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12/1/2004 Orders File Cover Page.doc
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Conservation Order 113
1.
2.
March 27, 1972
March 31, 1972
Standard's request for Spacing Exception Beluga River Field 241-34
Notice of Hearing and affidavit of publication
Conservation Order 113
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STATE OF ALASKA
DEPARTMENT OF NATURAL RESOURCES
DIVISION OF OIL AND GAS
Alaska Oil and Gas Conservation Committee
3001 Porcupine Drive
Anchorage, Alaska 99504
Re: THE APPLICATION OF STANDARD OIL COMPANY
OF CALIFORNIA for an exception to Title 11,
Alaska Administrative Code, Section 2061(c),
to produce the Beluga River Unit No. 241-34
well from an interval that is less than the
3,000 foot minimum distance from a well
producing from stratigraphically equivalent
sands.
IT APPEARING THAT:
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Conservation Order No. 113
Beluga River Unit No. 241-34
Beluga River Field
Apri 1 27, 1972
1. The Standard Oil Company of California submitted a request dated March 27,1972
for an exception to Title 11, Alaska Administrative Code, Section 2061(c), permitting
the completion of the Beluga River Unit No. 241-34 well at a location which is less
than 3,000 feet from the Beluga River Unit No. 212-35 well, which is completed or
could be completed in stratigraphically equivalent sands.
2. Standard Oil Company of California is the operator of the Beluga River Unit and
the only operator affected by the requested order.
3. Notice of hearing on the application was published in the Anchorage Daily News
on March 31, 1972, pursuant to Title 11, Alaska Administrative Code, Section 2009,
and there were no protests.
AND IT FURTHER APPEARING THAT:
1. The location for the Beluga River Unit No. 241-34 well in the NE~ Section 34,
T. 13 N., R. 10 W., S.M. has been selected to test unproven, deeper sands at the
most advantageous structural position in an effort to establish additional gas
reserves.
2. If the deeper sands are not productive in the referenced well, a completion in
the sands which are stratigraphically equivalent to those now producing should not
decrease ultimate gas recovery.
NOW, THEREFORE, IT IS ORDERED THAT:
The Standard Oil Company of California be permitted to drill the Beluga River Unit
No. 241-34 \lIe 1 1 in the NE~ Section 34, T. 13 N., R. 10 vL, S,J'1. and, if or vJhen the
deeper sands prove unproductive, be permitted to complete in the sands which are
stratigraphically equivalent to those now producing in the field.
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Conservation Order No. 113
Page 2
Apri 1 27, 1972
DONE at Anchorage, Alaska and dated April 27, 1972.
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Thomas R. Marshall, Jr., Executive Secretary
Alaska Oil and Gas Conservation Committee
Concurrence:
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Homer L. Burrell, Chairman
Alaska Oil and Gas Conservation Committee
to e 2d/.u~L~
O. ~. Gi 1 breth, Jr., ~1emb~~ .~. ·
Alaska Oil and Gas Conservation Committee
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NOTICE OF PUBLIC HEARING
STATE OF ALASKA
DEPARTMENT OF NATURAL RESOURCES
DIVISION OF OIL AND GAS
Alaska Oil and Gas Conservation Committee
Conservation File No. 113
Re: The application of the Standard Oil Company of California for an order granting
an exception to Title 11, Alaska Administrative Code Section 2061 (c) to
produce the Beluga River Unit No. 241-34 gas well from a perforated interval
that is less than the 3,000-foot minimum distance from a stratigraphically
equivalent perforated interval in another well. Both wells are in the Beluga
River Gas Field.
'Notice is hereby given that the Standard Oil Company of California has requested
the Oil and Gas Conservation Committee to issue an order exempting the referenced well
from the 3,000-foot minimum distance requirement ofiSection 2061 (c) of the Oil and
Gas Conservation Regulations. The referenced well may be produced from an interval
that is approximately 2,150 feet from the nearest pay interval in the Beluga River
Unit No. 212-35 well which lies in a different governmental section. The referenced
well is projected to test the lower sands which have not previously produced
hydrocarbons. Parties who may be aggrieved if the requested order is issued are
allowed ten days from the date of this publication in which to file a protest and
request for hearing. Place of filing is 3001 Porcupine Drive, Anchorage, Alaska.
If such a protest is timely filed, a hearing on the matter will be held at the
above address at 9:30 a.m., April 12,1972, at which time protestants and others
may be heard. If no such protest is timely filed, the Committee will consider the
issuance of the order without a
hearin9;¡L. r¿1Itt-.LJJ·Q
Thomas R. ~1arshall, Jr.
Executive Secretary
Alaska Oil and Gas Conservation Committee
3001 Porcupine Drive
Anchorage, Alaska 99504
Publish March 31, 1972
, ) ,
AFFIDAVIT OF
STATE OF ALASKA, )
THIRD JUDICIAL DISTRICT, ) SSe
Mary L Shake
... -..oo.......;..........- ....... __................................ ---...... -oo ..........-
being first duly sworn on oath
deposes and says thaL_e_b~L...__
Is the._.~_~.~~~__.~!~~~_____ 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 as
a daily newspaper in Anchorage,
Alaska, and it is now and during
a,1I 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
Legal Notice 1882
copy of a ..mn....._...._mm_..___.____
as it was published in regular
issues (and not in supplemental
form) of said newspaper for. 8
. d· f four . rtl
perlo 0 .__..000.__.__.._. Inse ons,
. h 31 d
commencing on t e ____mOm. ay
of ..__.~.ªr~b....._.m' 19 7~_. , and
ending onthe..___.:?~___ ...... day of
March 72
of .......__..__.~--.--......--...,' 19.___..__,
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 $ 15.00 which
amount has been paid in full at
the rate of 25¢ per line; Mini-
mum charge $7.50.
17 .f J~/ ,/
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/-~-"t'.¡,.·V.k:¥-··Á~L~.v--
SUbscribed~ sworn to before
me this .31000 day ofmA\pril.____,
1 fj.Z..__.
....~Ad~nn.-.-.
·---~~~r'·
the State of Alaska,
Third Division,
Anchorage, Alaska
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PUBLICA TION
NOTICEO'F PI.IBLI~HEARIN,G
STATE O'F. ALASKA
DEPARTMENT OF NATUR:ÀLRESOURCES.,
DIVISION OF OIL AND GAS
Alaska Oil an~Gas Ço nservatlori.Committee
ConserìÎati6n File No. n 3
Re:The, appli-catioriof ,. the" Standard Oil
Company· of CaHrorniafòr. an . order
, granting an exception td litle H, Alils-
ka Administrative' Code' Section 20.61
(c) to. prl1duce,the' B,eluga. River Unit
No; 241. ~34 ' gðswell'; from B' p~rforated
¡nterv~1 . tl¡ar' is. ·less than the 3,0.0.0.·
foot ~inim'u,m;dista~ce' from a, stra-
tigraphically ,~:qµiyalent,perforated . tn.
tervill. in· anotþ,er\:i,yJ~ll. Both wells are
inthe.Beh¡g¡( R'jver'Ga~ Field. .
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Notice Is hereby gillen that the Sta'1'dard
qil CompanyofCaJi:f9r~,iaþas· requested
the Oi land Gas Conserviltio\1Committee.,' to
issue' an order.' exempti~gthe referl!n~ed
well from thl! 3,00P~foQtl1¡l¡nimui¡1 distance.
requirement óf I Secti'on2061(c) of the 'Oil
and G.as Conservation Regulations.. The ref·
erl!nced ,well maybeþrodu;ced from', a"
. interval that isappro,ximately 2,150. feet
from the. neã.rest p~¥ interval in the Belu..
ga River Un.it No. 212~35 well which lies
in a differ.ent govern'menfill: section. Thè
referenced well . rs. project,ed to test the
lower~.ilnds .whichhave.' not .previously
produced hydrocarbons. Parties who may
be aggrie.ved .'i~ the' requested . order .' is . is·
sued are allowed ten days from:thédate
of this. publication ·in ,which tq.file. a.· pro-
test ahd. request Tor hearing. Place' of
fillngis3o.Or· Porcupine Drive, Anchorage,
Alaska., If. such. a protest is timely filed;
a. hearing on the matter. will be; held at
th.e above address at '9:30a.m., April 12,
1972,. at which time protestants and others I
ma'y be hea~d.. If no such' pr,otest . is timely
filed, the Committee will consider 'the issu·
ance of the order" without a' hearing.
. Thomas R. Marshall, Jr.
Exeçutive Secretary
Alaska' Oil and G~s Conservation
Committée
3001 Porcupine Drive ·1 .
Aneho'rage, Alaska ,99504
Publish: March 31, 1972
Leoal Notice No. 1882
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MARCH 27, 1972
APPLICATION for
WELL SPACING EXCEPTION
BELUGA RIVER GAS FIELD
WELL BRU 241-34
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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
March 23, 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:
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Standard Oil Company of California, as Operator for itself, Atlantic Richfield
Company and Shell Oil Company, proposes to drill Beluga River Unit 241-34
as a deep test in the Beluga River Field to evaluate potential additional gas
reserves above and below the Beluga River gas horizons. This well is
located within the NE 1/4 of Section 34, Township 13 North, Range 10 West,
S.M.
If additional deep reserves are not found at this location, salvage of this
well in the Sterling and Beluga River formations 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. 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 correlative 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 drilling well BRU 241-34 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 at the A-2 Horizon and "D" point
3. Exhibit "2" Correlation Electric Log Section
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Mr. Homer Burrel, Director
Division of Oil and Gas
Department of Natural Resources
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March 23, 1972
4. Exhibit "3" Land and Lease map
Now, therefore, Standard, as Operator, hereby respectfully requests that an
order be issued pursuant to Title II, Alaska Adminstrative Code, Section
2009, for the purpose of granting an exception to Section 206l(c) of the Oil
and Gas Conservation Regulations, authorizing the completion of well BRU 241-34
within the herein designated legal subdivision in the event the well is finally
completed as a producer from stratigraphically equivalent Sterling and Beluga
River formation sands that are or could in the future be perforated at
Well 212-35.
ReSP~C~.Ull.y submitted,
r;V~/J
C. V. Chatterton
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Enclosures
cc: Mr. Rodney A. Smith
Regional Oil & Gas Supervisor
Alaska Region
U. S. Geological Survey
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GEOLOGIC AND ENGINEERING REPORT IN SUPPORT OF THE VARIANCE
Introduction
Standard Oil Company of California, W.O.I., as Operator for itself,
Atlantic Richfield Company and Shell Oil Company proposes to drill Well
241-34 in the Beluga River Field at a surface location approximately 900'
South and 1400' West of the Northeast corner of Section 34, T. 13 N.,
R. 10 W., SB&M. The drilling of this well is proposed as a deep test to
evaluate potential additional gas reserves at Beluga. The surface location
has been selected at a crestal position in order to gain the maximum
structural advantage for all potential horizons, expecially the lower-most
objective "D" sands of the Tyonek formation.
The potential reserves to be evaluated in the proposed crestal test
are located in the following stratigraphic sequences:. (These intervals have not
been found productive to date at Beluga.)
1) In Sterling formation sands located stratigraphically above the
present known productive intervals.
2) In Beluga River formation sands located stratigraphically below
the present known productive interval.
3) In the "D" sand interval of the Tyonek formation at a depth below
9100' .
The above intervals and potential reservoir sands are delineated on the
attached Exhibit 1.
If the above potentially productive intervals are found not to contain
additional gas reserves, it may be necessary to salvage Well BRU 241-34 within
the known productive Beluga River Unit gas horizons. Since the subject well
is being drilled at a location dictated by the evaluation of additional
reserves, salvage of this well by inclusion of known productive measures in
the completion, requires an exception to the spacing regulation stipulating
a minimum of 3000' between existing producers.
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Detail
The Beluga River Field is an anticlinal feature oriented roughly in a
north-south direction. Productive closure of Sterling and Beluga sands is
approximately 550', from a subsea depth of less than -2900' to the estimated
gas-water contact at -3450'. The field contains approximately 4300
productive acres. (Please refer to Exhibits #1 and #3).
The productive
a drilled depth of
River formations.
BRU 232-4, 233-27,
Beluga River #1).
gas measures discovered to date at Beluga lie between
approximately 3100' and 5200' in the Sterling and Beluga
Presently there are four wells completed in these gas sands,
212-25 and 212-35 (discovery well originally numbered
Beluga River Unit Wells 232-4, 233-27 and 212-35 are completed in the
Beluga River Unit sands only while Well 212-25 is completed in both the
Sterling and Beluga River sands. Productive Sterling and additional Beluga
River formation sands are yet unperforated at Wells 232-4, 233-27, and
212-35.
Both the Sterling and Beluga River formations consist of nonmarine inter-
bedded fine to medium grained sands, coals, siltstones, and shales. Sand
deposition is not uniform across the Beluga River structure. The Beluga
sands are lenticular and shale out from location to location and merge at others.
Sterling sands are more massive and have greater lateral continuity. In
general, correlations are difficult, but are better within the Sterling than
the Beluga River formation (Refer to the attached Exhibit #2).
The two highest structural wells, 233-27 and 212-35, are located on the
western and eastern flank, respectively, of the Beluga River structure.
Well 233-27 is located at the highest structural position. Well 212-35, the
original discovery well, was a deep exploratory test to 16,428'. Neither well,
however, is located at the structural crest. Structural mapping indicates that
approximately 200' of additional advantage can be gained at the A-2 (shallow)
contour horizon at the crest of the structure and approximately 200~300i of
advantage at the "D" point (deep) contour horizon. (Refer to Exhibit #1).
Comparisons of the Beluga River Field to the North Cook Inlet Field and
data from within the Beluga River Field indicate that the productive section
is directly related to the structural position. For example, at the North
Cook Inlet Field the Sterling formation is crestally gas productive some 400'
stratigraphically higher in the section than at Beluga. In addition, crestally,
the Beluga River formation is productive approximately 400' stratigraphically
lower in the section. At Beluga, the Beluga River formation is productive
at the lowest stratigraphic position at the highest structural location
drilled to date, Well 233-27. (Refer to log, Exhibit #1).
At Beluga River 212-35 (formerly Beluga River #1) some 300'of permeable
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(Detail-Continued)
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but wet "D" sands of Tyonek age were penetrated below the "D" point. These
sands are the lower-most objective of the proposed well 241-34. Structural
contouring at the "D" point marker located several hundred feet above the
"D" sands indicates between 200-300' of structural advantage can be gained
at the crest of the structure. Evaluation of these sands at the best
structural advantage has dictated the location of this well. Potential
"D" sand production can be related to the Kenai Field where similar D sands
are found productive at an analogous structural, crestal position.
Provided the potentially productive intervals outlined in this report are
not found to contain additional reserves, it may be necessary to salvage
Well BRU 241-34 within the known productive Beluga River Unit gas horizons.
This condition, however, should not reduce the ultimate economic recovery
from the Beluga River Field, since the well would be located at an optimim
structural position, but also since many of the productive sands at Beluga
are discontinuous and not generally laterally equivalent. (Refer to Exhibit
#2). Discovery of additional sand development within the known productive
intervals will increase the ultimate economic recovery from the field.
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Summary
1. The proposed location for Well 241-34 is on the crest of the Beluga
River Field. The drilling of this well is proposed to evaluate potential
additional gas reserves in stratigraphic intervals above and below the
present known vertical productive limits. The proposed location has
been selected in order to gain the maximum structural. advantage for
evaluation of the "D" sands below 9100'.
2. Studies within the Beluga River Field and comparisons to the North Cook
Inlet Field indicate that the Sterling and Beluga River formations are
productive through the longest stratigraphic sequence at the crest of
each structure. Similar analogy can also be made relating Beluga "D" sands
to crestal "D" production in the Kenai Field.
3. If the potentially productive intervals proposed for evaluation by Well
241-34 are not found to contain additional gas reserves, it may be
necessary to salvage Well BRU 241-34 within the known productive Beluga
River gas sands. This situation requires an exception to the spacing
regulation stipulating a minimum of 3000' between existing producers.
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4. Due to the structural position of the proposed BRU 241-34 well, and the
discontinuous nature of the known productive sands, the proposed location
will not reduce the ultimate economic recovery, but to the contrary,
enhance it.
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