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Home My WebLink AboutCO 506 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 by direct inspection of the file. ..50 h Order File Identifier Organizing (done) 0 Two-sided 1111111111111111111 0 Rescan Needed 1111111111111111111 RESCAN DIGITAL DATA OVERSIZED (Scannable) D Maps: D Color Items: D Greyscale Items: D Diskettes, No. D Other, NolType: D Other Items Scannable by a Large Scanner D Poor Quality Originals: OVERSIZED (Non-Scannable) D Other: D Logs of various kinds: BY: Helen ~ D Other:: , I Date: I ~ Y 0 lI- /s/ mP , , , 1111111111111111111 Date: 1 tr':J- "t /s/ V'U-P NOTES: Project Proofing BY: , Helen~ ~ Scanning Preparation x 30 = + = TOTAL PAGES ~O' (Count does ð, ot inc lude cover sheet) I 1/1 A J/J, ' , Date: t' 9-: fJ-',. "if Isl V V I/r- . 'IIIIIIIIIIII~ II11I BY: Helen Maria Production Scanning Stage 1 Page Count from Scanned File: ~ ~ (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: ~ESI NO Helen~ Date:¡~'~, Ocr /s/ MP If NO in stage 1, page(s) discrepancies were found: YES NO BY: Stage 1 BY: Helen Maria Date: Isl 111111111111 11111 Scanning is complete at this point unless rescanning is required. ReScanned 11111111111111 BY: Helen Maria Date: Isl Comments about this file: Quality Checked 111111111 1111111111 12/1/2004 Orders File Cover Page.doc e e INDEX CONSERVATION ORDER NO. 506 BELUGA RIVER FIELD 1. October 30, 2003 2. November 14,2003 3. December 4, 2003 4. February 8, 2006 Notice of Hearing, Affidavit of publication, e-mail Distribution list, bulk mailing Marathons Request for a hearing and written comments. Marathons request to Vacate hearing. e-mail re: termination of the requirement for the weekly SCP report Conservation Order 506 ( ~~; ~d J//;;-//J~ if Ç/' )( . (,0;. ~/ø.r,l5tJ ~ ( , STATE OF ALASKA '.- ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage Alaska 99501 Re: ) ) Proposed Rules Regulating Sustained ) C t. 0 d N 506 C . onserva IOn r er o. aSlng Pressures in Development Wells within the) Beluga River Field. ) Beluga River Field ) ) January 8, 2004 IT APPEARING THAT: 1. On its own motion, the Alaska Oil and Gas Conservation Commission ("Commission" or "AOGCC") proposed to adopt rules regulating s~stained annulus pressures in Beluga River Field development wells. 2. Notice of opportunity for a public hearing on the proposal was published in the Anchorage Daily News on October 30, 2003, and was provided to the operator of the field, ConocoPhillips Alaska, Inc. ("CPA"). ( 3. No request for a hearing was received. 4. No written comments on the proposal were received. FINDINGS 1. In considering proposed rules regulating sustained casing pressures in Beluga River Field development wells, the Commission reviewed: annulus pressure surveillance requirements, annular pressure control guidelines, problem wells testing and evaluation guidelines, and well operating guidelines submitted by CPA; the Commission files for wells in the Beluga River Field; Applied Drilling Engineering by Bourgoyne, et al.; the Halliburton Cementing Tables; an annular pressure simulator developed by Commission staff as contained in an MS Excel spreadsheet; information on well pressures provided by the operator; and the hearing record in connection with Conservation Order No. 492. 2. Annulus pressure is common in development wells. Pressures may be purposely imposed, thermally induced or the result of leaks in tubing, casing, packer or other well components. ( " Conservation Order 506 ( January 8, 2004 Page 2 of 5 { 3. Excessive annular pressure can develop in wells as a result of thermal effects. Well startup can involve significant annular pressure increases due to fluid expansion as a well heats above ambient temperature. Changing produced fluid characteristics and production mechanisms can also create thermal conditions that affect annular pressures. 4. For service (injection) wells, AOGCC regulations require, unless superseded by a Commission order, an operator to notify the Commission by the next working day if an injection rate, operating pressure observation, or pressure test indicates pressure communication or leakage in any casing, tubing, or packer. The operator must implement corrective action or increased surveillance, as the Commission requires (20 AAC 25.252(e) and 20 AAC 25.402(f)). 5. Unless specifically authorized by the Commission, AOGCC regulations require all producing wells capable of unassisted flow to be completed with suitable tubing and packer that effectively is01ates the tubing-casing annulus from fluids being produced. Wellhead equipment must include appropriate gauges and valves on the tubing, casing-tubing annulus and casing-casing annuli to show surface pressures and control flow for the range of conditions expected (20 AAC 25.200(c) and (d)). 6. No current AOGCC regulation or order for the Beluga River Field establishes annular pressure management requirements for producing wells, similar to those for injection wells. However, such requirements for producing wells in other Alaska fields have been established by Commission order. 7. Several practicable techniques are available to manage annular pressures including manual pressure bleeding and engineered solutions such as pressure controls and pressure relief systems. 8. Values of "burst pressure rating" and "minimum internal yield pressure" of well tubulars are numerically equal. 9. Pertinent characteristics of well construction in the Beluga River Field are similar to those in other Alaska fields. 10. Pressure in an active Beluga River Field well not exceeding 45% of the burst pressure rating, or minimum internal yield pressure, of well tubulars is within the range of pressure that will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 11. The operator relies on a well pressure limit waiver process to continue operating Beluga River Field wells that exhibit inner annulus pressure or outer annulus pressure exceeding specific pressure limits. 12. For purposes of this order, the Beluga River Field is the area within the Beluga River Unit. Conservation Order 506 ( January 8, 2004 Page 3 of 5 CONCLUSIONS ( 1. There is a need for regulatory oversight of the management of Beluga River Field wells that exceed specific pressure thresholds, by administering rules regulating annular pressures. This methodology is consistent with similarly intended efforts by other regulatory agencies. 2. The objectives of rules regulating sustained annular pressures in Beluga River Field development wells are to conserve Alaska petroleum resources and protect human safety and the environment, through proper management of annular pressures. Proper annular pressure management aims to prevent failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 3. Beluga River Field annular pressure rules should recognize the variety of well completions and development well characteristics in the Beluga River Field. 4. Well heating-induced annular pressure increases must be taken into account before initiating well start-up, to ensure that annular pressures at well operating temperature will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 5. The annular pressure rules adopted in this order are practicable and appropriate to the objectives stated in Conclusion 2. NOW THEREFORE IT IS ORDERED that the following rules apply to development wells within the Beluga River Unit, as the unit boundaries exist on the date of this order: 1. The operator shall conduct and document a pressure test of tubulars and completion equipment in each development well at the time of installation or replacement that is sufficient to demonstrate that planned well operations will not result in failure of well integrity, uncontrolled release of fluid or pressure, or threat to human safety. 2. The operator shall monitor each development well daily to check for sustained pressure, except if prevented by extreme weather conditions, emergency situations, or similar unavoidable circumstances. Monitoring results shall be made available for AOGCC inspection. 3. The operator shall notify the AOGCC within three working days after the operator identifies a well as having (a) sustained inner annulus pressure that exceeds 2000 psig or (b) sustained outer annulus pressure that exceeds 1000 psig. Conservation Order 506 t January 8, 2004 Page 4 of 5 4. The AOGCC may require the operator to submit in an Application for Sundry Approvals (Form 10-403) a proposal for corrective action or increased surveillance for any development well having sustained pressure that exceeds a limit set out in paragraph 3 of this rule. The AOGCC may approve the operator's proposal or may require other corrective action or surveillance. The AOGCC may require that corrective action be verified by mechanical integrity testing or other AOGCC approved diagnostic tests. The operator shall give AOGCC sufficient notice of the testing schedule to allow AOGCC to witness the tests. 5. If the operator identifies sustained pressure in the inner annulus of a development well that exceeds 45% of the burst pressure rating of the well's production casing for inner annulus pressure, or sustained pressure in the outer annulus that exceeds 45% of the burst pressure rating of the well's surface casing for outer annulus pressure, the operator shall notify the AOGCC within three working days and take corrective action. Unless well conditions require the operator to take emergency corrective action before AOGCC approval can be obtained, the operator shall submit in an Application for Sundry Approvals (Form 10-403) a proposal for corrective action. The AOGCC may approve the operator's proposal or may require other corrective action. The AOGCC may also require that corrective action be verified by mechanical integrity testing or other AOGCC approved diagnostic tests. The operator shall give AOGCC sufficient notice of the testing schedule to allow AOGCC to witness the tests. 6. Except as otherwise approved by the AOGCC under paragraph 4 or 5 of these rules, before a shut-in well is placed in service, any annulus pressure must be relieved to a sufficient degree (a) that the inner annulus pressure at operating temperature will be below 2000 psig and (b) that the outer annulus pressure at operating temperature will be below 1000 psig. However, a well that is subject to paragraph 3, but not paragraph 5, of these rules may reach an annulus pressure at operating temperature that is described in the operator's notification to the AOGCC under paragraph 3, unless the AOGCC prescribes a different limit. 7. F or purposes of these rules, "inner annulus" means the space in a well between tubing and production casing; "outer annulus" means the space in a well between production casing and surface casIng; Î Conservation Order 506 " January 8, 2004 Page 5 of 5 ~ "sustained pressure" means pressure that (a) is measurable at the casing head of an annulus, (b) is not caused solely by temperature fluctuations, and (c) is not pressure that has been applied intentionally. DONE at Anchorage, Alaska and dated January 8, 2004. ,o~ ~ð~, , ;;>;, \ I:!\\~ I / !!.:..'\~ , { '- "N~'t...... ......../ -...:.\ 'iP ";'.!:'1 ~, ~ " ,. ,,'. "'" 0' II ' /.,/""." lO"""~"":'-~ ~ '~,,:'<'/:i,"¡',',',':~1:,t:^ill,',""Y, ',",P~"'~"~, ~I I, /';>:-';1"\ \\ ,.:.,..,,:~:;~~~;,:..,.~\:?';'r II ~IO~. !,:"';,,,".,,1, """"""~ ~,()~,~, ¡"!,,,.,.{, ,,"',,"\ /j \,<~f¡~I<¡~;:1:Ll;::i,:',;:,".:;:~:',':,:'};.:~",;;';':ri ~/~~ 'i'~""¡':"'"S',"", ",':,' """",).."""""p .:, ~,:...":-,~~~:"",.., """"".':;,,~:,,""'$'~'9' 'I-, ~j,'t" -¡;¡'t":O"":"",,,,,,: ,"""",,',:',""',',--'1,"","""'"7)'- ;".~..,I' '1\,..,,'\" '~"\l;~""~;""""";":'i:~':'"",~", ,~, ,~")""""";""";"",,,,:,',,,,",.."I'¡"""~~V' '~' .', _":;"""'.."',.,"" At "I~~,' "',", "".". .""",' ~ J" "'", ,h.- -... ,...., ~ Þ)\r (;~ f~ ~ \.... L ~ /"'" ',s:-< """":""".:w.w...,.;ø' .1) II? " //~._.,l~ --- ~ - -""". /o./w;:c-/L ---' SaralîPali , Chair Alaska Oil and Gas Conservatio ~ Commission ,~ Daniel T. Seamount, Jr., Commissioner Alaska Oil and Gas Conservation Commission AS 31.05.080 provides that within 20 days after receipt of written notice of the entry of an order, a person affected by it may file with the Commission an application for rehearing, A request for rehearing must be received by 4:30 PM on the 23rd day following the date of the order, or next working day if a holiday or weekend, to be timely filed. The Commission shall grant or refuse the application in whole or in part within 10 days. The Commission can refuse an application by not acting on it within the lO-day period. An affected person has 30 days from the date the Commission refuses the application or mails (or otherwise distributes) an order upon rehearing, both being the final order of the Commission, to appeal the decision to Superior Court. Where a request for rehearing is denied by nonaction of the Commission, the 30-day period for appeal to Superior Court runs from the date on which the re uest is deemed denied i.e., 10111 day after the a lication for rehearin was filed. Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Mark Wedman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 North Slope Borough PO Box 69 Barrow, AK 99723 i" "1 Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 Penny Vadla 399 West Riverview Avenue Soldotna, AK 99669-7714 Bernie Karl K&K Recycling Inc. PO Box 58055 Fairbanks, AK 99711 ( David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 John Levorsen 200 North 3rd Street, #1202 Boise, 10 83702 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723 CO 506 and CO 507 !~ ( ( lof2 1/8/2004 1:39 PM CO 506 and CO 507 l' i, ~ <rmclean@pobox.alaska.net>, allenhuckabay<allenhuckabaY@hotmai1.com>, "james.scherr" <james.scherr@mms.gov>, ghammons <ghammons@ao1.com>, , Cynthia B Mciver <bren_nxiver@admin.state.ak.us> 2 of2 1/8/2004 1 :39 PM #4 ............ ........... .L....... " -............J ~........... ... ....1-'............ ~I -'I VV e e Subject: Re: CP AI weekly SCP report 2/5/06 .., From: Thomas Mallnder <toiti:...:,maunder@admin;~!åte.ak. us> Date: Wed; 08 Feb 200614:28:17 -0900"- . 2~:~:e~:~r<j~.:~~j=::'ijf:g:;1't"eMer~~f~@3<j¡u~.~.ok.us: Jerry, Marie, MJ, et aI, Lately we at AOGCC have found the weekly SCP report to have very limited usefulness. Accordingly, the Commission hereby terminates the requirement for the weekly SCP report. All other reporting requirements are unchanged. Tom Maunder, PE AOGCC ~o ~~<:,~ ~SL\ L\,\ ç 50<0 4( ~ Sà~ NSK Problem Well Supv wrote, On 2/5120067:50 PM: Tom & Jim, Attached is the weekly producer SCP report for 2/5/06. Please let me know if there are any questions. Marie McConnell Problem Well Supervisor 659-7224 «02-05-06 CPA Producer Weekly SCP Report.xls» 1 of 1 2/8/20062:43 PM #3 I Alasf 'lusiness Unit P.O. Box 196168 Anchorage, AK 99519-6168 Telephone 907/561-5311 Fax 907/564-6489 December 4, 2003 Ms. Jody Colombie Alaska Oil & Gas Conservation Commission 333 West 7th Ave., Suite 100 Anchorage, AK 99501 Re: AOGCC Public Hearing on Cook Inlet Annular Pressures Dear Ms. Colombie: In follow-up to our letter of November 14, 2003, regarding AOGCC's proposed rules governing annular pressures in development wells in the Kenai Gas, West Fork, Beaver Creek, North Cook I nlet, and Beluga River Fields; I have spoken with Winton Aubert regarding Marathon's concerns. He has represented that AOGCC is amenable to addressing those concerns in crafting the final rules. To that end, Marathon requests that the hearing scheduled for December 11, 2003 be vacated in favor of continued discussions between AOGCC and Marathon to finalize a mutually acceptable result. Please let me know if you require any further information. I can be reached at (907) 564-6325 or abschoffmannCŒ.marathonoil.com. Sincerely, cJ~~ ~ Æsen Schoffmann Operations Superintendent kgh By certified mail #7002 3150 0001 23293015 c: John Barnes Jim Thompson - Houston Environmentally aware for the long run. #2 I, ,. '~ ( ( ,'I Alaska ~ ness Unit P . O. Box 1961 68 Anchorage, AK 99519-6168 Telephone 907/561-5311 Fax 907/564-6489 November 14, 2003 Jody Colombie Alaska Oil & Gas Conservation Commission 333 West th Ave. Suite 100 Anchorage, AK 99501 '. , " '-..,' '-"'" I' '" ."".' ',,",ìl""t.,\' 't' 4 '-\nr;r', "q I ,¡ ,. "I ',\it.,"" ,Jl ',,~\J¡!o,' .:" ,': ',,0 :.:, ¡ C {:';: ;~'~,;,~, .. ; Re: Public Hearing Dear Ms. Colombie: Marathon requests that the hearing tentatively scheduled for December 11, 2003 at 9:00 am be held. The topic for the hearing is to discuss governing annular pressures in development wells in the Kenai Gas, West Fork, Beaver Creek, North Cook Inlet and Beluga River Fields. The following comments are our concerns with the proposed rules. 1. Item #2 - The proposed order makes no distinction between daily monitoring of active, shut-in, and suspended development wells. Marathon proposes that the requirement of daily checks for sustained pressure apply only to active development wells. Marathon operates numerous shut-in wells that do not require daily operator inspection, including some which are somewhat remote and difficult to access (ex: West Fork field). Instead, Marathon proposes at least annual measurement of annulus pressure on shut-in and suspended wells. Casing pressures for these shut-in wells could easily be incorporated into the Shut In Wells Report that is already being provided to the AOGCC by March 31 of each year (20 MC 25.115). 2. Item #3 - Daily monitoring of the inner annulus (IA) is reasonable, but daily monitoring of the outer annulus (OA) will be costly and difficult. Most of the access valves to the OAare placed significantly below ground level. Many are buried or submerged. Installing piping that would allow year-round, daily observation of the pressure on the OA will require confined space entry of one or more people into the well cellar as well as possible excavation work. In many cases this work is being done on wellheads and valves that are 30 to 40 years old. In addition, Marathon's survey of annulus pressures in September 2002 indicated that sustained pressures that exceed the requirements of item #3 were virtually nonexistent. Marathon contends that the hazard posed by placing personnel in well cellars to provide access to the OA far exceeds the hazard of operating the wells in their current state. Realizing that the risk to the OA is insignificant if there is little pressure on the lA, Marathon proposes to only monitor the IA daily for sustained pressure. If the IA is found to have sustained pressure that exceeds 1000 psig, then daily monitoring of the OA would also be required. Request for Hearing November 14, 2003 ( í ( 3. Item #5 - Clarification: is the intent of this rule that the Operator be required to notify the AOGCC within three working days or notify and take corrective action within three working days? Marathon contends that it will not always be possible to initiate the proper corrective action within three days, but it is reasonable to notify the AOGCC within three days and devise a mutually acceptable plan and timetable for corrective action following the notification. Please let me know if you require any further information in preparation for this hearing. I can be reached at 907.564.6325 or abschoffmann@marathonoil.com. Sincerely, ~~~ A. Ben Schoffmann Operations Superintendent bjv By Courier c. J. Barnes J. Gary Eller #1 STATE OF ALASKA INV I NOTICE TO PUBLISHER i ADVERTISING ORDER NO. ADVERTISING ,LIST BE IN TRIPLICATE SHOWING ADVERTISING ORDER J ¿:RTIFIED AO-O2414012 ORDER AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COpy OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE . SEE BOTTOM FOR INVOICE AD,DRESS " ., ' .' AOGCC AGENCY CONTACT DATE OF A.O. ~ 333 W 7th Ave, Ste 100 Jodv Colombie October 28,2003 0 Anchorage, AK 99501 PHONE PCN M (YO!\ 791 -1221 - DATES ADVERTISEMENT REQUIRED: T Anchorage Daily News October 30, 2003 0 POBox 149001 Anchorage, AK 99514 THE MA TERJAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Advertisement to be published was e-mailed Type of Advertisement X Legal D Display D Classified DOther (Specify) SEE ATTACHED SEND INVOICE IN TRIPLICATE AOGCC, 333 W. 7th Ave., Suite 100 PAGE 1 OF TOTAL OF TO Anchorage, AK 99501 2 PAGES ALL PAGES$ REF TYPE NUMBER AMOUNT DATE COMMENTS 1 VEN 2 ARD 02910 3 4 FIN AMOUNT Sy CC PGM LC ACCT FY NMR DIST LlO 1 04 02140100 73540 2 3 ......, 4 ......--..... 1'1 REQUISITI NED~: I(Q~ )Ó\^¡(~'- D'V~..A~C4 XA_ ' - // .........,- v- I "../'-' '- v~ l/ ,,/ . (J 02-902 (Rev. 3/94) Publisher/Original Copies: Department Fiscal, Department, Receiving AO.FRM I Anchorage Daily News Affidavit of Publication l 10/30/2003 1001 Northway Drive, Anchorage. AK 99508 PRICE OTHER OTHER OTHER OTHER OTHER GRAND AD# DATE PO ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 CHARGES #4 CHARGES #5 TOTAL 990566 10/30/2003 02414012 STOF0330 $149.46 $149.46 $0.00 $0,00 $0,00 $0.00 $0.00 $149.46 STATE OF ALASKA THIRD JUDICIAL DISTRICT Kimberly Kirby, being first duly sworn on oath deposes and says that she is an advertising representative of the Anchorage Daily News, a daily newspaper. That said newspaper has been approved by the Third Judicial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all said time was printed in an office maintained at the aforesaid place of publication of said newspaper. That the annexed is a copy of an advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on the above dates and that such newspaper was regularly distributed to its subscribers during all of said period. That the full amount of the fee charged for the foregoing publication is not in excess of the rate charged private individuals. Notice of Public l:iearing STATE OF ALASKA Alaska, OiJandGas Conservation Commission Re: Rules goveÌ"ningannula~pressUresin devel- opment wells in the Kenai Gas, West Fork, Beaver I Creek, North Cook Inlet and Belúg~River Fields, : TheAlas~a Oil and.Gqs è~nservatión'Commission . "":::---;fIO::¡"'" ::,"~!:,',' '~~w;l'Il,proposesJò ¡ ..~I:",: ." """::',j," '~I', .,t,"""casing'p'res" ""',',;""""":,,'I";,,.,::>lswithin,the , Kenai Gas, West Fprk,.BeQ\(E!rCreek,Norlh Cook ! Inlet an~BelugaRlver F'ieJds. The proposed rules '!TI," a,ybe Inspected at the,C:qmnîissionsoffices or on Its website at: '" , : http://www,slale,ak,us/locallakpages/ADMI N/ogc/homeogc, hIm, , 'The Con;1.missio[1 has, tentativelY seta consoli- , dated public hearing on these proposed actions for . December 11,2003 af9:00 am ,at the Alaska Oil and , Gas Conservatio- ;""'~"";"",;", ..,' -;-:,',. .' -"1 ' i enue,Suite100' ," "":l"'::k""'~':" ':":" . son'!laYrequ~s' j',:,' ,;:':, .',,';/ ~":"':""":';I' hearing be held bYfilingc',','~"':", I' ',: "',' ,'" .:,~ Commission no later than:': ",..,',', ,,::.,,- ,2003, " ,," '" :'.. " Signed If a re~u~slfor a hearing is, not timely filed, the C<;!mmlsslon will consider the issuance of orders wlthouta'he~ring. !oJearn'jf the Cc)lTÚnission will h?ld the public h~anng, plea,se call 793-1221. .', In addition, 0 :n"'~'iìC'.";~ rnnv 'iìlì!)Mi~:"r"'-- --~- I mentsrega"::..','" '"',.,, ;;";:::"'("';'1 ~..'" ,:;",,' I AlaskaOUc,':':I:'¡"':"'~:I'("""C"li¡:'I"":""::"..',.'.., i 333 West 7t~, .,""~'~'I"~I,. ;, 'il:i, :':r,;~ì,;;~C'::": ;:;;:I,~~ .1 99501, Wi'll len comments must be received no ' later, than 4:30pm onD~cember ,1,2003 "except that ,'~ t":-- ':'::;-~r,'¡;..:¡:rt¡"lI(,II'~, t:: ¡Iold & .publlc hearHI,; ,','o'H'" ¡',HII';"""; """'1," ."'reéeive'i:f'nò IClter ThanC¡:ooamònDeëe'n1be~"1i';2Ó03,' . I I I Uyou?rea pe!~on ~i~ha~isabilitY who may need a special modlflcatlonln';order to comment or to atten.d the public hearing, please contact Jody Co- lombie at 793-1221beforeDecember 1, 2003. Sarah Palin, Chair ADN AO# 02414012 Notary Public in and for the State of Alaska. Third Division, Anchorage, Alaska b ~ MY COMMISSION EXPIRE: ~ J ~, ' W - / \\ \ \ \ ~\~. ~', 7t;'t;' v ~'O":j,""-- ", ~..... ~':-I.t": ~OT AR,.:" ~ .... 0 ~ --- 0- "- ::: : PUB' ~C : ~ - 0 '... .~ ..... - 0' ~..... :::.!í . --" .0:"'1 -:::;:., ~. 'h . bì , . A' '" --' " oto-a: "V, ~v-y ~ ""'" ,.' ffÞ.:'\ .// ,~~, ,... '",--t:.., ~~ \\\ ..J / " ;<11 !:::xp\\~~ ... ì . ".:I/,;,}))}})\I ~f il ( Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Rules governing annular pressures in development wells in the Kenai Gas, West Fork, Beaver Creek, North Cook Inlet and Beluga River Fields. The Alaska Oil and Gas Conservation Commission ("Commission"), on its own motion, proposes to establish rules regulating sustained casing pressures in development wells in all pools within the Kenai Gas, West Fork, Beaver Creek, North Cook Inlet and Beluga River Fields. The proposed rules may be inspected at the Commissions offices or on its website at http://www.state.ak.us/locallakpages/ ADMIN/ogc/homeogc.htm. The Commission has tentatively set a consolidated public hearing on these proposed actions for December 11, 2003 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West ih Avenue, Suite 100, Anchorage, Alaska 9950l. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on November 17,2003. ( If a request for a hearing is not timely filed, the Commission will consider the issuance of orders without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. In addition, a person may submit written comments regarding these proposed actions to the Alaska Oil and Gas Conservation Commission at 333 West ih Avenue, Suite 100, Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on December 1, 2003, except that if the Commission decides to hold a public hearing, written comments must be received no later than 9:00 am on December 11, 2003. If you are a person with a disability who may need a special modification in order to comment or to attend the public hearing, please contact Jody Colombie at 793-1221 before December 1, 2003. "" Published Date: October 30, 2003 ADN AO# 02414012 ( RE: Notice I' ;;{ Subject: RE: Notice Date: Wed, 29 Oct 2003 14:04: 11 -0900 From: "legalads" <legalads@adn.com> To: "Jody Colombie" <jody - colombie@admin.state.ak.us> Hi Jody: Following is the confirmation information on your legal notice. Pleae let me know if you have any questions or need any further information. Account Number: STOF 0330 Legal Ad Number: 990566 Publication Date(s): October 30,2003 Your Reference or PO#: 02414012 Cost of Legal Notice: $149.46 Additional Charges Web Link: E-Mail Link: Bolding: Total Cost to Place Legal Notice: $149.46 Add Will Appear on www.adn.com: Add Will Not Appear on www.adn.com: XXXX Thank You, Kim Kirby Anchorage Daily News Legal Classified Representative E-Mail: legalads@adn.com Phone: (907) 257-4296 Fax: (907) 279-8170 ---------- From: Jody Colombie Sent: Tuesday, October 28, 20032:01 PM To: legalads Subject: Notice «File: Kenai Gas West Fork N Cook Inlet Beluga River Annular Pressure.doc»«File: Ad Order form,doc»«File: iody colombie.vet» Please publish the attached Notice on 10/30/03. Jody 1 of 1 10/29/2003 2: 19 PM STATE OF ALASKA ADVERTISING ORDER SEE BOTTOM FOR INVOICE ADDRESS ~ . ( NOTICE TO PUBLISHER.~ ADVERTISING ORDER NO. INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., ut:RTIFIED AO-O2414012 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COpy OF ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE AOGCC 333 West 7th Avenue, Suite 100 0 PuGchorage,AJ( 99501 M 907-793-1221 AGENCY CONTACT DATE OF A.D. PCN T 0 Anchorage Daily News POBox 149001 Anchorage, AK 99514 DATES ADVERTISEMENT REQUIRED: October 30, 2003 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: United states of America AFFIDAVIT OF PUBLICATION REMINDER r State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. A CERTIFIED COpy OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. ATTACH PROOF OF PUBLICATION HERE. division. Before me, the undersigned, a notary public this day personally appeared who, being first duly sworn, according to law, says that of Published at in said division and state of and that the advertisement, of which the annexed is a true copy, was published in said publication on the day of 2003, and thereafter for - consecutive days, the last publication appearing on the day of ,2003, and that the rate charged thereon is not in excess of the rate charged private individuals. Subscribed and sworn to before me This - day of 2003, Notary public for state of My commission expires 02-901 (Rev. 3/94) Page 2 AO.FRM PUBLISHER Notice's . . . 1 of2 ( ii' 1, Subject: Notice's Date: Tue, 28 Oct 2003 14:18:44 -0900 From: Jody Colombie <jody - colombie@admin.state.ak.us> Organization: Alaska Oil and Gas Conservation Commission BCC: Robert E Mintz <robert_mintz@law.state.ak.us>, Christine Hansen <c.hansen@iogcc.state.ok.us>, John Tanigawa <JohnT@EvergreenGas.com>, Terrie Hubble <hubbletl@bp.com>, Sondra Stewman <StewmaSD@BP.com>, Scott & Cammy Taylor <staylor@alaska.net>, stanekj <stanekj@unoca1.com>, ecolaw <ecolaw@trustees.org>, roseragsdale <roseragsdale@gci.net>, trmjrl <trmjrl@ao1.com>, jbriddle <jbriddle@marathonoi1.com>, rockhill <rockhill@aoga.org>, shaneg <shaneg@evergreengas.com>, rosew <rosew@evergreengas.com>, jdarlington <jdarlington@forestoi1.com>, nelson <nelson@gci.net>, cboddy <cboddy@usibelli.com>, "mark. dalton" <mark. dalton@hdrinc.com>, "shannon.donnelly" <shannon.donnelly@conocophillips.com>, "mark. p. worcester" <mark. p. worcester@conocophillips.com> , "jerry.c.dethlefs" <jerry.c.dethlefs@conocophillips.com>, bob <bob@inletkeeper.org>, wdv <wdv@dnr.state.ak.us>, tjr <tjr@dnr.state.ak.us>, bbritch <bbritch@alaska.net>, mjnelson <mjnelson@purvingertz.com>, burgin - d <burgin- d@niediak.com>, "charles.o'donnell" <charles.o'donnell@veco.com>, "Skillern, Randy L" <SkilleRL@BP.com>, "Dickey, Jeanne H" <DickeyJH@BP.com>, "Jones, Deborah J" <JonesD6@BP.com>, "Hyatt, Paul G" <hyattpg@BP.com>, "Rossberg, R Steven" <RossbeRS@BP.com>, "Shaw, Anne L (BP Alaska)" <ShawAL@BP.com>, "Kirchner, Joseph F" <KirchnJF@BP.com>, "Pospisil, Gordon" <PospisG@BP.com>, "Sommer, Francis S" <SommerFS@BP.com>, "Schultz, Mikel" <Mikel.Schultz@BP.com>, "Glover, Nick W" <GloverNW@BP.com>, "Kleppin, DarylJ" <KleppiDE@BP.com>, "Platt, Janet D" <PlattJD@BP.com>, "Jacobsen, Rosanne M" <JacobsRM@BP.com>, ddonkel <ddonkel@cfl.rr.com>, collins_mount <collins - mount@revenue.state.ak.us>, mckay <mckay@gci.net>, "b arb ara. f.fullmer" <b arb ara. f. fullmer@conocophillips.com>, eyancy <eyancy@seal-tite.net>, bocastwf <bocastwf@bp.com>, cowo <cowo@chevrontexaco.com>, ajiii88 <ajiii88@hotmail.com>, doug_schultze <doug- schultze@xtoenergy.com>, "hank.alford" <hank.alford@exxonmobil.com>, yesno 1 <yesno l@gci.net>, gspfoff <gspfoff@aurorapower.com>, "gregg.nady" <gregg.nady@shel1.com>, "fred.steece" <fred.steece@state.sd.us>, rcrotty <rcrotty@ch2m.com>, jejones <jejones@aurorapower.com>, dapa <dapa@alaska.net>, jroderick <jroderick@gci.net>, eyancey <eyancey@seal-tite.net>, "james.m.ruud" <j ames.m.ruud@conocophillips.com>, Brit Lively <mapalaska@ak.net>,jah <jah@dnr.state.ak.us>, Kurt E Olson <kurt_olson@legis.state.ak.us>, buonoje <buonoje@bp.com>, "Emeka. C. Ezeaku" <Em eka. C. Ezeaku@spdc. she ll. com> , mark - hanley <mark )1anley@anadarko.com>, loren _leman <loren _leman@gov.state.ak.us>, Harry R Bader <harry_bader@dnr.state.akus>, julie_houle <julie_houle@dnr.state.ak.us>, John W Katz <jwkatz@sso.org>, 10/28/2003 2:19P~ Notice's . . . 2 of2 'i { Suzan J Hill <suzan_hill@dec.state.ak.us>, tablerk <tablerk@unocal.com>, brady <brady@aoga.org>, Brian Havelock <beh@dnr.state.ak.us>, bpopp <bpopp@borough.kenai.ak.us>, j imwhite <j imwhite@satx.rr.com>, Stephanie_Ross <Stephanie _Ross@thomson.com>, "john.s.haworth" <john.s.haworth@exxonmobil.com>, marty <marty@usalaska.biz>, lois <lois@inletkeepers.org>, rmclean <rmc1ean@pobox.alaska.net>, allenhuckabay <allenhuckabay@hotmail.com>, "james.scherr" <james.scherr@mms.gov> '.." . Name: KenaiBelugaDefHN .DOC , ~ KenaiBelugaDefHN .DOC: Type: WINWORD File (applicationlmsword) , Encoding: base64 Name: Annulus Pressure Rule South Attach.doc ~ Annulus Pressure Rule South Attach.doc Type: WINWORD File (applicationlmsword) , , Encoding: base64 Name: Kenai Gas W Fork N Cook Inlet_Beluga River Annular Pressure.doc Type: WINWORD F , (applicationlm J Encodi:ng:. ?,a~e64 , . ~Kenai Gas_West Fork N Cook Inlet Beluga River Annular Pressure.doc: I' J OdY~o 10mb ie < j ody co 10 mbi e@adInm. state.ak. ~s> =--"~"""""""""""""""""""""""""""."""".,~ 1 0/28/20032: 19 p~ Notice . . . 1 of 1 ( ( Subject: Notice Date: Tue, 28 Oct 2003 14: 14:36 -0900 From: Jody Colombie <jody_colombie@admin.state.ak.us> Organization: Alaska Oil and Gas Conservation Commission To: Nancy Norton <Nancy _Norton@admin.state.ak.us>, Cynthia B Mciver <bren_mciver@admin.state.ak.us> Please add to web site. Jody r-----.------ .- ---.--- -- - ,- -. '------- ,-,- ------ ----.- ----...------, Name: Kenai Gas W Fork N Cook Inlet_Beluga River Annular Pressure.doc Type: WINWORD F ! (applicationlm ¡ Encoding: base64 IKenai Gas West Fork N Cook Inlet Beluga River Annular Pressure.doc, '" "0"'" ',""',""""""',",.,,"","" '" ",.' """""""""'>',.", ""","'0"" """'","""""'>',",""""""""""""" .."">' "." ,.......... ."""........n .. "".""'.. ........" ......" """""..""'."'."'..n.....'" '."."'.'..'. .n."" ......... .. .. ."" ..... .. ..... .... . ... "" ....".. n.. .. .. .. ......."..-.... .. '.""."""...... "'. .... ""'." '.'." . .. . .,' ........... .. ~anIC: Annulus Pressure Ru1e South Attach.doc I Annulus Pressure Rule South Attach.doc Type: WINWORD File (applicationlmsword) Encoding: base64 ,..,.--.. -, ..,.. .,_.., ,..._,- .... -- -,., ... ..,..., --,- --., --. - ..-..- '--'.-...- ,.n.." - ."-" --....... ,_. .-... '-.' ..... ..,. ..-....- ...'" ,..--., .--.,.. - -,.-. ....,....... ! ¡ ¡ i Jody Colombie <lody coloI11bie@admin.state.ak.us> j :.1,... ,I " T""""""""'" J 10/28/20032: 19 Ptv Notice . . . 1 of 1 " i( Subject: Notice Date: Tue, 28 Oct 2003 14:01:01 -0900 From: Jody Colombie <jody_colombie@admin.state'ak'us> Organization: Alaska Oil and Gas Conservation Commission To: Legal Ads Anchorage Daily News <legalads@adn.com> Please publish the attached Notice on 10/30/03. Jody ,I '" L" ~Kenai Gas West Fork N Cook Inlet Beluga River Annular Pressure.doc Name: Kenai Gas W Fork N Cook Inlet_Beluga River Annular Pressure.doc Type: WINWORD F : (application/m , Encoding: base64 Name: Ad Order form.doc ~Ad Order foffi1.doc, Type: WINWORD File (application/msword) , Encoding: base64 : -. '.,.. -""" _...,.... .-...,.-. -,- ,_... -,..,--'...,--'.. ,----..- ,-,..,_..._- ,.._-,. ..--..-. -""'--'.-. ....,_.,.., .'_..,..,..,....' -.. ....-.,...., -. ._,_..'. ! i I ¡ Jody Colo111bie <iodv colonlbie@adn1in.state.ak.us> ¡ L~ w . '" ',,'.', "," """', ,,"'.' ,.', " " """"""'" "" "HI 1 0/28/2003 2: 19 P' ( '( '. . Notice of Public Hearing ST A TE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Rules governing annular pressures in development wells in the Kenai Gas, West Fork, Beaver Creek, North Cook Inlet and Beluga River Fields. The Alaska Oil and Gas Conservation Commission ("Commission"), on its own motion, proposes to establish rules regulating sustained casing pressures in development wells in all pools within the Kenai Gas, West Fork, Beaver Creek, North Cook Inlet and Beluga River Fields. The proposed rules may be inspected at the Commissions offices or on its website at .http://www.state.ak.us/local/akpages/ADMIN/ogc/homeogc.htm The Commission has tentatively set a consolidated public hearing on these proposed actions for December 11, 2003 at 9:00 am at the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. A person may request that the tentatively scheduled hearing be held by filing a written request with the Commission no later than 4:30 pm on November 17, 2003. . If a request for a hearing is not timely filed, the Commission will consider the issuance of orders without a hearing. To learn if the Commission will hold the public hearing, please call 793-1221. In addition, a person may submit written comments regarding these proposed actions to the Alaska Oil and Gas Conservation Commission at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Written comments must be received no later than 4:30 pm on December 1, 2003, except that if the Commission decides to hold a public hearing, written comments must be received no later than 9:00 am on December 11, 2003. If you are a person with a disability who may need a special modification in order to comment or to attend the public hearing, please contact Jody Colombie at 793-1221 before December 1, 2003. "', Published Date: October 30, 2003 ADN AO# 02414012 . . . . ~., 'I' ~'. Elements of Proposed Kenai Gas, West Fork, Beaver Creek, N. Cook Inlet, and Beluga River Fields Annular Pressure Order October 30, 2003 1. The operator shall conduct and document a pressure test of tubulars and completion equip- ment in each development well at the time of installation or replacement that is sufficient to demonstrate that planned well operations will not result in failure of well integrity, uncon- trolled release of fluid or pressure, or threat to human safety. 2. The operator shall monitor each development well daily to check for sustained pressure,' except if prevented by extreme weather conditions, emergency situations, or similar un- avoidable circumstances. Monitoring results shall be made available for AOGCC inspec- tion. 3. The operator shall notify the AOGCC within three working days after the operator identi- fies a well as having sustained inner annulus pressure that exceeds 2000 psig, or sustained outer annulus pressure that exceeds 1000 psig. 4. The AOGCC may require the operator to submit in an Application for Sundry Approvals (Form 10-403) a proposal for corrective action or increased surveillance for any develop- ment well having sustained pressure that exceeds a limit set out in paragraph 3 of this rule. The AOGCC may approve the operator's proposal or may require other corrective action or surveillance. The AOGCC may require that corrective action be verified by mechanical in- tegrity testing or other AOGCC approved diagnostic tests, and that the AOGCC be given sufficient notice of the testing schedule to allow AOGCC to witness the tests. 5. If the operator identifies sustained pressure in the inner annulus of a development well that exceeds 450/0 of the burst pressure rating of the well's production casing for inner annulus pressure, or sustained pressure in the outer annulus that exceeds 45% of the burst pressure rating of the well's surface casing for outer annulus pressure, the operator shall notify the AOGCC within three working days and take corrective action. Unless well conditions re- quire the operator to take emergency corrective action before AOGCC approval can be ob- tained, the operator shall submit in an Application for Sundry Approvals (Form 10-403) a proposal for corrective action. The AOGCC may approve the operator's proposal or may require other corrective action. The AOGCC may also require that corrective action be verified by mechanical integrity testing or other AOGCC approved diagnostic tests, and that the AOGCC be given sufficient notice of the testing schedule to allow AOGCC to wit- ness the tests. 6. Except as otherwise approved by the AOGCC under paragraph 4 or 5 of these rules, before a shut-in well is placed in service, any annulus pressure must be relieved to a sufficient de- gree (a) that the inner annulus pressure at operating temperature will be below 2000 psig and (b) that the outer annulus pressure at operating temperature will be below 1000 psig. However, a well that is subject to paragraph 3, but not paragraph 5, of these rules may . . . ,( ( reach an annulus pressure at operating temperature that is described in the operator's notifi- cation to the AOGCC under paragraph 3, unless the AOGCC prescribes a different limit. 7. For purposes of this rule, "inner annulus" means the space in a well between tubing and production casing; "outer annulus" means the space in a well between production casing and surface casing; "sustained pressure" means pressure that (a) is measurable at the casing head of an annulus, (b) is not caused solely by temperature fluctuations, and (c) is not pressure that has been applied intentionally. SO Dept of Env & Natural Resources bil and Gas Program 2050 West Main, Ste 1 .Pid City, SO 57702 David McCaleb IHS Energy Group GEPS 5333 Westheimer, Ste 100 Houston, TX 77056 Robert Gravely 7681 South Kit Carson Drive Littleton, CO 80122 Richard Neahring NRG Associates President PO Box 1655 Colorado Springs, CO 80901 Samuel Van Vactor Economic Insight Inc. 3004 SW First Ave. Portland, OR 97201 tt.rk Wadman Halliburton 6900 Arctic Blvd. Anchorage, AK 99502 Baker Oil Tools 4730 Business Park Blvd., #44 Anchorage, AK 99503 David Cusato 600 West 76th Ave., #508 Anchorage, AK 99518 Kenai Peninsula Borough Economic Development Distr 14896 Kenai Spur Hwy #103A Kenai, AK 99611-7000 .ny Vadla West Riverview Avenue Soldotna, AK 99669-7714 ( Citgo Petroleum Corporation PO Box 3758 Tulsa, OK 74136 W. Allen Huckabay ConocoPhillips Petroleum Company Offshore West Africa Exploration 323 Knipp Forest Street Houston, TX 77079-1175 George Vaught, Jr. PO Box 13557 Denver, CO 80201-3557 John Levorsen 200 North 3rd Street, #1202 Boise,lD 83702 Michael Parks Marple's Business Newsletter 117 West Mercer St, Ste 200 Seattle, WA 98119-3960 Schlumberger Drilling and Measurements 3940 Arctic Blvd., Ste 300 Anchorage, AK 99503 Jill Schneider US Geological Survey 4200 University Dr. Anchorage, AK 99508 Jack Hakkila PO Box 190083 Anchorage, AK 99519 James Gibbs PO Box 1597 Soldotna, AK 99669 Richard Wagner PO Box 60868 Fairbanks, AK 99706 I'"' ':1 'Il Mary Jones XTO Energy, Inc. Cartography 810 Houston Street, Ste 2000 Ft. Worth, TX 76102-6298 Kelly Valadez Tesoro Refining and Marketing Co. Supply & Distribution 300 Concord Plaza Drive San Antonio, TX 78216 Jerry Hodgden Hodgden Oil Company 408 18th Street Golden, CO 80401-2433 Kay Munger Munger Oil Information Service, Inc PO Box 45738 Los Angeles, CA 90045-0738 Trustees for Alaska 1026 West 4th Ave., Ste 201 Anchorage, AK 99501-1980 Ciri Land Department PO Box 93330 Anchorage, AK 99503 Gordon Severson 3201 Westmar Cr. Anchorage, AK 99508-4336 Kevin Tabler Unocal PO Box 196247 Anchorage, AK 99519-6247 Kenai National Wildlife Refuge Refuge Manager PO Box 2139 Soldotna, AK 99669-2139 Cliff Burglin PO Box 131 Fairbanks, AK 99707 .. Bernie Karl k&K Recycling Inc, PO Box 58055 .rbankS, AK 99711 . . ( North Slope Borough PO Box 69 Barrow, AK 99723 i:1 1~, Williams Thomas Arctic Slope Regional Corporation Land Department PO Box 129 Barrow, AK 99723