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HomeMy WebLinkAboutCO 111 ) ) Image Project Order File Cover Page XHVZE This page identifies those items that were not scanned during the initial production scanning phase. They are available in the original file, may be scanned during a special rescan activity or are viewable ~ direct inspection of the file. (~O \ \ ) Order File Identifier Organizing (done) o Two-sided III "11111111111111 o Rescan Needed 111111/11" 1111I111 RESCAN DIGITAL DATA OVERSIZED (Scannable) o Maps: o Other Items Scannable by a Large Scanner o Color Items: o Greyscale Items: o Diskettes, No. D Other, No/Type: o Poor Quality Originals: OVERSIZED (Non-Scannable) o Other: Scanning Preparation x 30 = + o Logs of various kinds: JZ6ther:: m f>r péS Date: to jð / O~ Isl ~ 111111111111111111I Date: ~: e .I ÓS' 151 V\1~ = TOTAL PAGES ld- (COUnjdoes no¡; include cover sheet) \ J\A;:) Date: ~(l)~ (1($; Isl V r r , IIIIIIIIIIII~ II11I NOTES: BY: Helen ~ Project Proofing BY: Helen ~ BY: Helen JfV1aria.-J, Production Scanning Stage 1 Page Count from Scanned File: Il-=3 (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: '~YEtS NO Helen~ Date:fo ((3" OS- IS/'V\1P If NO in stage 1, page(s) discrepancies were found: YES NO BY: Stage 1 BY: Helen Maria Date: Isl 1111111111111111111 Scanning is complete at this point unless rescanning is required. ReScanned 1111111111111111111 BY: Helen Maria Date: Isl Comments about this file: Quality Checked 1111111111111111111 12/1/2004 Orders File Cover Page.doc ) ) Conservation Order 111 1. 2. January 7, 1972 January 25, 1972 Standard's request for Spacing Exception Beluga River 14-3 Notice of Hearing and affidavit of publication Conservation Order 111 ")" .~ \ ,/,1., STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL AND GAS Alaska Oi I and Gas Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99504 Re: THE APPLICATION OF STANDARD OIL COMPANY OF CALIFORNIA for an order granting an exception to the acreage spacing and distance be- tween wel I requirements of Title I I, Alaska Administrative Code, Section 2061 (c), in order to pro- duce the Beluga River Unit No. I 4- 3 we I I . IT APPEARING THAT: ) ) ) ) ) ) ) ) ) Conse rvat ion Orde r No. I II Beluga River Gas Field March 3, 1972 I. Standard Oi I Company of California, operator of the Beluga River Gas Field, submitted an application dated January 7, 1972 for an excep- tion to the acreage spacing and distance between wel I requirements of Title II, Alaska Administrative Code, Section 2061(c), in order to produce the Beluga River Unit No. 14-3 wel I from a perforated interval that is appro~imately 1,900 feet from the producing interval in the Beluga River Unit No. 232-4 gas well. Both wel Is I ie in the same governmental section. 2. The referenced we I I, a directional hole, was dri I led to a total depth of 15,196 f.eet to test the Hemlock conglomerates and abandoned. Shallow gas sands which produce in other Beluga River Gas Field we I Is were penetrated from 3,300 feet to 4,800 feet dri I led depth and were protected behind cemented casing. 3. The operator wishes to complete the referenced we I I in the shal low Beluga River Unit gas sands and redesignate the gas wel I as Beluga River Un i t No. 244-4. The bottom of the recomp I eted ho I e wi I I be in the SE 1/4 of Section 4, Township 12 North, Range 10 West, S. M. 4. Only the Sterl ing and Beluga River formations produce gas in the Beluga River Gas Field. They consist of nonmarine, interbedded, fine to medium grained sands, coals, si Itstones and shales. Sand deposition is not uniform across the field. 5. Pools in the Beluga River Gas Field have not been defined. ~) ~ Conservation Order No. I I I Page 2 March 3, 1972 ,) ) 6. A revised gas sales contract with Chugach Electric Association requires I ncreased gas de live rab i I i ty . 7. Notice of the application was published in the Anchorage Oai Iy News on January 25, 1972. There were no protests to the application. FINDING: Permeabi lity barriers in the producing formations of the Beluga River Gas Field may result In some reservoir stringers not being adequately drained under present statewide spacing rules. CONCLUSION: The requested exception to Title I I, Alaska Administrative Code, Section 2061 (c), wi II not adversely affect correlative rights nor result In waste, and may result In Increased ultimate recovery from the Beluga River Gas Field. NOW, THEREFORE, IT IS ORDERED THAT: I. The Beluga River Unit No. 14-3 wel I may be produced from a perforated Interval at no less than I ,5001 feet from the producing interval in the Beluga River Unit No. 232-4 gas we I I. 2. The Beluga River 232-4 gas wel I and the recompleted Beluga River Unit No. 14-3 wel I may both be produced from the same governmental section. DONE at Anchorage, Alaska, and dated March 3, 1972. dL æft¡-JJ i.. Thomas R. Marshal I, Jr., Executive Secretary Alaska Oi I and Gas Conservation Committee Concurrence: d~/:«~~p Homer L. Burrel I, Chairman Alaska Oi I and Gas Conservation Committee f(J~ Æ ¿(;;d?ft, O. K. Gi Ibreth, Jr., Member Alaska Oi I and Gas Conservation Committee #2 ") ") NOTICE OF PUBLIC HEARING STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES DIVISION OF OIL AND GAS Alaska Oil and Gas Conservation Committee Conservation Fi Ie No. I II Re: The appl ication øf the Standard Oil Company of Cal ifornia for an order grant- ing an exception to Title I I, Alaska Administrative Code Section 2061 (c) for relief from the acreage spacing requirements and to produce the Beluga River Unit No. 244-4 gas wel I from a perforated interval that is less than the 3,000- foot minimum distance from the perforated interval in another well. Both wel Is are in the Beluga River Gas Field. Notice is hereby given that the Standard Oi I Company of California has requested the Oi I and Gas Conservation Committee to issue an order exempting the referenced wel I from the 3,000-foot minimum distance requirement and the acreage spacing requirements of Section 2061 (c) of the Oi I and Gas Conservation Regulations. The referenced wel I wi I I be produced from an interval that is approximately 2,000 feet from the nearest pay interval in the Beluga River Unit No. 232-4 wel I and both wel Is lie in the same govern- mental section. Parties who may be aggrieved if the requested order is issued are al lowed ten days from the date of this publication in which to fi Ie a protest and request for hearing. Place of fi ling is 3001 Porcupine Drive, Anchorage, Alaska. If such a protest is timely fi led, a hearing on the matter wi I I be held at the above address at 9:30 a.m., February 8, 1972, at which time protestants and others may be heard. If no such protest is timely fi led, the Committee wi I I consider the issuance of the order with- out a hearing. d. tfl ~..JJ/L Thomas R. Marshall, Jr. Executive Secretary Alaska Oi I and Gas Conservation Committee 3001 Porcupine Drive Anchorage, Alaska 99504 Publish January 25, 1972 ) . . AFFIDAVIT OF STATE OF ALASKA, ) THIRD JUDICIAL DISTRICT, ) 55. Nary L Shake '. .......-.... ---..---.--..-...- ..-..- ..-.--- .--.. ..-. -------....- being first duly sworn on oath she deposes a,nd says thaL--...--------- is the--.~¡~~.~~~__º.~~!:~~___... of the Anchorage News, a daily news- paper. That said newspaper has been approved as a legal news- paper by the Third Judicial Court, - Anchorage, Alaska, and it is now and has been published in the English language continually 8S a daily newspaper in Anchorage, Alaska, and it is now and during all of said time was printed in an office maintained at the aforesaid place of publication of said news- paper. That the annexed is a true copy of a .__~~g9.1"}~~~_~.9.~_.1.68~· as it was published in regular issues (and not in supplemental form) of said newspaper for. 8 period of m_~_f!_~_______ insertions, commencing on the ..25_m..day of ...~_?J!}J_0_:r.Y._"____.., 19'1.?__ , and ending on the.____.?..?____m___ day of of ....Ja.nuar¥...-------,, , 19--7-2--, both dates inclusive, and that such newspaper was regularly distributed to its subscribers dur- ing all of sa,id period. That the full amount of the fee charged for the foregoing publication is the sum of $ lL¡..OO which amount has been paid in full at the rate of 25¢ per line; Mini- mum charge $7.50. ~¿Uý/J¿ Subscribed rd sworn to before me this --2.5-- day of___January._, 19--n"d ~" .__@-dd:-.__~.L.u_____ u_~~~-~- the State of Alaska, Third Division, Anchorage, Alaska ß :MMISSION EXPIRES _._.:........:..~-·::fd.;....:.../L., 19.Z2 PUBLiCA TION ·~~I¡!~.':fl~;~9 DEPA~TM~r"::I,r~J~~~~~SOURÇ~S, "" DIVISION 'OF' blt!~ÄN'O GAS '. I AI~s~. Oil II"~ ç.~q"n's~,v.tlºn ~ol1lmltt~A cq,n~~ry~r~;:1'~n",Nq. 111. ..:'i ßt; ''''If. 'a~ll;e,t¡lb,¡qt'::'ith'J' 6t'!\~.'4 'Ø~I:I .,,~Qmp.~Q,Y· of:, Ç'lif9r~\.. ,fpr~o. . ~.r~t~r, 1~4ntt~g I~.. (c.ptfö~'· to ,'Itl. < I,! Alìlskll'~IM~J~¡~tr~fi~':' Code '. Seèflon .. 2ß6)~k~:f~I!&t(.I'f~;J{,' .... ,tn, ,1I.çre"e liP!'. 1;,".9 . . nt . a. n. d to produce' thi{,~,r, o. 1 ~44'4' glS w.. k.~i. '~~ l!1t"r,VIII th.t' is len thai.."th 'OO~foot minImum distance fr9,'llth.e 'p'iI~f~rat,d Interv~J in ' ,.liðthlf!J\t~,R~J't'~rbl, wells Ire in the Belupa .' ,RI~~,r,'_:ilJ~I~, NotlC.~¡.f~~· ~~~~~lt',1he St.~dl"d Oil ç,~::'~ " ~.s re9u~t~~' the"" (lit' '119 (omrnltt.. to issue 'f." . :,the "r_f.,.nç,~ well' f,(ggl~~f ' ~1J!pjml/!TI di"stp,n~. requirem:èh~' ,.I~fI, 'I'" å~r.age sp~cing" re· quiremei'lfs: ,e:çf(G~"'~1Ø6]'(c) of' the 6i1 Ind :Ga~;:Rì. ~i~1t''''lltlonl. The ref: erel1.c'd, .I~~' '... .. ('pr.:r.QI4.\I~j_ frqrn "'I InferYII Ii ': rm~t..IY :2.QQP. "f~.t from the' 'II. " .nt"rv.1 in the lelugl ' River Unit ":NO~.:~'23~~4, well an~. bot!, ""I,s lie 1.1:1 tþ.~;' $~~pY"rnrr!.ntll· J~~tl!ln. Parties who' mll'y"beaggriel/ed If tht. rt· qUJ!stl!d order . is, s$u/ld are ¡ill owed tel'i daY$ from'" t~1I dat~ (9f~.thjs ,publl~lIr¡9n in wh Ich to filII a' prpt!it !lnd' request for' hearing. PI,ce of flnng 'Is 3~01 flørc:upin. ·l;IriY.~ :A~çh!1lf~Ø!!fA~f~~~' f ,'U~~ \\,~,r~lt'ft 'is timely.fil,~, a:,. ,. ~t. ~n,thè,.I)1.t-~~r Wi'll ~eheld at· ~h.~'~ . .'!~ a_~.r.sslt$n~O a.m.,~e~ru~ry 8,. 'l~""lt''"'Y'hlc~:t~rne. prøtestal'lt..~. . a. nd othl!r._.,<.,.. .'. .... '.~~. . h,.ør~... : If..: .: Qo'such-""protest is ,tlm . '. .. tb., ;'~PIJ\~\, mittee will consider the"":' Ct :'of" tht ~ or~er without a' hllring. ' Thomas R. M,r'~I", . Jr. E~ecu'iY. $fcr,t.'v Alaska 011 ,.,4 "G~~ . Cq"s.rvetiqn, Committee' .. .' 3001 . Porc\lpin, D,lv. Anchorage~ Ala,k, "~~' pubt;ftt: ,J,nUfr' . ty,25~'." "~:,~.No.l_,. #1 ~' (' Chevron III Standard Oil Company of California, Western Operations, Inc. P.O. Box 7-839, Anchorage, AK 99501 · Phone (907) 279-9666 C. V. Chatterton District Superintendent Producing Department January 7, 1972 Application for Exception to Section 206l(c) of the Oil and Gas Conservation Regulations Beluga River Unit Gas Field, Alaska Mr. Homer Burrel, Director Division of Oil and Gas Department of Natural Resources 3001 Porcupine Drive Anchorage, Alaska 99504 Dear Sir: Standard Oil Company of California, as Operator for itself, Atlantic Richfield Company and Shell Oil Company, proposes to re-enter and complete (South) Beluga River Unit #14-3 in the Beluga River Unit gas sands and redesignate the well as Beluga River Unit #244-4 located within the SE 1/4 of Section 4, Township 12 North, Range 10 West, S.M. ( ) The completion of BRU #244-4 at this location will require an exception to Section 206l(c) entitled "Well Spacing" of the Oil and Gas Conservation Regulations as it relates to distance between wells and the well spacing requirements in relation to BRU #232-4 Well. This is discussed in detail in the attached Geologic and Engineering Report. All the lands within the Beluga River Gas Field are unitized by the Beluga River Unit. Through unitization all correlati~Q rights and equities of the affected interest owners are adequately protected. Property and lease lines within the field are subject to the philosophy of unitization and may be disregarded for the purpose of re-entering and completing the (South)BRU #14-3 at the location specified herein. . In support of this application Standard, as Operator, respectfully submits the following report and exhibits: 1. Geologic and Engineering Report 2. Exhibit "1" Structure Contour Map 3. Exhibit "2" Correlation Electric Log Section ( ( ( ( Mr. Homer Burrel, Director Division of Oil and Gas Department of Natural Resources January 7, 1972 -2- Now, therefore, Standard, as Operator, hereby respectfully requests that an order be issued pursuant to Title II, Alaska Administrative Code, Section 2009, for the purpose of granting an exception to Section 206l(c) of the Oil and Gas Conservation Regulations, authorizing the re-entering and completion of the (South) BRU #14-3 within the herein designated legal subdivision and redesignating of the well to BRU #244-4. Re~.pectf~llY~..~~.Ub.1...tt. e..d, ;/ ~?(:""--' ..- .,~' '/:i:' . '; Ii/' .: /-'" / .'.. .i~ ,i ' ~ ...~, l > ¡. '/: 1 jj!jê7C ,'-'0 "c. V. Chatterton Enclosures ( ( ( ( ( GEOLOGIC AND ENGINEERING REPORT IN SUPPORT OF THE VARDu~CE INTRODUCTION Well (South) Beluga River Unit 1114-3, an exploratory well to test the Hemlock conglomerates, was directionally drilled in 1967 by Standard Oil Company of California, as Operator for itself and Atlantic Richfield Company and Shell Oil Company. During the course of drilling well (S)BRU 14-3, shallow productive Beluga River Unit gas sands were penetrated from 3300' to 4800' drilled depth. These zones were protected by cementing a string of 9-5/8" casing across them. Well (S)BRU 14-3 was subsequentiy drilled to a T.D. of 15,196' and abandoned. At the time that well (S)BRU 14-3 was abandoned no additional productive capacity was needed to meet contractual gas deliverability requirements with Chugach Electrical Association~ As of January 1, 1973, however, the present contract with Chugach requires a peak deliverability capability of 30,000 MCF/D. The present peak requirement is 20,000 MCF/D. ( In order to partially offset this increased productivity requirement, Standard Oil Company of California, as Operator for itself, Atlantic Richfield Company, and S11ell Oil Company, now. proposes to reenter Well (S)BRU #14-3 and complete it in the Beluga River Unit gas sands. Originally, the best structural advantage for a Hemlock test was considered to be underneath Cook Inlet in Section 3; t-12-N; R-lO-W, SB&M. Accordingly the surface location for well (S)BRU 1114-3 was placed on land in Section 4, T-12-N; R-lO-W, SB & M and directionally drilled to the offshore location. There is presently one other Beluga River Unit gas producer, however, which is also drilled in Section 4 (well BRU #232-4). Thus, in order to complete well (S)BRU #14-3 a spacing variance is required which would allow departure from the regulation stipulating only one well per 600 acres and a minimum offset of 3000' between existing producers. Upon completion of well (S)BRU 14-3 in the Beluga River Unit gas sands, its number will be changed to Beluga River Unit well 11244-4. ( ( ( ( DETAIL The Beluga River field is an anticlinal feature oriented roughly in a north- south direction. Structural closure is approximately 550' from a sub sea depth of -2900' to the estimated gas-water contact at -3450'. The field contains approximately 4,300 productive acres. (Please refer to Exhibit #1) The productive gas measures discovered to date at Beluga lie between a drilled depth of 3,100' and 5,200' in the Sterling (North Cook Inlet) and Beluga River formations. Presently there are 4 wells completed in these gas sands, which are BRU #232-4, 233-27, 212-25 and 212-35 (discovery well, originally numbered Beluga River Unit #1) as shown on Exhibit #1. Beluga River Unit wells 232-4, 233-27 and 212-35 are currently completed in Beluga River formation sands only while well 212-25 is completed in þoth the Sterling and Beluga River sands. Productive Sterling and additional Beluga River formation sands are yet unperforated at wells BRU 232-4, 233-27 and 212-35. The Sterling and Beluga River formations consist of non-marine, interbedded, fine to medimum grained sands, coals, siltstones and shales. Sand deposition is not uniform across the Beluga River structure. The sands are lenticular and shale out from location to location and merge at others. In general, correlations are difficult, but are better within the Sterling than the Beluga River formation. ( In the variance wells, (South) Beluga River Unit #14-3 and Beluga River Unit #232-4, essentially the same Sterling sand intervals are present and productive in each well. However, productive sands in the Beluga River formation are more discontinuous and not generally laterally equivalent. A detailed correlation section between these two wells is attached as Exhibit #2. As proposed, wells BRU #232-4 and (S)BRU #14-3 will initially be produced from different sands; viz., (1) the Sterling formation which is not perforated at 232-4 will be perforated at (S)BRU #14-3, and (2) the Beluga River formation will be perforated in different stratigraphic sands in the two wells. In the future, operating conditions or a mechanical failure could necessitate the perforation of the Sterling sands at well BRU 232-4. This condition, however, should not reduce the ultimate economic recovery from the Beluga River Field due to the different structural position of each well. ( ( { ( SUMMARY 1. Well (South) Beluga River Unit #14-3 was originally drilled as an exploratory test of the Hemlock conglomerates. Structural advantage at the Hemlock interval required directionally drilling the well from Section 4; T-l2-N; R-10-W; SB&M. The well was abandoned after numerous lower interval tests. 2. Contractual commitments with Chugach Electric Association require an increase in the peak demand gas requirements from the Beluga River Field from 20,000 MCF/D to 30,000 MCF/D as of January 1, 1973. Salvage of well (S)BRU #14-3 in the Beluga' River Unit gas sands will aid in offsetting the increase in demand by Chugach. 3. Sand deposition in the Sterling and Beluga River formations is not uniform across,the Beluga River structure. Sands shale out at some locations and merge at others. Correlations between BRU #232-4 and (S)BRU #14-3 indicate that essentially the same Sterling sands are productive at each well whereas different Beluga River sands are productive. (' , 4. Since the Sterling formation is not perforated at well ERU #232-4, and the Beluga River formation sands are discontinuous, completion of (S)BRU #14-3 will expose different sands in the two wells. In the future, operating conditions or a mechanical failure could necessitate the perforation of the Sterling sands at well BRU 232-4. This condition should, however, not reduce the ultimate economic recovery from the Beluga River Field due to the different structural position of each well. (