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HomeMy WebLinkAboutCO 684Index Conservation Order 684 1. November 8, 2013 Cook Inlet Energy request for Spacing Exception — Sword 41 Well 2. November 21, 2013 Notice of Public Hearing, affidavit of publication, email distribution, and mailings. Conservation Order 684 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- 13-26 Energy, LLC for an exception to the spacing ) Conservation Order No. 684 requirements of 20 AAC 25.055 (a)(2) to test ) Sword No. 1 and produce gas from the Sword 1 exploratory ) Exploratory Well well within 1,500 feet of a property line where ) Kenai Peninsula Borough, Alaska ownership or landownership changes. ) January 14, 2014 IT APPEARING THAT: 1. By a letter received November 8, 2013, Cook Inlet Energy, LLC (CIE) requested an exception to the spacing provisions of 20 AAC 25.055(a)(2) to test and produce gas from the Sword No. 1 exploratory well within 1,500 feet of a property line where ownership or landownership changes. 2. Pursuant to 20 AAC 25.540, the Alaska Oil and Gas Conservation Commission (AOGCC) tentatively scheduled a public hearing for January 14, 2014. On November 20, 2013, the AOGCC published notice of the opportunity for that hearing on the State of Alaska's Online Public Notice website and on the AOGCC's website, electronically transmitted the notice to all persons on the AOGCC's email distribution list, and mailed printed copies of the notice to all persons on the AOGCC's mailing distribution list. On November 21, 2013, the notice was published in the ANCHORAGE DAILY NEWS. No protest to the application or request for hearing was received. 3. Pursuant to 20 AAC 25.055(d)(1), CIE sent by certified mail notice of the application to all owners, landowners, and operators of all properties within 3,000 feet of the Sword No. 1 well. CIE provided the AOGCC the notice, date of mailing, addresses to which the notice was sent, and copies of the certified mail return receipts. 4. No protest to the application or request for hearing was received. 5. Because CIE 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 December 20, 2013. FINDINGS: 1. CIE is the operator of the Sword No. 1 exploratory well, located on the west side of the Cook Inlet, Kenai Peninsula Borough, Alaska. 2. The Sword No. 1 is a deviated exploratory well with an onshore surface location 2,195 feet from the south line and 1,860 feet from the west line of Section 16, Township 8 North, Range 14 West, Seward Meridian (S.M.). The offshore bottom -hole location is approximately 2,610 feet from the north line and 646 feet from the west line of Section 2, Township 8 North, Range 14 West, S.M. Conservation Order 684 January14, 2014 Page 2 of 3 3. The surface location of Sword No. 1 is situated on acreage owned by Cook Inlet Region, Inc. (CIRI). The bottom -hole location of the well lies within State of Alaska lease ADL 17602 Segment 1. 4. The only nearby well is the plugged and abandoned West Foreland Unit 1 exploratory well located over 1,900 feet to the southwest. 5. The AOGCC received no comments, objections or protests in response to the public notice regarding the proposed exception to the spacing requirements of 20 AAC 25.055 for the Sword No. 1 well or to the notification sent by CIE to all known owners, landowners, and operators within 3,000 feet of the Sword No. 1 well. 6. Sword No. 1 is an exploratory well that will test potential gas reservoir sands in the most structurally favorable position. CONCLUSIONS: 1. An exception to the well spacing provisions of 20 AAC 25.055(a)(2) is necessary to test and regularly produce gas from the Sword No. 1 exploratory well. 2. An exception to the well spacing provisions of 20 AAC 25.055(a)(2) for the Sword No. 1 exploratory well is consistent with sound engineering and geoscience principles and will not result in waste or jeopardize correlative rights of adjoining or nearby owners. NOW THEREFORE IT IS ORDERED: CIE's application for an order granting an exception to the well DONE at Anchorage, Alaska and dated January 14, 201 Cathy . Foerster J K. Norman Chair, Commissioner Commissioner Conservation Order 684 • • January 14, 2014 Page 3 of 3 TION AND APPEAL 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. 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. 0 0 Singh, Angela K (DOA) From: Colombie, Jody J (DOA) Sent: Wednesday, January 15, 2014 2:59 PM To: Singh, Angela K (DOA); Ballantine, Tab A (LAW); Bettis, Patricia K (DOA); Brooks, Phoebe L (DOA); Carlisle, Samantha J (DOA); Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Ferguson, Victoria L (DOA); Foerster, Catherine P (DOA); Frystacky, Michal (DOA); Grimaldi, Louis R (DOA); Hunt, Jennifer L (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Eaton, Loraine E (DOA); Bender, Makana K (DOA); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA); Norman, John K (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Scheve, Charles M (DOA); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); Turkington, Jeff A (DOA); Wallace, Chris D (DOA); (michael j.nelson@conocophillips.com); AKDCWellIntegrityCoordinator; Alexander Bridge; Andrew VanderJack; Anna Raff; Barbara F Fullmer; bbritch; bbohrer@ap.org; Barron, William C (DNR); Bill Penrose; Bill Walker; Brian Havelock; Burdick, John D (DNR); Cliff Posey; Colleen Miller; Crandall, Krissell; D Lawrence; Daryl J. Kleppin; Dave Harbour; Dave Matthews; David Boelens; David Duffy; David Goade; David House; David Scott; David Steingreaber; Davide Simeone; ddonkel@cfl.rr.com; Donna Ambruz; Dowdy, Alicia G (DNR); Dudley Platt; Elowe, Kristin; Evans, John R (LDZX); Francis S. Sommer; Frank Molli; schultz, gary (DNR sponsored); ghammons; Gordon Pospisil; Gorney, David L.; Greg Duggin; Gregg Nady; gspfoff, Jacki Rose; Jdarlington oarlington@gmail.com); Jeanne McPherren; Jones, Jeffery B (DOA); Jerry McCutcheon; Jim White; Jim Winegarner; Joe Lastufka; news@radiokenai.com; Easton, John R (DNR); John Garing; Jon Goltz; Jones, Jeffrey L (GOV); Juanita Lovett; Judy Stanek; Houle, Julie (DNR); Julie Little; Kari Moriarty; Keith Wiles; Kelly Sperback; Kiorpes, Steve T; Klippmann; Gregersen, Laura S (DNR); Leslie Smith; Lisa Parker; Louisiana Cutler, Luke Keller; Marc Kovak; Dalton, Mark (DOT sponsored); Mark Hanley (mark.hanley@anadarko.com); Mark P. Worcester; Kremer, Marguerite C (DNR); Michael Jacobs; Mike Bill; mike@kbbi.org; Mikel Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; knelson@petroleumnews.com; Nick W. Glover; Nikki Martin; NSK Problem Well Supv; Patty Alfaro; Decker, Paul L (DNR); Paul Mazzolini; Pike, Kevin W (DNR); Randall Kanady; Randy L. Skillern; Randy Redmond; Rena Delbridge; Renan Yanish; Robert Brelsford; Ryan Tunseth; Sandra Haggard; Sara Leverette; Scott Griffith; Shannon Donnelly; Sharmaine Copeland; Sharon Yarawsky; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Smart Energy Universe; Smith, Kyle S (DNR); Sondra Stewman; Stephanie Klemmer; Moothart, Steve R (DNR); Steven R. Rossberg; Suzanne Gibson; sheffield@aoga.org; Tania Ramos; Ted Kramer; Davidson, Temple (DNR); Terence Dalton; Teresa Imm; Thor Cutler; Tim Mayers; Tina Grovier (tmgrovier@stoel.com); Todd Durkee; Tony Hopfinger; trmjrl; Vicki Irwin; Vinnie Catalano; Walter Featherly; yjrosen@ak.net; Aaron Gluzman; Aaron Sorrell; Ajibola Adeyeye; Alan Dennis; Andrew Cater; Anne Hillman; Bruce Williams; Bruno, Jeff J (DNR); Casey Sullivan; David Lenig; David Tetta; Perrin, Don J (DNR); Donna Vukich; Eric Lidji; Erik Opstad; Gary Orr; Smith, Graham O (PCO); Greg Mattson; Hans Schlegel (hans.schlegel@ge.com); Heusser, Heather A (DNR); Holly Pearen; James Rodgers; Jason Bergerson; Jennifer Starck; jill.a.mcleod@conocophillips.com; Jim Magill; Joe Longo; Josh Kindred; King, Kathleen J (DNR); Laney Vazquez; Lois Epstein; Longan, Sara W (DNR); Marc Kuck; Marcia Hobson; Steele, Marie C (DNR); Matt Armstrong; Matt Gill; Franger, James M (DNR); Morgan, Kirk A (DNR); Pat Galvin; Bettis, Patricia K (DOA); Peter Contreras; Pollet, Jolie; Richard Garrard; Ryan Daniel; Sandra Lemke; Pexton, Scott R (DNR); Peterson, Shaun (DNR); Pollard, Susan R (LAW); Talib Syed; Todd, Richard J (LAW); Tostevin, Breck C (LAW); Wayne Wooster; Woolf, Wendy C (DNR); William Hutto; William Van Dyke 0 Subject: P683 Sub1j(Spacing Exception Susan Dionne #8) and CO 684 (Spacing Exception Sword #1) p 9 p Both located i Kenai Peninsula Attachments: co684.pdf; co683.pdf Jody J. Colombie Special Staff Assistant Alaska Oil and Gas Conservation Commission 333 West 7th Avenue Anchorage, Alaska 99501 Jodu. Colombie aC'alaska. aov Office: (907) 793-1221 Fax: (907) 276-7542 • 11 JR Wilcox President Cook Inlet Energy 601 W. 51h Ave., Ste. 310 Anchorage, AK 99501 10 David McCaleb Penny Vadla IHS Energy Group George Vaught, Jr. 399 W. Riverview Ave. GEPS Post Office Box 13557 Soldotna, AK 99669-7714 5333 Westheimer, Ste. 100 Denver, CO 80201-3557 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman Hodgden Oil Company NRG Associates Halliburton 408 18`h St. President 6900 Arctic Blvd. Golden, CO 80401-2433 Post Office Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K&K Recycling Inc. Land Department 795 E. 94`h Ct. Post Office Box 58055 Post Office Box 93330 Anchorage, AK 99515-4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department Post Office Box 60868 3201 Westmar Cir. Post Office Box 69 Fairbanks, AK 99706 Anchorage, AK 99508-4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs Post Office Box 190083 Post Office Box 39309 Post Office Box 1597 Anchorage, AK 99519 Ninilchik, AK 99639 Soldotna, AK 99669 #2 rl • 7STATE OF ALASKA ADVERTISING ORDER NOTICE TO PUBLISHER 'qW 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 ADVERTISING ORDER NO. /� _014 AO_1 `'AF SEE BOTTOM FOR INVOICE ADDRESS F R ° M AOGCC 333 W 7th Ave, Ste 100 Anchorage, AK 99501 AGENCY CONTACT Jody Colombie DATE OF A.O. November 20, 2013 PHONE 79 —1221 PCN DATES ADVERTISEMENT REQUIRED: November 21, 2013 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. o Anchorage Daily News PO Box 149001 Anchorage, AK 99514 g SPECIAL INSTRUCTIONS: Type of Advertisement Legal® ❑ Display Classified ❑Other (Specify) SEE ATTACHED SEND INVOICE IN TRIPLICATE TO AOGCC, 333 W. 7th Ave., Suite 100 Anchorage, AK 99501 AGE 1 OF kPAGES TOTAL OF ALL PAGES $ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LIO 1 2 REQUISITIONED B DIVISION APPROVAL: 02-902 (Rev. 3/94) U Publisher/Original Copies: Department Fiscal, Department, Receiving 0 • Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket # CO-13-26. The application of Cook Inlet Energy, LLC (CIE) for an exception to the spacing requirements of 20 AAC 25.055 to test and produce gas in an exploration well within 1,500 feet of a property line where the ownership or landownership changes. CIE by letter dated and received November 8, 2013, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to test and produce potential gas zones in the Sword 41 exploratory well within 1,500 feet of a property line where the owner and landowner are not the same on both sides of the line. Sword #1 Surface Location: 2195' from the south line and 1860' from the west line of Section 16, T8N, R14W, Seward Meridian (S.M.). Top of Productive Interval Location: 1800' from the south line and 15' from the west line of Section 2, T8N, R14W, S.M. Bottomhole Location: 2610' from the north line and 646' from the west line of Section 2, T8N, R14W, S.M. The AOGCC has tentatively scheduled a public hearing on this application for January 14, 2014 at 9:00 a.m. at 333 W. 7th Ave., Ste 100, Anchorage, Alaska 99501. To request that the tentatively schedules hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on December 10, 2013. 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 December 13, 2013. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 W. 7th Ave., Ste 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on December 23, 2013 except that, if a hearing is held, comments must be received no later than the conclusion of the January 14, 2014 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 January 13, 2014. d ' Cat y P Foerster Chair, P—�76�ommissioner 270227 • 0000785311 $ 258.98 RECEIVEDI NOV 2 7 2013 AOGCC AFFIDAVIT OF PUBLICATION STATE OF ALASKA THIRD JUDICIAL DISTRICT Joleesa Stepetin being first duly sworn on oath deposes and says that he is a 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 November 21, 2013 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. Signed 11 Subscribed and sworn to before me this. 21 st day of November, 2013 Ji Notary Pub ' /in and for The State of Alaska. Third Division Anchorage, Alaska MY COMMISSION EXPIRES Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket # CO-13-26. The application of Cook Inlet Energy, LLC (CIE) for an exception to the spacing requirements of 20 AAC 25.055 to test and producegas in an exploration well within 1,500 feet of a property line where the ownership or landownership changes. CIE by letter dated and received November 8, 2013, requests the Alaska oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to test and produce potential gas zones in the Sword #1 exploratory well within 1,500 feet of a property line where the owner and landowner are not the same on both sides of the line. Sword #1 Surface Location: 2195' from the south line and 1860' from the west line of Section 16, T8N, R14W, Seward Meridian (S.M.). Top of Productive Interval Location: 1800' from the south line and 15' from the west line of Section 2, T8N, R14W, S.M. Bottomhole Location: 2610' from the north line and 646' from the west line of Section 2, T8N, R14W, S.M. The AOGCC has tentatively scheduled a public hearing on this application for January 14, 2014 at 9:00 a.m. at 333 W. 7th Ave., Ste 100, Anchorage, Alaska 99501. To request that the tentatively schedules hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on December 10, 2013. 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 December 13, 2013. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 W. 7th Ave., Ste 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on December 23, 2013 except that, if a hearing is held, comments must be received no later than the conclusion of the January 14, 2014 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 January 13, 2014. Cathy P. Foerster Chair, Commissioner AO-14-014 Published: November 21, 2013 STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED A /� O_1 A`'F_014 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE IAOGCC R 333 West 71" Avenue. Suite 100 ° Anchorage_ AK 99501 M o Anchorage Daily News PO Box 149001 Anchorage, AK 99514 United states of America State of AGENCY CONTACT I DATE OF A.O. L2-W / 7 J - "' " I DATES ADVERTISEMENT REQUIRED: November 21, 2013 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Account # STOF0330 AFFIDAVIT OF PUBLICATION REMINDER 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 2013, and thereafter for consecutive days, the last publication appearing on the day of , 2013, 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 2013, Notary public for state of My commission expires, Singh, Angela K (DOA) From: Colombie, Jody J (DOA) Sent: Wednesday, November 20, 2013 1236 PM To: Singh, Angela K (DOA); Ballantine, Tab A (LAW); Bettis, Patricia K (DOA); Brooks, Phoebe L (DOA); Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Ferguson, Victoria L (DOA); Fisher, Samantha J (DOA); Foerster, Catherine P (DOA); Frystacky, Michal (DOA); Grimaldi, Louis R (DOA); Hunt, Jennifer L (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Eaton, Loraine E (DOA); Bender, Makana K (DOA); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA); Norman, John K (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, lames B (DOA); Roby, David S (DOA); Scheve, Charles M (DOA); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); Turkington, Jeff A (DOA); Wallace, Chris D (DOA); (michael j.nelson@conocophillips.com); AKDCWellIntegrityCoordinator; Alexander Bridge; Andrew VanderJack; Anna Raff; Barbara F Fullmer; bbritch; bbohrer@ap.org; Barron, William C (DNR); Bill Penrose; Bill Walker; Brian Havelock; Burdick, John D (DNR); Cliff Posey; Colleen Miller; Crandall, Krissell; D Lawrence; Daryl J. Kleppin; Dave Harbour; Dave Matthews; David Boelens; David Duffy; David Goade; David House; David Scott; David Steingreaber; Davide Simeone; ddonkel@cfl.rr.com; Donna Ambruz; Dowdy, Alicia G (DNR); Dudley Platt; Elowe, Kristin; Evans, John R (LDZX); Francis S. Sommer; Frank Molli; Schultz, gary (DNR sponsored); ghammons; Gordon Pospisil; Gorney, David L.; Greg Duggin; Gregg Nady; gspfoff; Jacki Rose; Jdar►ington oarlington@gmail.com); Jeanne McPherren; Jones, Jeffery B (DOA); Jerry McCutcheon; Jim White; Jim Winegarner; Joe Lastufka; news@radiokenai.com; Easton, John R (DNR); John Garing; Jon Goltz; Jones, Jeffrey L (GOV); Juanita Lovett; Judy Stanek; Houle, Julie (DNR); Julie Little; Kari Moriarty; Keith Wiles; Kelly Sperback; Kiorpes, Steve T; Klippmann; Gregersen, Laura S (DNR); Leslie Smith; Lisa Parker; Louisiana Cutler; Luke Keller; Marc Kovak; Dalton, Mark (DOT sponsored); Mark Hanley (mark.hanley@anadarko.com); Mark P. Worcester, Kremer, Marguerite C (DNR); Michael Jacobs; Mike Bill; mike@kbbi.org; Mikel Schultz; Mindy Lewis; MJ Loveland; mjnelson; mkm7200; knelson@petroleumnews.com; Nick W. Glover; Nikki Martin; NSK Problem Well Supv; Patty Alfaro;; Decker, Paul L (DNR); Paul Mazzolini; Pike, Kevin W (DNR); Pioneer; Randall Kanady; Randy L. Skillern; Randy Redmond; Rena Delbridge; Renan Yanish; Robert Brelsford; Robert: Campbell; Ryan Tunseth; Sandra Haggard; Sara Leverette; Scott Griffith; Shannon Donnelly; Sharmaine Copeland; Sharon Yarawsky; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Smart Energy Universe; Smith, Kyle S (DNR); Sondra Stewman; Stephanie Klemmer; Moothart, Steve R (DNR); Steven R. Rossberg; Suzanne Gibson; shE?ffield@aoga.org; Tania Ramos; Ted Kramer; Davidson, Temple (DNR); Terence Dalton; Teresa Imm; Thor Cutler; Tim Mayers; Tina Grovier (tmgrovier@stoel.com); Todd Durkee; Tony Hopfinger; trmjrl; Vicki Irwin; Vinnie Catalano; Walter Featherly; yjrosen@ak.net; Aaron Gluzman; Aaron Sorrell; Ajibola Adeyeye; Alan Dennis; Andrew Cater; Anne Hillman; Bruce Williams; Bruno, Jeff J (DNR); Casey Sullivan; David Lenig; David Martin; Perrin, Don J (DNR); Donna Vukich; Eric Lidji; Erik Opstad; Gary Orr; Smith, Graham O (PCO); Greg Mattson; Hans Schlegel; Heusser, Heather A (DNR); Holly Pearen; James Rodgers; Jason Bergerson; Jennifer Starck; jill.a.mcleod@conocophillips.com; Jim Magill; Joe Longo; Josh Kindred; King, Kathleen J (DNR); Laney Vazquez; Lois Epstein; Longan, Sara W (DNR); Marc Kuck; Marcia Hobson; Steele, Marie C (DNR); Matt Armstrong; Matt Gill; Franger, James M (DNR); Morgan, Kirk A (DNR); Pat Galvin; Bettis, Patricia K (DOA); Peter Contreras; Pollet, Jolie; Richard Garrard; Ryan Daniel; Sandra Lemke; Pexton, Scott R (DNR); Peterson, Shaun (DNR); Pollard, Susan R (LAW); Talib Syed; Todd, Richard J (LAW); Tostevin, Breck C (LAW); Wayne Wooster, Woolf, Wendy C (DNR); William Hutto; William Van Dyke Subject: No• Of Hearing Attachments: Notice of Public Hearing Sword #l.pdf Jody Jaylene Colombie AOGCC Special Staff Alaska Oil and Gas Conservation Commission 333 West Th Avenue Anchorage, Alaska 99501 Office: (907) 793-1221 Fax: (907) 276-7542 Easy Peel® Labels i ♦ ® Bend along line to �• (� AVERY® 5160® Use Avery(D Template 51600 Feed Paper ® expose Pop-up EdgeTM j 1 1R Wilcox President Cook Inlet Energy, LLC 601 W. 5`° Ave., Ste. 310 Anchorage, AK 99501 Etiquettes faciles a peter ; Repliez a la hachure afin de i www.avery.com Utilisez le Qabarit AVERY® 51600 i Sens de reveler le rebord Pop-upTM 1-800-GO-AVERY .ti�..o.,,�.,+ Easy Meet® Labels & mend alarig fine to Use Avery® Template 51600 Feed Paper I expose Pop-up Edger" David McCaleb Penny Vadla IHS Energy Group 399 W. Riverview Ave. GEPS Soldotna, AK 99669-7714 5333 Westheimer, Ste.100 Houston, TX 77056 Jerry Hodgden Hodgden Oil Company 40818`" St. Golden, CO 80401-2433 Bernie Karl K&K Recycling Inc_ Post Office Box 58055 Fairbanks, AK 99711 North Slope Borough Planning Department Post Office Box 69 Barrow, AK 99723 Jack Hakkila Post Office Box 190083 Anchorage, AK 99519 Richard Neahring NRG Associates President Post Office Box 1655 Colorado Springs. CO 80901 CIRI Land Department Post Office Box 93330 Anchorage, AK 99503 Richard Wagner Post Office Box 60868 Fairbanks, AK 99706 Darwin Waldsmith Post Office Box 39309 Ninilchik, AK 99639 �1�1v�tT® 55�t�rrr� George Vaught, Jr. Post Office Box 13557 Denver, CO 80201-3557 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 795 E. 94" Ct. Anchorage, AK 99515-4295 Gordon Severson 3201 Westmar Cir. Anchorage, Ar 99508-4336 James Gibbs Post Office Box 1597 Soldotna, AK 99669 ktigttea`ite5 facile5 h Kreger _ i ( s raP Repliez z fa hachure aft de www.averj.com com #1 C] Cook Inlet Energy_ November 8, 2013 Alaska Oil and Gas Conservation Commission 333 West 7th Ave., Suite 100 Anchorage, Alaska 99501 • RECEIVED NOV 0 8 2013 AOGCC Re: Spacing Exception for the Proposed Sword #1 Well — Gas Testing and Production 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 test and potentially produce a zone within a recently drilled well, Sword #1, 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 previously applied for a spacing exception for the Sword #1 well for oil, and was granted an exception by Conservation Order # 675. This application is a separate request that the Commission grant an exception for gas testing and production. CIE drilled the Sword #1 Well from an onshore location from an existing pad at the West McArthur River Production Facility, located within Section 16, T. 8 N., R. 14 W., S.M. The Sword #1 Well has a bottomhole location within Section 2, T. 8 N., R. 14 W., 2,610 feet from the north line and 646 feet from the west line. CIE is planning to test and potentially produce from zones where the wellbore traverses the western section line of Section 2. The top of these zones is located 1,800 feet from the south line and 15 feet from the west line. This planned production may occur within 1,500 feet of either side of the section line. The attached Exhibit A lists the Landowners, Owners, and Operators within 3,000 feet of the Sword #1 Well and their contact information. The attached Exhibit B is a plat prepared 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 attacheq/*E�hibit D is an affidavit from Mr. Tim Jones, Registered Landman # 84167 and Staff Land an or CIE, verifying the plat and facts contained herein. President 601 W. 51h Avenue, Suite 310, Anchorage, AK 99501 (907) 334-6745 * (907) 334-6735 fax • Spacingoption Request for Sword #1 Gas November 7, 2013 EXHIBIT A Landowner Owner Operator As defined in As defined in As defined in Legal Description AS 31.05.170(7) AS 31.05.170 10 20 AAC 25.990 46 CIRI CIRI Cook Inlet Subsurface Easement EnerLLC The subsurface estate to a depth of two thousand feet (2,0001 from the existing surface gy, contour in the following property (the "Property"): Township 8 North Range 14 West, Seward Meridian Alaska Section 9: AI I; Section 16: NWl/4, E1/2NW1/4SW1/4, NEl/45W1/4, NW1/4SEI/4; Section 17: El/2NE1/4NE1/4. Containing approximately 164 acres, protracted. State of Alaska Cook Inlet Cook Inlet ADL 359111 Energy, LLC Energy, LLC T. 8N., R. 14W., SEWARD MERIDIAN, ALASKA SECTION 3, PROTRACTED, ALL, 640.00 ACRES; SECTION 4. PROTRACTED, ALL, 640.00 ACRES; SECTION 5, UNSURVEYED, ALL TIDE AND SUBMERGED LANDS, 465.00 ACRES; SECTION 8, UNSURVEYED, ALL TIDE AND SUBMERGED LANDS, 130.00 ACRES; SECTION 9, UNSURVEYED, ALL TIDE AND SUBMERGED LANDS, 630.00 ACRES; SECTION 10, PROTRACTED, ALL, 640.00 ACRES; SECTION 15, PROTRACTED, ALL, 640.00 ACRES; SECTION 16, UNSURVEYED, ALL TIDE AND SUBMERGED LANDS, 390.00 ACRES; CONTAINING 4175.00 ACRES, MORE OR LESS State of Alaska Cook Inlet Cook Inlet ADL 17602 segment 1 Energy, LLC Energy, LLC T. 8 N., R. 14 W., SEWARD MERIDIAN, ALASKA SECTION 2, PROTRACTED, ALL, 640.00 ACRES; Hilcorp Alaska, SECTION 11, PROTRACTED, ALL, 640.00 ACRES; LLC CONTAINING 1,280.00 ACRES, MORE OR LESS. Contact Information: State of Alaska Department of Natural Resources Alaska Division of Oil and Gas 550 W 7th Avenue, Suite 1100 Anchorage, AK 99501-3560 907-269-8800 CERTIFIED MAIL 7010 0290 0002 9144 9134 E Spacing Option Request for Sword #1 Gas November 8, 2013 CIRI 2525 C St., Suite 500 Anchorage, AK 99503 907-263-5140 Hilcorp Alaska, LLC 3800 Centerpoint Drive, Suite 100 Anchorage, AK 99503 907-777-8300 Cook Inlet Energy, LLC 601 W. 5th Avenue, Suite 310 Anchorage, AK 99501 907-334-6745 CERTIFIED MAIL 7010 0290 0002 9144 9141 CERTIFIED MAIL 7010 0290 0002 9144 9158 CERTIFIED MAIL 7010 0290 0002 9144 9165 • Spacingoption Request for Sword #1 Gas November 8, 2013 EXHIBIT B T. 8N., R. 14W.1 S.M. Lwr.Tyonek Productive Interval 3 i WMRU-7. 1,500 ft. WMRU3 NRU-5 /—R11-3S1 J WMRU-1A I-75T 11 /7 WMRU-1 Smie = 1 14l00 0 1000 2000 3000 N i A IN • Spacingoption Request for Sword #1 Gas November 8, 2013 EXHIBIT C _ Cook Inlet Energy_ November 8, 2013 Landowners, Owners and Operators See Distribution List West Foreland 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 Testing and Production of Gas from the Sword #1 Well 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 has drilled the Sword #1 well and is applying for an exception under 20 AAC 25.055(d) to the well spacing requirements in 20 AAC 25.055(a)(2). CIE plans to test and produce the Sword #1 well 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 drilled the Sword #1 Well from an onshore location from an existing pad at the West McArthur River Production Facility, located within Section 16, T. 8 N., R. 14 W., S.M. The Sword #1 Well has a bottombole location within Section 2, T. 8 N., R. 14 W., 2,610 feet from the north line and 646 feet from the west line. CIE is planning to test and potentially produce from zones where the wellbore traverses the western section line of Section 2. This planned production may occur within 1,500 feet of either side of the section line. 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 Sword #1 well. Please contact me should you require additional information. Sincer 1 , iA Tim Jo es Staff L dman Distribution List: Alaska Division of Oil and Gas CiRI Hilcorp Alaska, LLC Cook Inlet Energy, LLC 601 W. 5'6 Avenue, Suite 310, Anchorage, AK "501 ("7) 334-6745' ("7) 334-6735 fax • Spacingoption Request for Sword #1 Gas November 8, 2013 EXHIBIT D Affidavit State of Alaska, Third Judicial District Personally appeared before me, Timothy Jones, who, being duly sworn according to law, deposes and says: 1. I, Timothy Jones, am a Staff Landman for Cook Inlet Energy, LLC and a Registered Landman #84167. 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 A are the result of that record search and correct to the best of my knowledge. 4. The well location was taken from Cook Inlet Energy, LLC's Permit to Drill submitted to AOGCC. 5. The Notice in Exhibit C was sent to the Landowners, Owners and Operators identified in Exhibit A by certified mail. Further the affia4t sayeth naught. Timothy Ja RL #84167 UNITED STATES OF AMERICA § STATE OF ALASKA 11/9/13 Date I Subscribed and sworn to before me on the day of November, 2013. C' �� I Notary Public My commission a# es: 13 1"7U 6,1 J2 r1l Colombie, Jody J (DOA) From: Bettis, Patricia K (DOA) Sent: Thursday, November 14, 2013 3:19 PM To: Colombie, Jody J (DOA) Subject: CO 13.26: Spacing Exception for the proposed Sword #1 Well -Gas Testing and Production Attachments: 11142013 Green Cards - Sword 1 Spacing Exception - Gas.pdf FYI From: Tim ]ones [mailto:tim.jones(�)cookinlet.net] Sent: Thursday, November 14, 2013 3:11 PM To: Bettis, Patricia K (DOA) Subject: RE: Spacing Exception for the proposed Sword #1 Well -Gas Testing and Production Hi Patricia, Your timing is great, we just received the green cards back today. I have attached the copies. I will look into the affidavit and will provide another copy if necessary. Thanks. Tim Jones Staff Landman Cook Inlet Energy, LLC 6o1 W. 5th Ave., Suite 310 Anchorage, AK 99501 Office: (907) 433-3811 Cell: (907) 350-7426 Cook Inlet Energy_ From: Bettis, Patricia K (DOA) [ma iIto: patricia.bettis@alaska.gov] Sent: Thursday, November 14, 2013 2:30 PM To: Tim Jones Subject: Spacing Exception for the proposed Sword #1 Well -Gas Testing and Production Good afternoon Tim, In reviewing the application submitted on November 8, 2013, the Exhibit D-Affidavit included in the application was unsigned and not notarized. An original signed and notarized affidavit needs to be submitted to complete the application. Also, I need copies of the "green card" receipts for the certified letter sent to owners and landowners. Thank you, Patricia 1 Patricia Bettis Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission 333 West 7th Avenue Anchorage, AK 99501 Tel: (907) 793-1238 CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it, without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Patricia Bettis at (907) 793-1238 or patricia.bettis@alaska.gov. 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