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HomeMy WebLinkAboutCO 777CONSERVATION ORDER 777 Docket Number: CO -19-015 1. August 22, 2019 ConocoPhillips Alaska Inc's application for a Spacing Exception CD4 -594 2. August 27, 2019 Notice of hearing, affidavit of publication, email distribution, mailings STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7" Avenue Anchorage, Alaska 99501 Re: THE APPLICATION OF ) Docket Number: CO -19-015 ConocoPhillips Alaska, Inc. for an ) Conservation Order 777 exception to the spacing requirements of 20 ) Colville River Unit AAC 25.055 for drilling, completion, ) Colville River Unit CD4 -594 testing and regular operation of the ) Exploratory Well proposed Colville River Unit CD4 -594 ) North Slope Borough, Alaska exploratory well. ) October 1, 2019 IT APPEARING THAT: 1. By a letter dated and received August 22, 2019, ConocoPhillips Alaska, Inc. (ConocoPhillips) requested the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to drill exploratory well Colville River Unit CD4 -594 (CD4 -594) within the same governmental quarter section as other wells that are, or maybe, open to the same pool. 2. Pursuant to 20 AAC 25.540, the AOGCC tentatively scheduled a public hearing for October 1, 2019. On August 26, 2019, 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 August 27, 2019, the AOGCC published the notice in the ANCHORAGE DAILY NEWS. 3. ConocoPhillips sent by certified mail notice of the application to all owners, landowners, and operators of all properties within 1,000 feet of the proposed CD4 -594 exploratory well and provided the notice, addresses to which the notices were delivered, and Certified Mail receipts. 4. No comments or request for hearing were received regarding ConocoPhillips's application. 5. The tentatively scheduled public hearing was vacated. 6. ConocoPhillips's application provided sufficient information upon which to make an informed decision. FINDINGS: 1. ConocoPhillips is the operator and sole working interest owner of the Colville River Unit, located within the North Slope Borough, Alaska. Landowners for the properties that will be affected by CD4 -594 are the State of Alaska and Arctic Slope Regional Corporation. Owners within 1,000 feet of CD4 -594 are ConocoPhillips, Oil Search (Alaska), LLC, Repsol E&P USA, Inc., and Armstrong Energy, LLC. Operators within 1,000 feet of the well are ConocoPhillips and Oil Search (Alaska), LLC. 2. CD4 -594 will be an extended -reach, horizontal exploratory well drilled directionally to the southeast from an onshore surface location 2,853 feet from the north line (FNL) and 4,916 feet from the east line (FEL) of Section 19, Township 11 North (TI IN), Range 5 East (R5E), Umiat Meridian (U.M.). The location of the heel of the well will lie about 4,084 feet FNL and CO 777 October 1, 2019 Page 2 of 3 4,265 feet FEL of Section 28, T1 IN, R5E, U.M. The bottom -hole location will lie about 4,601 feet FNL and 868 feet FEL of Section 33, TI IN, R5E, U.M. 3. The surface location for CD4 -594 lies within lease ADL 384211. A non-productive portion of the well will pass through ADL 380082. The top -of -productive interval will lie within ADL 380081. The bottom -hole location will lie within ADL 391587. The productive interval and bottom -hole location will lie more than 500 feet from property lines where ownership or landownership changes. 4. CD4 -594 will target a reservoir within an undefined pool. 5. Well spacing is governed by the statewide requirements of 20 AAC 25.055. 6. Nearby exploratory well CRU CD4 -595, that lies in part within the same governmental quarter section, is capable of producing from this pool. 7. The well path and bottom -hole location for CD4 -594 were chosen—based on reservoir mapping and modeling results—to provide interference and injection testing that will help establish optimal pattern spacing and justify resource development. CONCLUSIONS: Absent a spacing exception, CD4 -594 will violate the well spacing provisions of 20 AAC 25.055. 2. An exception to the well spacing provisions of 20 AAC 25.055 is necessary to allow the drilling, completion, testing, and regular operation of the CD4 -594 exploratory well in order to optimize development design, and to justify and maximize resource recovery. 3. Granting an exception to the well spacing provisions of 20 AAC 25.055 for CD4 -594 will not result in waste or jeopardize correlative rights of adjoining or nearby owners. NOW THEREFORE IT IS ORDERED: The AOGCC grants ConocoPhillips's August 22, 2019, application for an exception to the well spacing provisions of 20 AAC 25.055 to allow drilling, completion, testing, and regular operation of the CD4 -594 exploratory well. ConocoPhillips may proceed as long as it complies with all applicable laws, and all other legal requirements. DONE at3pchorage, Alaska and dated October 1, 2019. Daniel T.amount, Jr. Tessie L. Chmielowski Commissioner Commissioner CO 777 October 1, 2019 Page 3 of 3 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 out 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 mns until 5:00 p.m. on the next day STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue Anchorage, Alaska 99501 Re: THE APPLICATION OF ) Docket Number: CO -19-015 ConocoPhillips Alaska, Inc. for an ) Conservation Order 777 exception to the spacing requirements of 20 ) Colville River Unit AAC 25.055 for drilling, completion, ) Colville River Unit CD4 -594 testing and regular operation of the ) Exploratory Well proposed Colville River Unit CD4 -594 ) North Slope Borough, Alaska exploratory well. ) October 1, 2019 IT APPEARING THAT: 1. By a letter dated and received August 22, 2019, ConocoPhillips Alaska, Inc. (ConocoPhillips) requested the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to drill exploratory well Colville River Unit C134-594 (CD4 -594) within the same governmental quarter section as other wells that are, or maybe, open to the same pool. 2. Pursuant to 20 AAC 25.540, the AOGCC tentatively scheduled a public hearing for October 1, 2019. On August 26, 2019, 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 August 27, 2019, the AOGCC published the notice in the ANCHORAGE DAILY NEWS. 3. ConocoPhillips sent by certified mail notice of the application to all owners, landowners, and operators of all properties within 1,000 feet of the proposed CD4 -594 exploratory well and provided the notice, addresses to which the notices were delivered, and Certified Mail receipts. 4. No comments or request for hearing were received regarding ConocoPhillips's application. 5. The tentatively scheduled public hearing was vacated. 6. ConocoPhillips's application provided sufficient information upon which to make an informed decision. FINDINGS: 1. ConocoPhillips is the operator and sole working interest owner of the Colville River Unit, located within the North Slope Borough, Alaska. Landowners for the properties that will be affected by CD4 -594 are the State of Alaska and Arctic Slope Regional Corporation. Owners within 1,000 feet of CD4 -594 are ConocoPhillips, Oil Search (Alaska), LLC, Repsol E&P USA, Inc., and Armstrong Energy, LLC. Operators within 1,000 feet of the well are ConocoPhillips and Oil Search (Alaska), LLC. 2. C134-594 will be an extended -reach, horizontal exploratory well drilled directionally to the southeast from an onshore surface location 2,853 feet from the north line (FNL) and 4,916 feet from the east line (FEL) of Section 19, Township 11 North (TI IN), Range 5 East (R5E), Umiat Meridian (U.M.). The location of the heel of the well will lie about 4,084 feet FNL and CO 777 October 1, 2019 Page 2 of 3 4,265 feet FEL of Section 28, Tl 1N, ME, U.M. The bottom -hole location will lie about 4,601 feet FNL and 868 feet FEL of Section 33, TI IN, R5E, U.M. 3. The surface location for CD4 -594 lies within lease ADL 384211. A non-productive portion of the well will pass through ADL 380082. The top -of -productive interval will lie within ADL 380081. The bottom -hole location will lie within ADL 391587. The productive interval and bottom -hole location will lie more than 500 feet from property lines where ownership or landownership changes. 4. C134-594 will target a reservoir within an undefined pool. 5. Well spacing is governed by the statewide requirements of 20 AAC 25.055. 6. Nearby exploratory well CRU CD4 -595, that lies in part within the same governmental quarter section, is capable of producing from this pool. 7. The well path and bottom -hole location for C134-594 were chosen—based on reservoir mapping and modeling results—to provide interference and injection testing that will help establish optimal pattern spacing and justify resource development. CONCLUSIONS: 1. Absent a spacing exception, CD4 -594 will violate the well spacing provisions of 20 AAC 25.055. 2. An exception to the well spacing provisions of 20 AAC 25.055 is necessary to allow the drilling, completion, testing, and regular operation of the CD4 -594 exploratory well in order to optimize development design, and to justify and maximize resource recovery. 3. Granting an exception to the well spacing provisions of 20 AAC 25.055 for CD4 -594 will not result in waste or jeopardize correlative rights of adjoining or nearby owners. NOW THEREFORE IT IS ORDERED: The AOGCC grants ConocoPhillips's August 22, 2019, application for an exception to the well spacing provisions of 20 AAC 25.055 to allow drilling, completion, testing, and regular operation of the CD4 -594 exploratory well. ConocoPhillips may proceed as long as it complies with all applicable laws, and all other legal requirements. DONE at Anchorage, Alaska and dated October 1, 2019. //signature on file// //signature on file// ' ; Daniel T. Seamount, Jr. Jessie L. Chmielowski Commissioner Commissioner O��p��g11UN CU�Cs CO 777 October 1, 2019 Page 3 of 3 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 ran 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. Bernie Karl K&K Recycling Inc. P.O. Box 58055 Fairbanks, AK 99711 Gordon Severson 3201 Westmar Cir. Anchorage, AK 99508-4336 Penny Vadla 399 W. Riverview Ave. Soldotna, AK 99669-7714 George Vaught, Jr. Darwin Waldsmith Richard Wagner P.O. Box 13557 P.O. Box 39309 P.O. Box 60868 Denver, CO 80201-3557 Ninilchik, AK 99639 Fairbanks, AK 99706 z STATE OF ALASKA ADVERTISING ORDER 1W L` l� NOTICE TO PUBLISHER SUBMIT INVOICE SHOWING ADVERTISING ORDER NO., CERTIFIED AFFIDAVIT OF PUBLICATION WITH ATTACHED COPY OF ADVERTISMENT. ADVERTISING ORDER NUMBER AO-20-001 FROM: AGENCY CONTACT: Jody Colombie/Samantha Carlisle Alaska Oil and Gas Conservation Commission DATE OF A.O.AGENCY PHONE: 333 West 7th Avenue 8/26/2019 907) 279-1433 Anchorage, Alaska 99501 DATES ADVERTISEMENT REQUIRED: COMPANY CONTACT NAME: PHONE NUMBER: ASAP FAX NUMBER: 907)276-7542 TO PUBLISHER: Anchorage Daily News, LLC SPECIAL INSTRUCTIONS: PO Box 140147 Anchorage, Alaska 99514-0174 TYPE OF ADVERTISEMENT: r LEGAL r DISPLAY r CLASSIFIED OTHER (Specify below) DESCRIPTION PRICE CO-19-015 Initials of who prepared AO: Alaska Non -Taxable 92-600185 ......................... .... ......... . :SUBMIT INYDICESNO WiNC:ADVERflS1NG ::iNE6ER Ntl:; CERT161Fb'A_F`FmiVlT.04:::: PIj6lpiCpT16tiF WFr.H hlYdcetEo eoggop:: :: nliveRTISMENT To; ._; ::;: AOGCC 333 West 7th Avenue Anchorage, Alaska 99501 Pae 1 of I Total of All Pa es $ REF Type I Number Amount Date Comments 1 PvN IVCO21795 2 AO AO-20-001 3 4 FIN AMOUNT SY Art. Template PGM LCR Object FY I DIST LIQ I 20 A14100 3046 20 2 3 5 1 U411 Posthaste u He: Purchasing Authority's Signature Telephone Number . A. and receiving agency name must appear on all invoices and documents relating to this purchase. 2. TyeAtate is registered for tax free transactions under Chapter 32, IRS code. Registratbnnumber92-73-0006K. Items are for the exclusive use of the state and not for res DISTRIBUTIONt pFVIS104 F'Iscal/Ongtn81 A4 seopleS PPlilisltrr (faxtd); OiVIS............... jag Form: 02-901 Revised: 8/26/2019 Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket Numbers: CO -19-015 The application of ConocoPhillips Alaska, Inc. for an exception to the spacing requirements of 20 AAC 25.055 for drilling, completion, testing and regular operation of the proposed Colville River Unit CD4 -594 exploratory well. ConocoPhillips Alaska, Inc. (ConocoPhillips), by letter dated August 22, 2019, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirement of 20 AAC 25.055 because proposed exploratory well Colville River Unit CD4 -594 will be drilled within the same governmental quarter section as other wells that are, or maybe, open to the same pool. Colville River Unit CD4 -594 Surface Location: 2853' FNL, 4916' FEL, Section 19, TI IN, R5E, Umiat Meridian Heel Location: 4084' FNL, 4265' FEL, Section 28, TI IN, R5E, Umiat Meridian Bottom -hole Location: 4601' FNL, 868' FEL, Section 33, TI IN, R5E, Umiat Meridian The AOGCC has tentatively scheduled a public hearing on this application for October 1, 2019, at 10:00 a.m. at 333 West 7th Avenue, 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 September 10, 2019. 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 (907) 793-1221 after September 16, 2019. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 West 71h Avenue, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on September 26, 2019, except that, if a hearing is held, comments must be received no later than the conclusion of the October 1, 2019 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 (907) 793-1221, no later than September 25, 2019. J si�L. Chmielowski Commissioner Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION Re: Docket Numbers: CO -19-015 The application of ConocoPhillips Alaska, Inc. for an exception to the spacing requirements of 20 AAC 25.055 for drilling, completion, testing and regular operation of the proposed Colville River Unit CD4 -594 exploratory well. ConocoPhillips Alaska, Inc. (ConocoPhillips), by letter dated August 22, 2019, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirement of 20 AAC 25.055 because proposed exploratory well Colville River Unit CD4 -594 will be drilled within the same governmental quarter section as other wells that are, or maybe, open to the same pool. Colville River Unit CD4 -594 Surface Location: 2853' FNL, 4916' FEL, Section 19, TI IN, R5E, Umiat Meridian Heel Location: 4084' FNL, 4265' FEL, Section 28, T11N, R5E, Umiat Meridian Bottom -hole Location: 4601' FNL, 868' FEL, Section 33, TI IN, R5E, Umiat Meridian The AOGCC has tentatively scheduled a public hearing on this application for October 1, 2019, at 10:00 a.m. at 333 West 7d' Avenue, 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 September 10, 2019. 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 (907) 793-1221 after September 16, 2019. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 West 7a' Avenue, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on September 26, 2019, except that, if a hearing is held, comments must be received no later than the conclusion of the October 1, 2019 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 (907) 793-1221, no later than September 25, 2019. //signature on file// Jessie L. Chmielowski Commissioner Bernie Karl K&K Recycling Inc. P.O. Box 58055 Fairbanks, AK 99711 George Vaught, Jr. P.O. Box 13557 Denver, CO 80201-3557 Gordon Severson 3201 Westmar Cir. Anchorage, AK 99508-4336 Darwin Waldsmith P.O. Box 39309 Ninilchik, AK 99639 Penny Vadla 399 W. Riverview Ave. Soldotna, AK 99669-7714 Richard Wagner P.O. Box 60868 Fairbanks, AK 99706 bm ANCHORAGE DAILY NENM za,q AFFIDAVIT OF PUBLICATION ~` Account #: 270227 ST OF AK/AK OIL AND GAS CONSERVATION COMMISSION Order #: W0011307 STATE OF ALASKA THIRD JUDICIAL DISTRICT Joleesa Stepetin being first duly sworn on oath deposes and says that she 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 news- paper. That the annexed is a copy of an adver- tisement as it was published in regular issues (and not in supplemental form) of said news- paper on 08/27/2019 and that such newspaper was regularly distrib- uted 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. Subscribed`6d sworn to before me this 27th day of August 2019. otary Public in and for e tate of Alaska. d Division Anchorage, Alaska �� MY COMMISSION EXPIRE �P OF At, �9 NOTARY PUBLIC ✓ �0 ade L. Nov+ Cost: $278.9 Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket Numbers: CO -19-015 The application of ConocoPhillips Alaska, Inc. for an exception to the spacing requirements of 20 AAC 25.055 for drilling, completion, testing and regular operation of the proposed Colville River Unit CD4 -594 exploratory well. ConocoPhillips Alaska, Inc. (ConocoPhillips), by letter dated August 22, 2019, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirement of 20 AAC 25.055 because proposed exploratory well Colville River Unit CD4 -594 will be drilled within the same governmental quarter section as other wells that are, or maybe, open to the same pool. Colville River Unit CD4 -594 Surface Location: 2853' FNL, 4916' FEL, Section 19, T11N, R5E, Umiat Meridian Heel Location: 4084' FNL, 4265' FEL, Section 28, T1 1N, R5E, Umiat Meridian Bottom -hole Location: 4601' FNL, 868' FEL, Section 33, T11 N, R5E, Umiat Meridian The AOGCC has tentatively scheduled a public hearing on this application for October 1, 2019, at 10:00 a.m. at 333 West 7th Avenue, Anchorage, Alaska 99501. To request that the tentativeI scheduled hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on September 10, 2019. 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 (907) 793-1221 after September 16,2019. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 West 7th Avenue, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on September 26, 2019, except that, if a hearing is held, comments must be received no later than the conclusion of the October 1, 2019 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the AOGCC's Special Assistant, Jody Colombia, at (907) 793-1221, no later than September 25, 2019. //signature on file// Jessie L. Chmielowski Commissioner Published: August 27, 2019 1 ConocoPhillips Alaska August 22, 2019 Commissioners Jessie Chmielowski & Dan Seamount Alaska Oil and Gas Conservation Commission 333 W. Th Ave, Suite 100 Anchorage, Alaska 99501 Via hand deliver Jason C. Parker Senior Landman Alaska Land & Business Development ConocoPhillips Company 700 G Street Anchorage, AK 99501 Office: 907-265-6297 Fax: 907-263-4966 jason.c.parker@cop.com Re: Notice and Request for Spacing Exception pursuant to 20 AAC 25.055(d) for CD4 -594, Colville River Unit, Alaska Dear Commissioners: ConocoPhillips Alaska, Inc. ("CPAI") hereby makes application for an exception to the spacing provisions of 20 AAC 25.055 for the drilling of CD4 -594 (the "Well"). The Well will be drilled within the same governmental quarter section as well CD4 -595. The Well will be drilled' as a directional horizontal well having the following locations: Surface Location: 2853' FNL, 4916' FEL, Section 19, T11 N, R5E, UM Heel Location: 4084' FNL, 4265' FEL, Section 28, T11 N, R5E, UM Bottom -hole Location: 4601' FNL, 868' FEL, Section 33, T11N, R5E, UM The Well's horizontal section is planned to be located on ADL380081 and ADL391587 which are both owned by CPAI (100.00%). Exhibit 1 shows the planned location of the Well and all other adjoining governmental sections. A spacing exception is required because CPAI wishes to operate the Well as a pilot injection well in support of the CD4 -595 production well in the same governmental quarter section as the productive interval of that CD4 -595 well. The requested spacing exception enables a well location that will provide for useful interference and injection testing of the Narwhal reservoir to help establish the optimal pattern spacing and justify commerciality of the reservoir. The list below summarizes the wells in the same governmental quarter section as the Well a map showing all of the wells is attached as Exhibit 1: - CD4 -595 (ADL391587) — Active horizontal producer drilled from Colville River Unit CD4 Pad; testing the performance of the Narwhal reservoir Exhibit 2 lists the names and addresses of all owners, landowners and operators of all properties within 1,000 feet of the Well. Exhibit 3 is the Verification of Facts and Affidavit of Jason Parker. If you have any questions, please contact the undersigned. Sincerely, son . P I er Senio andm n Attachments: Exhibits 1. 2 & 3. ' The Well will be drilled from a pilot hole drilled to the following locations: Surface Location: 2858' FNL, 5253' FEL, Section 19, T11 N, R5E, UM Bottom -hole Location: 4236' FNL, 4424' FEL, Section 28, T11 N, R5E, UM EXHIBIT 1 AOL372096 ADL384210 ADL372097 CPAI CPAI CPAI ADL380079 CPAI ADL384211 { ! CPAI SEARCH aL H 1 I: 1.11 N R5F a _ AOL390082 AOL390061 AOL392861 - CPAI CPAI al SEARCH n � ra a. AnL398903 .0 A 1 97 CPAI T ADL392975 OIL SEARCH C�OM`++s illi S r ADL391690 CPAI ..�__ CDA -594p" CU4 590 ASEA 48 ADL393167 ADL393166 Open Interval aLSEARCH OIL SEARCH OIL SEARCH Existing Wells Producer 1' ION RS£ Unit Boundaries CPAI Leasehold s in OIL SEARCH Leasehold A01-391915 ADL]96i74 ADMI914 ?2 UfG 1019 1 C.rt a,ht - CPAI CPAI CPA) u 06 Mikn EXHIBIT 2 List of all owners, landowners and operators of all properties within 1,000 feet of the CD4 -594 well. Owner (Operator): ConocoPhillips Alaska, Inc. P. O. Box 100360 Anchorage, AK 99510-0360 Attention: Stephen Thatcher, WNS Development Manager Adioinine Tract Owner (Operator): Oil Search (Alaska), LLC PO Box 240927 Anchorage, AK 99524-0927 Attn: Tim Jones, Land Manager Adioinine Tract Owners (Non -Operators): Repsol E&P USA, Inc. 2455 Technology Forest Blvd. The Woodlands, TX 77381 Attn: Dennis Henderson Armstrong Energy, LLC 1421 Blake Street Denver, CO 80202 Attn: Nathan Lowe Landowners: Arctic Slope Regional Corporation Arctic Slope Regional Corporation 3900 C Street, Suite 801 Anchorage, Alaska 99503-5963 Attn: Teresa Imm, Executive VP, Regional and Resource Development Alaska Department of Natural Resources Division of Oil and Gas 550 West 7th Ave., Suite 1100 Anchorage, Alaska 99501 Attn: Kevin Pike, Unit Manager EXHIBIT 2 (continued) List of all owners, landowners and operators of all properties within 1,000 feet of the CD4 -594 well. Surface Owners: Kuukpik Corporation PO Box 187 Nuiqsut, Alaska 99789-0187 Attn: Joe Nukapigak, President Alaska Department of Natural Resources Division of Oil and Gas 550 West 7th Ave., Suite 1100 Anchorage, Alaska 99501 Attn: Kevin Pike, Unit Manager EXHIBIT 3 TO THE ALASKA OIL AND GAS CONSERVATION COMMISSION Before the Commissioners of the Alaska Oil and Gas Conservation Commission in the Matter of the Request of ConocoPhillips Alaska, Inc. for an Exception to the Provisions of 20 AAC 25.055 for the CD4 -594 well STATE OF ALASKA THIRD JUDICIAL DISTRICT ) VERIFICATION OF FACTS AND AFFIDAVIT OF JASON PARKER M Jason Parker, being first duly sworn, upon oath, deposes and states as follows: My name is Jason Parker. I am over 19 years old and have personal knowledge of the matters set forth herein. ("CPAI"). 2. 1 am a Senior Landman for the well operator, ConocoPhillips Alaska, Inc. 3. 1 am acquainted with the facts associated with the drilling of well CD4 -594. 4. 1 have reviewed the application submitted for the exception to 20 AAC 25.055. To the best of my knowledge and belief all facts therein are true and accurate. 5. 1 have reviewed the plats attached as Exhibit "1" and it correctly portrays pertinent and required data. 6. Pursuant to 20 AAC 25.055 (a), CPAI, the well operator, prepared a Notice and Request for Spacing Exception pursuant to 20 AAC 25.055(d) for CD4 -594, Colville River Unit, Alaska. A copy of this notice is attached hereto. 7. On August 22, 2019, pursuant to 20 AAC 25.055(a), CPAI sent a copy of said notice by certified mail to the last known address of all owners, landowners and operators of all properties within 1,000 feet of CPAI's CD4 -594 well, and of the governmental quarter sections directly and diagonally offsetting the governmental quarter section of the proposed location of CPAI's CD4 -594 well. These names and addresses are set forth on Exhibit 2 attached to CPAI's Notice and Request for Spacing Exception pursuant to 20 AAC 25.055(d) for CD4 -594, Colville River Unit, Alaska, dated August 22, 2019. Subscribed and sworn to this 22nd day of August, 2019. �s ar STATE OF ALASKA ) THIRD JUDICIAL DISTRICT ) This instrument was acknowledged before me this 22nd day of August, 2019, by Jason Parker. STATE OF ALASKA NOTARY PUBLIC o a ub c State of Alaska REBECCA SWENSEN D „a�— 00 � M GonMi"OW Expire. Aug. 27, 2020. My Commission Expires: o