE THIS SECTION • Complete items 1 2 and 3. Also complete A Signature ` , ' fu ' , a - a n P �• y Item 4 If Restficted Delivery Is desired. X " 6 ' 4 Agent o o A . - z. ■ Print your name and address on the .reverse o—Ci : • • • ressee �' m so that we can return the card to you. B. Received by (Printed Name) C. a very ; ,t %.111 cl • ■ Attach this card to the back of the mailplece, 1 i 000 — f _ -0. y or on the front if space permits. s ❑ Yes r o D. !s del tt { 1 �: 1? 1 iV 1. Article Addressed to If YE ..:t1 t(:'R ` ❑ No ar L n . 3 —I v r ft O m g o aoo Pl. - MAR 0 9 2012 l -, a _ Cal f N ° ` PO Box 93330 COCK INI FT 0. ❑ �" ` • ❑ Anchorage, AK 99509 -3330 3. Service ❑ Certified Mail 0 Mall TypebNt6{taY s N a m Ex a ❑ Registered ❑ Retum Receipt for Merchandise ' ' cT g �. m ❑ Insured Mali ❑ C.O.D. ; 1 4. Restricted Delivery? (Extra Fee) ❑ Yes i 2. Article Number 7 010 02 9 0002 914 4 6508 _ 5 8 (Transfer fr laden • , ' PS Farm 3811,' February 2004 Domestic Return Receipt 1o2595 -o2-M -1540 , SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete Items 1, , an • 3. Also compl = e 4 A. 'B 1 ' II Item 4 if Restricted Delivery is desired. i � Agent NI NI Print your name and address on the reverse X A 0 Addressee so that we can return the card to you. B. Re = 'by (Printed Name) C. Date of Delivery II[ Attach this card to the back of the mallpiece, G t )c2 1 � — or on the front If space permits. 1. Article Addressed to: D. is d tm 1? 0 Yes If YES, enter delivery address below: O No MAR 2 2 2012 Apache A1as1 Corporation 2000 Post Oa 'Blvd., Suite 100 COOK INLET i Houston, TX 77056 -4400 C�Irt"�C'�' I , � S. Service Type O Certified Mali 0 Express Mall 0 Registered 0 Retum Receipt for Merchandise 0 insured Mall 0 C.O.D. 4. Restticted Delivery? (Extra Fee) ❑ yes 2. Arttcie Number I 7 010 0 2 9 0 0002 914 4 6539 (Transfer from service labe9 ` tOS drm 301 i dtirirary'2004 ' i ' Donn4stl)`detum I4ecelpt 102595-02 -M -1640 SENDER: COMPLETE THIS SECTION COMPLETE THiS SECTION ON DELIVERY • Complete Items 1, 2, and 3. Also complete A. nature item 4 If Restricted Delivery Is desired. aii Agent IN Print your name and address on the reverse X , Addressee so that we can return the card to you. Received by [,printed Name) C. a of elivery • Attach this card to the back of the malipiece, C 1 _ 3 . or on the front if space permits. 0 ) Alt (' )e, D. Is delive d ` = f=i�rr, item 1? 0 Y 1. Article Addressed to: H : .'.r,,. m. Blow: No , Diocese of S hit s & Alaska Orthodox MAR 14 2012 Church in Arr/ierica, Inc. Ex ,+ u n Ih11 FT PO Box 210569 rT, " Anchorage, AK 99521 -0569 a �r O Certified d M Maali 0 Express press Malt 0 Registered ❑ Retum Receipt for Merchandise 0 Insured Mall 0 C.O.D. 4. Restricted Delivery? (Extra Fee) 0 yes z. Article Number 7 010 0290 0 0 0 2 9144 6522 (Transfer from service label) i 1,I PS r f m 38111, rbbjtlar 2bb,4 I 1 ! Dojrjestic �tgtur.`n Receipt 102695.02 -M -1640