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Home My WebLink AboutFOREST OIL - W. MCARTHURALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition REVISED West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit JanUa -07 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected I 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 - 5. Pilot and Pure 8,901 6. Used for lease o erations 18,500 7. Other 0 TOTAL items 1-7 27,401 8. NGL aas eauivalent produced 0 9. Purchased as 3,294 10. Transferred from: WFU #1 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~~~`2i.-!~""tip. Title Production Engineer Date: 09/18/01 Form 10-422 Rev 04/00 ~ ~ West McArthur River I 9301481 100% Official Use Only-Flaring Authorization >1hr. 1. Safet MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 3~~ ~~~ ~ ~ zoos ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition REVISED West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit Februa -01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Rein"ected 0 West McArthur River 930148 100% 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report reg'd-See 20 AAC 25.235) 0 ___ 5. Pilot and Pure $,357 6. Used for lease o erations 20,261 7. Other 0 TOTAL items 1-7 28,618 8. NGL as a uivalent roduced 0 9. Purchased as 7,515 10. Transferred from: 0 11. Transferred to: 0 Remarks: Gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certif/y~that the foregoing is true and correct to the best of my knowledge. Signatur~/~y~ Title Production Engineer Date: 09/18/01 Official Use Only-Flaring Authorization >1hr. 1. Safe --MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psis and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authori 20 AAC 25.235 `i~~~. Form 10-422 Rev 04/00 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit Disposition Volume MCF 1. Sold 0 2. Rein'ected 0 3. Flared or vented less than 1 hour. 0 4. Flared or veneted greater than 1 hour. Su lemental re ort re 'd-See 20 AAC 25.235 0 5. Pilot and Pure 9,394 6. Used for lease o erations 22,458 7. Other 0 TOTAL items 1-7 31,852 8. NGL as a uivalent roduced 0 9. Purchased as 9,133 10. Transferred from: 0 11. Transferred to: 0 Remarks: Gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~i~ ~~~~ Title Production Engineer Date: 09/18/01 /Year of Disposition REVISED March-01 Indicate contributions of each pool to total. Pool Name Code Percent I West McArthur River I 9301481 100% I Official Use Only-Flaring Authorization >1hr. 1. Safe GF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authori 20 AAC 25.235 ~~. Form 10-422 Rev 04/00 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility West McArthur River Unit Disposition )perator Field(s) FOREST OIL CORPORATION West McArthur River Unit Volume MCF 1. Sold 0 2. Rein~ected 0 3. Flared or vented Less than 1 hour. 0 4. Flared or vented greater than 1 hour. Su lemental re ort re 'd-See 20 AAC 25.235 0 5. Pilot and Pure 6,693 6. Used for lease o erations 25,107 7. Other 0 TOTAL items 1-7 31,800 8. NGL as a uivalent roduced 0 9. Purchased as 7,333 10. Transferred from: WFU #1 2,261 11. Transferred to: 0 Remarks: Gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~'~Z-~J~--- Title Production Engineer Date: 09/18/01 Month/Year of Disposition REVISED April-01 Indicate contributions of each pool to total. Pool Name Code Percent West McArthur River I 9301481 100% I Official Use Only-Flaring Authorization >1hr. 1. Safe MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authorit 20 AAC 25.235 J ~~~ Form 10-422 Rev 04/00 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Dispos REVISED West McArthur River Unit OREST OIL CORPORATIO est McArthur River Uni Ma -01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected 0 est McArthur Rive 930148 100% 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd-See 20 AAC 25.235 0 5. Pilot and Pure 3,443 6. Used for lease o erations 36,619 7. Other 0 TOTAL items 1-7 40,062 8. NGL as a uivalent roduced 0 9. Purchased as 356 10. Transferred from: WFU 9,189 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~`-7~~"-~-- Title Production Engineer Date: 09/18/01 Form 10-422 Rev 04/00 Official Use Only-Flaring Authorization >1 hr. 1. Safet CF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60' F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 ~ ~m~ ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition REVISED West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit June-01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected I 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 0 5. Pilot and Pure 6,140 6. Used for lease o erations 38,444 7. Other 0 TOTAL items 1-7 36,584 8. NGL as a uivalent roduced 0 9. Purchased as 0 ~A T-.....-F.......J i... w.• \A/CI I dF~ Afl 4C'7 11. Transferred to: 1 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~~~~~t-~ Title Production Engineer Date: 09/18/01 Form 10-422 Rev 04/00 West McArthur River I 9301481 100% Official Use Only-Flaring Authorization >1 hr. 1. Safet ~ MCF 2. Lease Use ~ MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 Id~~'. ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition REVISED West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit Jul -01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold I 0 2. Reinjected I 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 2,878 5. Pilot and Pure 13,761 6. Used for lease o erations 20,273 7. Other 0 TOTAL items 1-7 36,112 8. NGL as a uivalent roduced 0 9. Purchased as - 10. Transferred from: WFU #1 10,952 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~v~f ~ ~~`- Title Production Engineer Date: 09/18/01 Pool Name I Code I Percent West McArthur River I 9301481 100% Official Use Only-Flaring Authorization >1 hr. 1. Safet MCF 2. Lease Use MCF 3. Conserv. Pur oses ~ a 2 MCF Commi inner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60' F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 f~~ ~/ Form 10-422 Rev 04/00 Forest Oil Corporation Excess Flare Log Facility Name West McArthur Production Facility July, 2001 Date & Time Be in End Event Gas MCF Planned Descri tion of Incident Cate o Reason Actions Taken Steps Taken to Minimize Recurrence Equipment 7/29/01 12:01 p.m. 7/31/01 12:00 a.m. 2078 N Gas compressor failure operational ordered new compressor perform maintenance work gas compressor #1 Flare_Log.xls Page 1 ` ',*~. ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit AU USt-01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected 0 West McArthur River 930148 100% 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 15,990 5. Pilot and Pure 7,187 6. Used for lease o erations 21,934 7. Other 0 TOTAL items 1-7 45,111 8. NGL as a uivalent roduced 0 9. Purchased as 11,327 10. Transferred from: WFU #1 8,327 11. Transferred to: 0 Remarks: Gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that. the foregoing is true and correct to the best of my Si nature ~`"-" g ~ ~ Title Production Engineer Date: 09/18/01 Official Use Only-Flaring Authorization >1 hr. 1. Safet MCF 2. Lease Use MCF 3. Conserv. Pur oses ~~ q® MCF (,, Commiss ner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authori 20 AAC 25.235 Form 10-422 Rev 04/00 Facility Name West McArthur Production Facility Forest Oil Corporation Excess Flare Log August, 2001 Date & Time Be in End Event Gas MCF Planned Descri tion of Incident Cate o Reason Actions Taken Steps Taken to Minimize Recurrence E ui ment 8/1 /01 12:00. a.m. 8/31 /01 12:00 a.m. 15990 N Gas compressor failure operational waiting on new compressor ordered new compressor perform maintenance work gas compressor #1 Flare_Log.xls Page 1 .. {.i Forest Oil Corporation ~, 310 K Street, Suite 700 .Anchorage, Alaska 99501 (907) 238-8600 Fax: (907) 2588601 December 24, 2~1 ~~ Julie Heusser Commissioner Ataska Oil and Gas Conservation Commission 333 W. 7th Avenue, Suite 100 Anchorage, Alaska 99501 Dear Ms. Heusser Gat./?''j/'~~ RECEIVED DEC 2 6 2001 AI2~Ic~a Oil & Gas Cons. Canrrussio~ Anchorage This letter is in response to your letter dated December 7, 2001 "Re: August and September 2001 Flaring -West McArthur River Unit' and will also respond to similar questions that may be raised regarding the October 2001 submission of the "Facility Report of Produced Gas Disposition"filed by Forest Oil Corporation ("Forest")for the West McArthur River Unit ("WMRU"). This flaring occurred when a compressor that allows gas from our separators to be used as fuel gas in our generation turbines experienced` an unexpected and sudden failure. Below are detailed answers to your five questions in order to aid the Alaska Oil and Gas. Conservation Commission`("AOGCC") in their decision process. Your questions appear in a different typeface in order to provide definition between the AOGCC question and the Forest answer. 1. When did Forest Oil first Notify the AOGCC of the gas compressor problems? Forest files monthly reports pursuant to Section 20, AAC 25.235 of the Alaska Administrative Code. On September 18, 2001, Forest conveyed a letter to Steve McMains of the AOGCC. This letter was a cover letter for the August 2001 Producers Report of Gas Disposition (Form 10-422). The August 2001 Producers Report of Gas Disposition submittal by Forest included a notification of the gas compressor problem. 2. What steps did Forest Oil Corporation take to minimize the volume of gas flared? Forest took steps in accordance with good oil field engineering practices and conservation purposes to minimize the volume of gas flared consistent with preventing loss of ultimate recovery (see #5 below). The steps taken were directed at expediting the repair of the compressor. As soon as the compressor failed, it was disassembled and flown to the East Side of the Cook Inlet for repair. This was done with no regard to the t P:IAOGCC~response comp fail.doc ,_~ additional expense in order to expedite the repair and re-installation of the compressor. The more economical approach would have been to wait and send the failed compressor over on the next barge. Once it was leamed that the compressor was not repairable, Forest personnel immediately called the manufacturer of the compressor about obtaining a replacement. The manufacturer noted Forest personnel that a replacement compressor was 14 weeks out. Once that was leamed, personnel began looking for a more expeditious option. Forest located no suitable compressor locally. Because of this effort, a slightly larger reconditioned compressor was located that could be modified and installed. This compressor was available only .eight weeks out. All parties involved were asked to expedite the modifications and shipping of this machine. Because of these efforts and additional expenditures, the flaring event in question lasted 52 days instead of what would have been 98 plus days had we accepted the original replacement time given by the manufacturer. 3. Was Forest Oil able to identify the root cause of the gas compressor failure? If so, please c~scribe. Upon dismantling the compressor in order to attempt a repair it was leamed that the shaft bearings had failed from a loss of lubrication. This additional friction machined the shaft until the heat buildup was great enough to weld the bearing to the shaft. This failure occurred in spite of Forest following all specked maintenance procedures. 4. What steps has Forest Oil taken to minimize the recurrence of this problem? Forest is taking steps to minimize. recurrence of this type of failure. Because of the fact that this is the only compressor of its kind owned by Forest there is no historical data available from which to extrapolate a maintenance schedule for our particular service. Because of this, we have chosen to: a) completely replace the defective compressor with a new compressor. b) continue to use the manufacturer's scheduled maintenance program with alife-0f- service modified by our experience with this unforeseen event. c) adopt avibration-monitoring program similar to one currently in use for the power generation turbines. d) consider purchasing a back up compressor to minimize flare episodes. S. Was the August and September 2001 flaring necessary to prevent loss of ultimate recovery? If yes, please explain. Yes. The August and September Flaring was necessary to prevent the shut down of our power generation turbines and our lifting equipment. This would have caused a 52 day shut in of all producing wells. Documentation exists showing that the Hemlock Formation will lose production and therefore ultimate recovery if shut in for a period of time. Unocal's Grayling Platform is a P:IAOGCC~resporse comp fail.doc ., prime example. In 1985 the Grayling platform experienced a blow out which resulted in the platform being shut in for 5 months. Before the shut-in production was 13,000 BOPD. After the platform was re-started, production was only restored to between 8,000 and 9,000 BOPD. An extensive work over and re~lrill program followed to restore well productivity but in spite of this effort, oil production was never fully restored to pre shut-in levels and ultimate recovery was .lost. Another example is in the West McAurther River Unit Field itself. Well numbers 1, and 2 experienced a 43% production decline after being shut in for 66 days due to a power oil pump failure. These wells have not returned to pre-shut down levels and have now been back in service for 29 days. I trust the information that Forest has provided in this letter is sufficiently responsive to your request. However, if you need additional information, please feel free to contact me at 907- 868 2137. following my return from the holidays on January 7th. I hope you have a pleasant holiday. Sincerely, /~(~ _ Ted E. Kramer Production Manager P:IAOGCCVespor~e carp fail.doc 1 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit September-01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 2. Reinjected 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 7,901 5. Pilot and Pure 7,232 6. Used for lease o erations 24,098 7. Other 0 TOTAL items 1-7 39,231 8. NGL as a uivalent roduced 0 9. Purchased as 15,707 10. Transferred from: WFU #1 - Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. ~~~Z---- Title Production En meer Date: 10/11/01 Signatur~,,~~`L g' Form 10-422 Rev 04/00 Pool Name I Code I Percent West McArthur River I 9301481 100% Official Use Only-Flaring Authorization >1 hr. 1. Safet MCF 2. Lease Use MCF 3. Conserv. Pur oses `7QD I MCF 1~~~~~ Commiss' er J Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 t Forest Oil Corporation Excess Flare Log Facility Name West McArthur Production Facility August, 2001 Date & Time Be in End Event Gas MCF Planned Descri tion of Incident Cate o Reason Actions Taken Steps Taken to Minimize Recurrence E uipment 9/1 /01 12:00 a.m. 9/18/01 12:00 a.m. 7901 N Gas compressor failure operational waiting on new compressor ordered new compressor perform maintenance work gas compressor #1 ~trr~yo- fiz~ket~ +o mf n+mi~ r~u f-'~ "pcr~arm ma.~ri!t?rxcnc~- ~ t~,,,c,noto r»oi'~ ~j~tAa9ik~- (~~ (Atria.. la.clG ~ mcun-t. i'!-e,2. rotes -q a ? ... #o nah~~ u _ .(3~ IMao-,`Ifcc. I~' o~ Atari S ' { ' ~bt,en`-'. ~ ~ '1 t ~~ ~ 6~ f114 _I~e/~AQ,yGt f0 Fy~2U~f't~ u~!'+ __ ~J r..eCO~r~v~ fut 'd L ~ ~ on aG 4) ~ neu> arrive' r ue~.a ~~- ~,ry~~ ~ . eons~~(.eied o~erut-i crr~ ~ ~U~~ ~i Gl ~'C.N z~':Y~ ~`l v ~ ~ jvLhrL~ awl ~~~1 /"~ Flare_Log.xls Page 1 TONY KNOWLES, GOVERNOR 333 W. 7TM AVENUE, SUITE 100 ANCHORAGE, ALASKA 99501-3539 PHONE (907) 279-1433 FAX (907) 2767542 December 7, 2001 Ted Kramer Production Manager Forest Oil 310 K Street, Suite 700 Anchorage, AK 99501 Re: August and September 2001 Flaring West McArthur River Unit Dear Mr. Kremer: The Alaska Oil and Gas Conservation Commission ("AOGCC") has reviewed the August and September 2001 submissions of "Facility Report of Produced Gas Disposition" for the West McArthur River Unit and is in need of additional information before a decision can be made. 1. When did Forest Oil first notify the AOGCC of the gas compressor problems? 2. What steps did Forest Oil take to minimize the volume of flared gas? 3. Was Forest Oil able to identify the root cause of the gas compressor failure? If so, please describe. 4. What steps has Forest Oil taken to minimize the recurrence of this problem? 5. Was the August and September 2001 flaring necessary to prevent loss of ultimate recovery? if yes, please explain. Sincerely, Julie M. Heusser Commissioner JMH~jjc cc: Steve McMains Julie Heusser RECE~VE~ Commissioner Alaska Oil and Gas Conservation Commission DEC 2 6 2001 333 W. 7~' Avenue, Suite 100 Anchorage, Alaska 99501 Alma Oil & Gas Cons. Commwssion .Dear Ms. Heusser This letter is in response to your letter dated December 7, 2001 "Re: August and September 2001 Flaring -West McArthur River Unit" and will also respond to similar questions that may be raised regarding the October 2001 submission of the "Facility Report of Produced Gas Disposition" filed by Forest Oil Corporation ("Forest"} for the West McArthur River Unit ("WMRU"). This flaring occurred when a compressor that allows gas from our separators to be used as fuel gas in our generation turbines experienced'an unexpected and sudden failure. Below are detailed answers to your,five questions in order to aid the Alaska Oil and Gas Conservation Commission (AOGCC) m their decision process. Your questions appear in a different typeface in order to provide definition between the AOGCC question and the Forest answer. 1. When didForest Oil firstNotify the AOGCC ofthe gas compressorprobdems? Forest files monthly reports pursuant to Section 20, AAC 25.235 of the .Alaska Administrative Code. On September 18, 2001, Forest conveyed a letter to Steve McMains of the AOGCC. This letter was a cover letter for the August 2001 Producers Report of Gas Disposition (Form 10-422). The August 2001 Producers Report of Gas Disposition submittal by Forest included a not cation of the gas compressor problem. 2. What steps did Forest Oil Corporation take to minimize the volume ofgas flared? Forest took steps in accordance with good oil field engineering practices and conservation purposes to minimize the volume of gas flared consistent with preventing loss of ultimate recovery (see #5 below). The steps taken were directed at expediting the repair of the compressor. As soon as the compressor failed, it was disassembled and. flown to the East Side of the Cook Inlet for repair. This was done with no regard to the P:IAOGCCIresporse comp fail.doc additional expense in order to expedite the repair and re-installation of the compressor. The more economical approach would have been to wait and send the failed compressor over on the next barge. Once it was learned that the compressor was not repairable, Foresf personnel immediately called the manufacturer of the compressor about obtaining a replacement. The manufacturer noted Forest personnel that a replacement compressor was 14 weeks out. Once that was teamed, personnel began looking for a more expeditious option. Forest located no suitable compressor locally. Because of this effort, a slightly larger reconditioned compressor was located that could be modified and installed. This compressor was available only eight weeks out. All parties involved were asked to expedite the modifications and shipping of this machine. Because. of these efforts and additional expenditures, the flaring event in question lasted 52 days instead of what would have been 98 plus days had we accepted the original replacement time given by the manufacturer. 3. Was Forest Oil able to identify the root cause of the gas compressor failure? If so, please describe. Upon dismantling the compressor in order to attempt a repair it was learned that the shaft bearings had failed from a loss of lubrication.. This additional friction machined the shaft until the heat buildup was great enough to weld the bearing to the shaft. This failure occurred in spite of Forest following all specified maintenance procedures. 4. What steps has Forest Oil taken to minimize the recurrence of this problem? Forest is taking steps to minimize recurrence of this that this is the only compressor of its kind owned by Forest there iB no historical data available from which to extrapolate a maintenance schedule for our particular service. Because of this, we have chosen to: a} completely replace the defective compressor with a new compressor. b} continue to use the manufacturer's scheduled maintenance program with a life-0f- service mod~ed by our experience with this unforeseen event. c) adopt avibration-monitoring program similar to one currently in use for the power generation turbines. d) consider purchasing a back up compressor to minimize flare episodes. S. Was the August cmd ,September 2001 flaring necessary to prevent loss of ultimate recovery? If yes, please explain. Yes. The August and September Flaring was necessary to prevent the shut down of our power generation turbines and our lifting equipment. This would have caused a 52 day shut in of all producing wells. D~umentation exists showing that the Hemlock Formation will lose production and therefore ultimate recovery ~ shut in for a period of time. Unocal's Grayling Platform is a P:IAOGCCIresponse oomp fail.doc prime example. In 1985 the Grayling platform experienced a blow out which resulted in the platform being shut in for 5 months. Before the shut-in production was 13,000 BOPD. After the platform was re-started, production was only restored to between 8,000 and 9,000 BOPD. An extensive work over and re-drill program followed to restore well productivity but in spite of this effort, oil production was never fully restored to pre shut-in levels and ultimate recovery was lost. Another example is in the West McAurther River Unit Field itself. Well numbers 1, and 2 experienced a 43% production decline after being shut in for 66 days due to a power oil pump failure. These wells have not returned to pre-shut down levels and have now been back in service for 29 days. I trust the information that Forest has .provided in this letter is sufficiently responsive to your request. However, if you need additional information, please feel free to contact me at 907- 868 2137 following my return from the holidays on January 7th. I hope you have a pleasant holiday. Sincerely, ~ ~u-~ Ted E. Kramer Production Manager P:woccc~-,~ ~P ~a.~ ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit Ocitober-01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected I 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 - 5. Pilot and Pure 6,248 6. Used for lease o erations 31,814 7. Other 0 TOTAL items 1-7 38,062 8. NGL as a uivalent roduced 0 9. Purchased as 11,975 10. Transferred from: WFU #1 2,756 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~0! `~~ ~~'~ Title Production Engineer Date: 11/05/01 Form 10-422 Rev 04/00 . .. ~ ,_' ~l~s~;o ~~~ ~ G ~s ?:,~r~s .::r ;r An°;!,tf~r~G West McArthur River ~ 930148 100% Official Use Only-Flaring Authorization >1 hr. 1. Safet MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF Commissioner Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF PRODUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit NOVetI"tbGf -0'I Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold 0 Pool Name Code Percent 2. Reinjected 0 West McArthur River 93014$ 100% 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 30 5. Pilot and Pure 5,706 6. Used for lease o erations 27,968 7. Other 0 TOTAL items 1-7 33,704 8. NGL as a uivalent roduced 0 9. Purchased as 1,597 10. Transferred from: WFU #1 9,880 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. /~ l ~ Signature -^~>% ~ Title Production Engineer Date: 12/05/01 Official Use Only-Flaring Authorization >1 hr. 1. Safet :~lV MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF D~ Z~ ~~ o missioner Date Ct~= 1l~~11: 'Z/ 2Z/ G L Note: All volumes must be corrected to pressure of 14.65 Asia and to a temperature of 60' F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 Form 10-422 Rev 04/00 Forest Oil Corporation Excess Flare Log Facility Name West McArthur Production Facility November, 2001 Date & Time Be in End Event Gas MCF Planned Descri tion of Incident Cate o Reason Actions Taken Steps Taken to Minimize Recurrence Equi ment 11/30/01 12:00 a.m. 11/30/01 12:00 p.m. 30 N Gas compressor failure operational repaired gas pressure valve repaired as quickly as possible perform maintenance work gas compressor #1 Flare_Log.xls Page 1 ALASKA OIL AND GAS CONSERVATION COMMISSION FACILITY REPORT OF Pf20DUCED GAS DISPOSITION Facility Operator Field(s) Month/Year of Disposition West McArthur River Unit FOREST OIL CORPORATION West McArthur River Unit D@Cember-01 Disposition Volume MCF Indicate contributions of each pool to total. 1. Sold I 0 2. Reinjected I 0 3. Flared or vented less than 1 hour. 0 4. Flared or vented greater than 1 hour. (Supplemental report req'd- See 20 AAC 25.235 1,968 5. Pilot and Purge 5,564 6. Used for lease operations 28,847 7. Other 0 TOTAL items 1-7 36,379 8. NGL as equivalent produced 0 9. Purchased gas 10,370 10. Transferred from: WFU #1 4,640 11. Transferred to: 0 Remarks: Associated gas is approximately 15% nitrogen. Gas is used for lease operations including heaters and turbine generators. I hereby certify that the foregoing is true and correct to the best of my knowledge. Signature~//~ L- ~ ~L~° Tii Form 10-422 Rev 04/00 Production Manager Date: 01/15/02 ~" ~i ~. Pool Name I Code I Percent West McArthur River 1 9301481 100% Official Use Only-Flaring Authorization >1 hr. 1. Safet ~' ~ ~ MCF 2. Lease Use MCF 3. Conserv. Pur oses MCF ~ ~~J 6 ~ Commissi er Date Note: All volumes must be corrected to pressure of 14.65 psia and to a temperature of 60'F. Report due by the 20th of the month following the month in question. Authority 20 AAC 25.235 '>h-~ ~~~~~ Forest Oil Corporation Excess Flare Log Facility Name West McArthur Production Facility December, 2001 Date & Time Be in End Event Gas MCF Planned Description of Incident Cate o Reason Actions Taken Steps Taken to Minimize Recurrence E ui ment 12/04/01 3:00 a.m. 12/07/01 10:00 a.m. 542 N Gas compressor discharge line froze off operational thawed gas discharge line repaired as quickly as possible perform maintenance work gas compressor #1 12/13/01 7AM 12/13/01 9AM 46 N Gas compressor discharge line froze off operational thawed gas discharge line repaired as quickly as possible perform maintenance work gas compressor #1 12/13/01 9:30PM 12/16/01 10am 839 N Gas compressor discharge line froze off.0-ring blew. operational thawed gas discharge line repaired as quickly as possible perform maintenance work gas compressor #1 Flare_Log.xls Page 1