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Home My WebLink AboutCO 654 • • 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. Co (pS Order File Identifier Organizing (done) ❑ Two -sided III [11 III III ❑ Rescan Needed II 1 1111 11 1111 R AN DIGITAL DATA OVERSIZED (Scannable) C olor Items: ❑ Diskettes, No. ❑ Maps: ❑ Greyscale Items: ❑ Other, No/Type: ❑ Other Items Scannable by a Large Scanner ❑ Poor Quality Originals: OVERSIZED (Non - Scannable) ❑ Other: ❑ Logs of various kinds: NOTES: ❑ Other:: BY: Maria Date: 3/g //a. /s/ V P Project Proofing 11 11111111111 BY: Maria Date: 313/ f ; . /s/ rvlp Scanning Preparation x 30 = + = TOTAL PAGES 7 (Count does not include cover sheet) 1 /s/ u BY: Maria Date: 3 1 a Production Scanning I HuIIIIlQ IIIU Stage 1 Page Count from Scanned File: 7 1 (Count does include cover sheet) Page Count Matches Number in Scanning Preparation: VYES NO BY: Maria Date: 31q/ / �, /s/ vvi Stage 1 If NO in stage 1, page(s) discrepancies were found: YES NO BY: Maria Date: /s/ Scanning is complete at this point unless rescanning is required. III 11E11 11 III ReScanned I 11111111111111 BY: Maria Date: /s/ Comments about this file: Quality Checked III 11111 IIHII III 1/17/2012 Orders File Cover Page.doc • • INDEX CONSERVATION ORDER NO. 654 NIKAITCHUQ 1. September 22, 2011 Eni request for spacing exception 2. October 6, 2011 Notice of Hearing, affidavit of publication, bulk mailing list, email list 3. November 1, 2011 CPA Request for spacing exception 4. November 2, 2011 Eni amended request for spacing exception 5. November 2, 2011 Email to Robert Province (Eni) re: amended well spacing exception. 6. November 3, 2011 Notice of Hearing, affidavit of publication, bulk mailing list, email list 7. Various Emails S STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF Eni US ) Docket CO -11 -36 Operating Company for an exception to the ) Conservation Order No. 654 spacing requirements of 20 AAC 25.055 to ) Nikaitchuq 0I24 -08 drill and complete a water injection well within ) Water Injection Well 500 feet of a property line where ownership or ) landownership changes. ) December 16, 2011 NOTICE CLOSING DOCKET BY THE COMMISSION: The Commission has the closed the Docket in the above captioned matter. ENTERED AND EFFECTIVE at Anchorage, Alaska and this 16th day of December, 2011. BY DIRECTION OF THE COMMISSION Jot J. Colombie S see ial Assistant to the Commission • STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue, Suite 100 Anchorage Alaska 99501 Re: THE APPLICATION OF Eni US ) Docket CO -11 -36 Operating Company for an exception to the ) Conservation Order No. 654 spacing requirements of 20 AAC 25.055 to ) drill and complete a water injection well within ) Nikaitchuq 0124 -08 500 feet of a property line where ownership or ) Water Injection Well landownership changes. ) ) December 16, 2011 IT APPEARING THAT: 1. On September 26, 2011, Eni US Operating Company (Eni) requested the Alaska Oil and Gas Conservation Commission (AOGCC) grant an exception to the spacing requirements of 20 AAC 25.055 to drill and complete deviated water injection well Nikaitchuq 0124- 08 within 500 feet of a property line a property line where ownership or landownership changes. Eni's request proposed opening the oil- bearing OA -sand reservoir of the Schrader Bluff Formation (Schrader Bluff OA -sand) to water injection a minimum of 105 feet from the property line that separates Eni's Nikaitchuq Unit from the adjacent Kuparuk River Unit, which is operated by ConocoPhillips Alaska, Inc. (CPAI). 2. Pursuant to 20 AAC 25.055, on September 29, 2011 a notice of a public hearing was published on the State of Alaska's Online Public Notice website, published on the Commission's Internet website, sent via email to all parties on AOGCC's electronic mailing list, and submitted to the ALASKA JOURNAL OF COMMERCE for publication. The notice advised that a hearing was tentatively scheduled for November 15, 2011 at 9 AM. 3. On October 6, 2011, an amended notice of a public hearing was published on the State of Alaska's Online Public Notice website, published on the Commission's Internet website and sent via email to all parties on AOGCC's electronic mailing list. The amended notice was published in the ALASKA JOURNAL OF COMMERCE on October 16, 2011. The amended notice advised that the hearing was tentatively scheduled for November 17, 2011 at9AM. 4. On November 2, 2011, AOGCC received a written comment from CPAI regarding Eni's spacing exception application. CPAI considered Eni's request and the potential impacts that Eni's proposed well might have on future drilling activities conducted in the adjacent Kuparuk River Unit. Eni and CPAI then worked together to resolve CPAI's concerns by altering the proposed well trajectory so that the Schrader Bluff OA -sand would not be open to water injection within 250 feet of the property line that separates the Nikaitchuq Unit from the Kuparuk River Unit. 5. On November 2, 2011, Eni submitted to AOGCC an amended request for an exception to the spacing requirements of 20 AAC 25.055 that alters the proposed trajectory of Order 654 • December 16, 2011 Page 2 of 3 Nikaitchuq 0124 -08 and moves the interval open to the Schrader Bluff OA -sand 250 feet or more from the property line that separates the Nikaitchuq Unit from the Kuparuk River Unit. The November 2, 2011 written comment from CPAI states that the 250 -foot minimum distance from the Kuparuk River Unit boundary was agreed upon by Eni and CPAI. 6. On November 3, 2011, a second amended notice of a public hearing was published on the State of Alaska's Online Public Notice website, published on the Commission's Internet website and sent via email to all parties on AOGCC's electronic mailing list. The second amended notice was published in the ANCHORAGE DAILY NEWS on November 4, 2011. The amended notice advised that the hearing tentatively scheduled for November 17, 2011 had been vacated and tentatively rescheduled for December 6, 2011 at 9 AM. 7. No protest to the amended application or request for hearing was received. 8. Because Eni provided sufficient information upon which to make an informed decision, Eni's request can be resolved without a hearing. 9. On December 1, 2011, AOGCC's Commissioners vacated the public hearing that was tentatively scheduled for December 6, 2011. FINDINGS: 1. Eni currently owns and operates the State lease affected by Nikaitchuq 0124 -08 (ADL0391283). Lease ADL0391283 is committed entirely to the Nikaitchuq Unit. 2. Eni is the operator of the proposed Nikaitchuq 0124 -08 water injection well. 3. Nikaitchuq 0124 -08 is a deviated water injection well with a surface location of 3126 feet from the south section line (FSL) and 1711 feet from the east section line (FEL) of Section 5, T13N, RO9E, Umiat Meridian (UM); a proposed productive interval intercept location of 250 feet FSL and 3005 feet from the east section line (FEL) of Section 31, T14N, RO9E, UM; and a proposed bottom -hole location of 47 feet FSL and 4017 feet FEL of Section 25, T14N, RO8E, UM. 4. Nikaitchuq 0124 -08 targets the oil - bearing Schrader Bluff OA -sand reservoir. 5. As re- designed, Nikaitchuq 0124 -08 will intercept the Schrader Bluff OA -sand 250 feet or more from a property line where ownership or landownership changes. 6. Reservoir modeling by Eni indicates that opening the Schrader Bluff OA -sand to water injection from Nikaitchuq 0124 -08 as re- designed will increase resource recovery in offset producing wells with a minimal increase in reservoir pressure at the nearby boundary with the Kuparuk River Unit. CONCLUSIONS: 1. As re- designed, Nikaitchuq 0124 -08 will improve resource recovery with minimum risk to future drilling operations in offset leases. Order 654 • • December 16, 2011 Page 3 of 3 2. An exception to spacing requirements of 20 AAC 25.055 is necessary to allow drilling and completion of the Nikaitchuq 0124 -08 water injection well. 3. A spacing exception to allow drilling and completion of the Nikaitchuq 0124 -08 well will not result in waste or jeopardize correlative rights of adjoining or nearby owners and operators. NOW, THERFORE, IT IS ORDERED: Eni's November 2, 2011 amended application for exception to the well spacing provisions of 20 AAC 25.055 for the purpose of drilling and completion of the Nikaitchuq 0124 -08 well is approved. Eni may proceed with the drilling and completion of the Nikaitchuq 0124 -08 as long as it is in compliance the terms of the leases and applicable Alaska Law. AOGCC must approve a separate order granting exception to the spacing requirements of 20 AAC 25.055 before Nikaitchuq 0124 -08 is converted to production. oiL Mp DONE at Anchorage, Alaska and dated December 16 ! 11 �I - 111ATION 1,0 anie . Seamount, Jr. I'C o i Chair, Commissioner Comm • er RECONSIDERATION AND APPEAL NOTICE As provided in AS 31.05.080(a), within 20 days after written notice of the entry of this order or decision, or such further time as the AOGCC grants for good cause shown, a person affected by it may file with the AOGCC an application for reconsideration of the matter determined by it. If the notice was mailed, then the period of time shall be 23 days. An application for reconsideration must set out the respect in which the order or decision is believed to be erroneous. The AOGCC shall grant or refuse the application for reconsideration in whole or in part within 10 days after it is filed. Failure to act on it within 10 -days is a denial of reconsideration. If the AOGCC denies reconsideration, upon denial, this order or decision and the denial of reconsideration are FINAL and may be appealed to superior court. The appeal MUST be filed within 33 days after the date on which the AOGCC mails, OR 30 days if the AOGCC otherwise distributes, the order or decision denying reconsideration, UNLESS the denial is by inaction, in which case the appeal MUST be filed within 40 days after the date on which the application for reconsideration was filed. If the AOGCC grants an application for reconsideration, this order or decision does not become final. Rather, the order or decision on reconsideration will be the FINAL order or decision of the AOGCC, and it may be appealed to superior court. That appeal MUST be filed within 33 days after the date on which the AOGCC mails, OR 30 days if the AOGCC otherwise distributes, the order or decision on reconsideration. As provided in AS 31.05.080(b), "[t]he questions reviewed on appeal are limited to the questions presented to the AOGCC by the application for reconsideration." In computing a period of time above, the date of the event or default after which the designated period begins to run is not included in the period; the last day of the period is included, unless it falls on a weekend or state holiday, in which event the period runs until 5:00 p.m. on the next day that does not fall on a weekend or state holiday. • • Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Associates Mark Wedman Hodgden Oil Company NRG Associates Halliburton 408 18 Street President 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K &K Recycling Inc. Land Department 795 E. 94 Ct. P.O. Box 58055 P.O. Box 93330 Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 ° 1 \e- (\\>.,-iik 0 �� • • Fisher, Samantha J (DOA) From: Fisher, Samantha J (DOA) Sent: Friday, December 16, 2011 3:21 PM To: Ballantine, Tab A (LAW); Bender, Makana K (DOA); 'Brooks, Phoebe L (DOA) (phoebe. brooks @alaska.gov); 'Colombie, Jody J (DOA) (jody.colombie @alaska.gov)'; 'Crisp, John H (DOA) (john.crisp @alaska.gov)'; 'Davies, Stephen F (DOA) (steve.davies @alaska.gov)'; 'Foerster, Catherine P (DOA) (cathy.foerster @alaska.gov)'; 'Grimaldi, Louis R (DOA) (lou.grimaldi @alaska.gov)'; Herrera, Matt F (DOA); 'Johnson, Elaine M (DOA) (elaine.johnson @alaska.gov); 'Jones, Jeffery B (DOA) (jeff.jones @alaska.gov)'; 'Laasch, Linda K (DOA) (Iinda.laasch @alaska.gov)'; 'Maunder, Thomas E (DOA) (tom.maunder @alaska.gov)'; 'McIver, Bren (DOA) (bren.mciver @alaska.gov)'; 'McMains, Stephen E (DOA) (steve.mcmains @alaska.gov)'; Mumm, Joseph (DOA sponsored); 'Noble, Robert C (DOA) (bob. noble @alaska.gov)'; 'Norman, John K (DOA) (john.norman @alaska.gov)'; 'Okland, Howard D (DOA) (howard.okland @alaska.gov)'; 'Paladijczuk, Tracie L (DOA) ( tracie.paladijczuk @alaska.gov); 'Pasqua!, Maria (DOA) (maria.pasqual @alaska.gov)'; 'Regg, James B (DOA) (jim.regg @alaska.gov); 'Roby, David S (DOA) (dave.roby @alaska.gov); 'Saltmarsh, Arthur C (DOA) (art.saltmarsh @alaska.gov)'; 'Scheve, Charles M (DOA) (chuck.scheve @alaska.gov)'; 'Schwartz, Guy L (DOA) (guy.schwartz @alaska.gov)'; 'Seamount, Dan T (DOA) (dan.seamount @alaska.gov)'; 'Aaron Gluzman'; 'Ben Greene'; Bruno, Jeff J (DNR); 'CA Underwood'; 'Casey Sullivan'; 'Dale Hoffman'; 'David Lenig'; 'Donna Vukich'; 'Elizabeth Bluemink'; 'Eric Lidji'; 'Gary Orr; 'Graham Smith'; Heusser, Heather A (DNR); 'Jason Bergerson'; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lars Coates'; 'Lois Epstein'; 'Marc Kuck'; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; 'Maurizio Grandi'; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; 'Peter Contreras'; 'Richard Garrard'; 'Ryan Daniel'; 'Sandra Lemke'; 'Talib Syed'; 'Ted Rockwell'; 'Wayne Wooster'; 'Wendy Wollf; 'William Van Dyke'; '( michael .j.nelson @conocophillips.com)'; '(Von.L .Hutchins @conocophillips.com)'; 'AKDCWelllntegrityCoordinator; 'Alan Dennis'; 'alaska @petrocalc.com'; 'Anna Raff; 'Barbara F Fullmer; 'bbritch'; 'Becky Bohrer'; 'Bill Penrose'; 'Bill Walker'; 'Bowen Roberts'; 'Brandon Gagnon'; ' Brandow, Cande (ASRC Energy Services)'; 'Brian Havelock'; 'Bruce Webb'; 'Chris Gay'; 'Claire Caldes'; 'Cliff Posey'; 'Crandall, Krissell'; 'D Lawrence'; 'dapa'; 'Daryl J. Kleppin'; 'Dave Harbour; 'Dave Matthews'; 'David Boelens'; 'David House'; 'David Scott'; 'David Steingreaber'; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; Easton, John R (DNR); 'Elowe, Kristin'; 'Erika Denman'; 'eyancy'; 'Francis S. Sommer; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Schultz (gary.schultz @alaska.gov)'; 'ghammons'; 'Gordon Pospisil'; 'Gorney, David L.'; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; 'gspfoff; 'Jdarlington (jarlington @gmail.com)'; 'Jeanne McPherren'; 'Jeff Jones'; 'Jerry McCutcheon'; 'Jill Womack'; 'Jim White'; 'Jim Winegarner; 'Joe Nicks'; 'John Caring'; 'John Katz (john.katz @alaska.gov)'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'Jon Goltz'; Jones, Jeffrey L (GOV); 'Judy Stanek'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; 'Kelly Sperback'; 'Kim Cunningham'; 'Larry Ostrovsky'; 'Laura Silliphant (laura.gregersen @alaska.gov)'; 'Marc Kovak'; 'Mark Dalton'; 'Mark Hanley (mark.hanley @anadarko.com)'; 'Mark P. Worcester'; 'Marguerite kremer (meg.kremer @alaska.gov)'; 'Michael Dammeyer; 'Michael Jacobs'; 'Mike Bill'; 'Mike Mason'; 'Mike Morgan'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'nelson'; 'Nick W. Glover'; 'NSK Problem Well Supv'; 'Patty Alfaro'; 'Paul Decker (paul.decker @alaska.gov)'; 'Paul Figel'; 'Randall Kanady'; 'Randy L. Skillern'; 'Rena Delbridge'; 'Renan Yanish'; ' rob.g.dragnich @exxonmobil.com'; 'Robert Brelsford'; 'Robert Campbell'; 'Rudy Brueggeman'; 'Ryan Tunseth'; 'Scott Cranswick'; 'Scott Griffith'; 'Shannon Donnelly'; 'Sharmaine Copeland'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); 'Sondra Stewman'; 'Steve Lambert'; 'Steve Moothart (steve.moothart@alaska.gov)'; 'Steven R. Rossberg'; 'Suzanne Gibson'; 'tablerk'; 'Tamera Sheffield'; Taylor, Cammy 0 (DNR); 'Temple Davidson'; 'Teresa Imm'; 'Terrie Hubble'; 'Thor Cutler'; 'Tim Mayers'; 'Tina Grovier; 'Todd Durkee'; 'Tony Hopfinger; 'trmjrl'; 'Vicki Irwin'; 'Walter Featherly'; 'Will Chinn'; Williamson, Mary J (DNR); 'Yereth Rosen' Subject: co654 Nikaitchuq Attachments: co654.pdf Samantha Fisher, Executive Secretary II Alaska Oil and Gas Conservation Commission (907)793 -1223 1 � • • Davies, Stephen F (DOA) Subject: FW: Public Hearing Nikaitchuq Spacing Exception Location: Hearing Room Start: Tue 12/6/2011 9:00 AM End: Tue 12/6/2011 10:00 AM Show Time As: Tentative Recurrence: (none) Meeting Status: Not yet responded Organizer: CAL - DOA -AOGCC (DOA sponsored) Importance: High Original Appointment From: CAL - DOA -AOGCC (DOA sponsored) Sent: Thursday, December 01, 2011 1 :29 PM To: CAL - DOA -AOGCC (DOA sponsored); Ballantine, Tab A (LAW); Bender, Makana K (DOA); Brooks, Phoebe L (DOA); Colombie, Jody 3 (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Foerster, Catherine P (DOA); Grimaldi, Louis R (DOA); Herrera, Matt F (DOA); Johnson, Elaine M (DOA); Jones, Jeffery B (DOA); Laasch, Linda K (DOA); Maunder, Thomas E (DOA); McIver, Bren (DOA); McMains, Stephen E (DOA); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA); Norman, John K (DOA); Okland, Howard D (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Saltmarsh, Arthur C (DOA); Scheve, Charles M (DOA); Schwartz, Guy L (DOA); Seamount, Dan T (DOA) Subject: Canceled: Public Hearing Nikaitchuq Spacing Exception When: Tuesday, December 06, 2011 9:00 AM -10:00 AM (GMT- 09:00) Alaska. Where: Hearing Room Importance: High 1 • Colombie, Jody J (DOA) To: Davies, Stephen F (DOA) Subject: RE: Eni's Amended well spacing exception request. No comments received. Original Message From: Davies, Stephen F (DOA) Sent: Monday, November 28, 2011 10:00 AM To: Colombie, Jody 3 (DOA) Subject: FW: Eni's Amended well spacing exception request. Jody, Robert at ENI is anxious to know whether or not a public hearing will be held on their spacing exception application. ENI wants to land an injection well about 250' from the northern boundary of the Kuparuk River Unit (KRU). Did we receive any requests for hearing or an objection or comments from ConocoPhillips, owner of the KRU? ] Thanks, Steve D. Original Message From: Province Robert [mailto: Robert .Province @enipetroleum.com] Sent: Monday, November 28, 2011 9:50 AM To: Davies, Stephen F (DOA) Subject: RE: Eni's Amended well spacing exception request. Steve: Any update on eni's spacing exception hearing date? Will this be necessary? Did the AOGCC receive any written objection during the public comment period? Robert A. Province Land Manager - Alaska Eni US Operating Co. Inc (907) 865 -3350- Office (907) 947 -3793 - Cell Original Message From: Davies, Stephen F (DOA) [ mailto:steve.davies @alaska.gov] Sent: Tuesday, November 15, 2011 5:39 PM To: Province Robert Subject: RE: Eni's Amended well spacing exception request. The Commissioner's have the ultimate say, but it is possible. Original Message From: Province Robert [mailto: Robert .Province @enipetroleum.com] Sent: Tuesday, November 15, 2011 5:34 PM To: Davies, Stephen F (DOA) Subject: RE: Eni's Amended well spacing exception request. 1 Thank you. So there is a possibility that the Commissioner's couldecide not to have a hearing in which case, eni would receive an order for a well spacing exception by mid December? Robert Original Message From: Davies, Stephen F (DOA) [ mailto:steve.davies @alaska.gov] Sent: Tuesday, November 15, 2011 5:31 PM To: Province Robert Subject: RE: Eni's Amended well spacing exception request. Robert, Generally a day or so after the deadline to request that the tentatively scheduled hearing be held. For Eni's spacing exception request Thanksgiving Holiday may impact the decision, so maybe on Nov. 25th, but definitely by Nov. 28th. Steve Davies AOGCC Original Message From: Province Robert [mailto: Robert .Province @enipetroleum.com] Sent: Tuesday, November 15, 2011 5:15 PM To: Davies, Stephen F (DOA) Subject: RE: Eni's Amended well spacing exception request. Steve: In the event there is no objection filed during eni's 30 public notice period regarding the well spacing exception, when does the AOGCC make the decision if a hearing will be necessary or not? Robert A. Province Land Manager - Alaska Eni US Operating Co. Inc (907) 865 -3350- Office (907) 947 -3793 - Cell Original Message From: Davies, Stephen F (DOA) [mailto:steve.davies @alaska.gov] Sent: Wednesday, November 02, 2011 4:16 PM To: Province Robert Cc: Colombie, Jody J (DOA) Subject: RE: Eni's Amended well spacing exception request. Robert, A new or amended application for spacing exception requires a new public notice and will reset the clock for the process. Please submit a written request to withdraw the original application for spacing exception, and then prepare and submit a new application for spacing exception based on the revised well trajectory. This new application must follow all of the provisions of 20 AAC 25.055(d). Regards, Steve Davies Sr. Petroleum Geologist 2 Alaska Oil and Gas Conservationmmission (AOGCC) • Steve's phone: 907 - 793 -1224 AOGCC's receptionist: 907 - 793 -1223 AOGCC's fax: 907 - 276 -7542 AOGCC's website: http: / /doa.alaska.gov /ogc Original Message From: Province Robert [mailto: Robert .Province @enipetroleum.com] Sent: Wednesday, November 02, 2011 11:29 AM To: Davies, Stephen F (DOA) Subject: Eni's Amended well spacing exception request. Steve: Regarding eni's amended spacing exception request. Should eni's letter essentially stand on its own as a spacing exception for 250' from the lease line or will it be an addendum with just the facts of new location and impact on recoverable reserves. I have edited eni's original letter as though eni is refiling, but with some reference to the original application at 100' and our agreement with CPAI. Should the letter be simplified and just supply information on the critical necessary information. Please let me know how the AOGCC would like eni to handle this change as a result of CPAI withdrawing their objection to eni's spacing exception request now that the distance is 250 feet. Thank you. Robert Province Land Manager - Alaska eni petroleum cel 907 947 -3793 Sent from my Blackberry Message for the recipient only, if received in error, please notify the sender and read http: / /www.eni.it /disclaimer/ This message may contain information that is confidential, and is being sent exclusively to the Recipient. If you are not the designated Recipient, you are prohibited from utilizing, copying or divulging the information contained in this message,or taking any action whatsoever on the basis of the information herein. If you have received this message by mistake, we ask you to kindly inform the Sender and to delete the message. It is understood that, with regard to messages sent by its network, the Company is not responsible for any statements made or opinions expressed, that are not strictly related to the Company's operations. 3 i • Message for the recipient only, if received in error, please notify the sender and read http: / /www.eni.it /disclaimer/ This message may contain information that is confidential, and is being sent exclusively to the Recipient. If you are not the designated Recipient, you are prohibited from utilizing, copying or divulging the information contained in this message,or taking any action whatsoever on the basis of the information herein. If you have received this message by mistake, we ask you to kindly inform the Sender and to delete the message. It is understood that, with regard to messages sent by its network, the Company is not responsible for any statements made or opinions expressed, that are not strictly related to the Company's operations. Message for the recipient only, if received in error, please notify the sender and read http: / /www.eni.it /disclaimer/ This message may contain information that is confidential, and is being sent exclusively to the Recipient. If you are not the designated Recipient, you are prohibited from utilizing, copying or divulging the information contained in this message,or taking any action whatsoever on the basis of the information herein. If you have received this message by mistake, we ask you to kindly inform the Sender and to delete the message. It is understood that, with regard to messages sent by its network, the Company is not responsible for any statements made or opinions expressed, that are not strictly related to the Company's operations. Message for the recipient only, if received in error, please notify the sender and read http: / /www.eni.it /disclaimer/ This message may contain information that is confidential, and is being sent exclusively to the Recipient. If you are not the designated Recipient, you are prohibited from utilizing, copying or divulging the information contained in this message,or taking any action whatsoever on the basis of the information herein. If you have received this message by mistake, we ask you to kindly inform the Sender and to delete the message. 4 It is understood that, with regi to messages sent by its networlthe Company is not responsible for any statements made or opinions expressed, that are not strictly related to the Company's operations. 5 I �I • • Fisher, Samantha J (DOA) From: Fisher, Samantha J (DOA) Sent: Thursday, November 03, 2011 3:18 PM To: '( michael .j.nelson @conocophillips.com)'; '(Von.L .Hutchins @conocophillips.com)'; 'AKDCWeIIIntegrityCoordinator; 'Alan Dennis'; 'alaska @petrocalc.com'; 'Anna Raff; 'Barbara F Fullmer; 'bbritch'; 'Becky Bohrer; 'Bill Penrose'; 'Bill Walker'; 'Bowen Roberts'; 'Brandon Gagnon'; 'Brandow, Cande (ASRC Energy Services)'; 'Brian Havelock'; 'Bruce Webb'; 'caunderwood'; 'Chris Gay'; 'Claire Caldes'; 'Cliff Posey'; 'Crandall, Krissell; 'D Lawrence'; 'dapa'; 'Daryl J. Kleppin'; 'Dave Harbour; 'Dave Matthews'; 'David Boelens'; 'David House'; 'David Scott'; 'David Steingreaber'; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; 'Elizabeth Bluemink'; 'Elowe, Kristin'; 'Erika Denman'; 'eyancy'; 'Francis S. Sommer'; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Schultz (gary.schultz @alaska.gov)'; 'ghammons'; 'Gordon Pospisil'; 'Gorney, David L.'; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; 'gspfoff; 'Jdarlington (jarlington @gmail.com)'; 'Jeanne McPherren'; 'Jeff Jones'; 'Jeffery B. Jones (jeff.jones @alaska.gov)'; 'Jerry McCutcheon'; 'Jill Womack'; 'Jim White'; 'Jim Winegarner; 'Joe Nicks'; 'John Garing'; 'John Katz (john.katz @alaska.gov)'; 'John S. Haworth'; 'John Spain'; 'John Tower; 'Jon Goltz'; Jones, Jeffrey L (GOV); 'Judy Stanek'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; 'Kelly Sperback'; 'Kim Cunningham'; 'Larry Ostrovsky'; 'Laura Silliphant (laura.gregersen @alaska.gov)'; 'Marc Kovak'; 'Mark Dalton'; 'Mark Hanley (mark.hanley @anadarko.com)'; 'Mark P. Worcester; 'Marguerite kremer (meg.kremer @alaska.gov)'; 'Michael Dammeyer; 'Michael Jacobs'; 'Mike Bill'; 'Mike Mason'; 'Mike Morgan'; 'Mikel Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'nelson'; 'Nick W. Glover; 'NSK Problem Well Supv'; 'Patty Alfaro'; 'Paul Decker (paul.decker @alaska.gov)'; 'Paul Figel'; 'Randall Kanady'; 'Randy L. Skillern'; 'Rena Delbridge'; 'Renan Yanish'; ' rob.g.dragnich @exxonmobil.com'; 'Robert Brelsford'; 'Robert Campbell'; 'Rudy Brueggeman'; 'Ryan Tunseth'; 'Scott Cranswick'; 'Scott Griffith'; 'Shannon Donnelly'; 'Sharmaine Copeland'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); 'Sondra Stewman'; 'Steve Lambert'; 'Steve Moothart (steve.moothart@alaska.gov)'; 'Steven R. Rossberg'; 'Suzanne Gibson'; 'tablerk'; 'Tamera Sheffield'; Taylor, Cammy 0 (DNR); 'Temple Davidson'; 'Teresa Imm'; 'Terrie Hubble'; 'Thor Cutler'; 'Tim Mayers'; 'Tina Grovier'; 'Todd Durkee'; 'Tony Hopfinger; 'trmjrl'; 'Vicki Irwin'; 'Walter Featherly'; 'Will Chinn'; Williamson, Mary J (DNR); 'Yereth Rosen'; 'Aaron Gluzman'; 'Ben Greene'; Bruno, Jeff J (DNR); 'Casey Sullivan'; 'Dale Hoffman'; 'David Lenig'; 'Donna Vukich'; 'Eric Lidji'; 'Gary Orr; 'Graham Smith'; Heusser, Heather A (DNR); 'Jason Bergerson'; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lars Coates'; 'Lois Epstein'; 'Marc Kuck'; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; 'Maurizio Grandi'; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; 'Peter Contreras'; 'Richard Garrard'; 'Ryan Daniel'; 'Sandra Lemke'; 'Talib Syed'; 'Ted Rockwell'; 'Wayne Wooster; 'Wendy Wollf; 'William Van Dyke'; Ballantine, Tab A (LAW); Bender, Makana K (DOA); 'Brooks, Phoebe L (DOA) (phoebe.brooks @alaska.gov); 'Colombie, Jody J (DOA) (jody.colombie @alaska.gov)'; 'Crisp, John H (DOA) (john.crisp @alaska.gov)'; 'Davies, Stephen F (DOA) (steve.davies @alaska.gov)'; 'Foerster, Catherine P (DOA) (cathy.foerster @alaska.gov)'; 'Grimaldi, Louis R (DOA) (lou.grimaldi @alaska.gov)'; Herrera, Matt F (DOA); 'Johnson, Elaine M (DOA) (elaine.johnson @alaska.gov)'; 'Laasch, Linda K (DOA) (linda.laasch @alaska.gov)'; 'Maunder, Thomas E (DOA) (tom.maunder @alaska.gov)'; 'McIver, Bren (DOA) (bren.mciver @alaska.gov); 'McMains, Stephen E (DOA) (steve.mcmains @aiaska.gov)'; Mumm, Joseph (DOA sponsored); 'Noble, Robert C (DOA) (bob.noble @alaska.gov); 'Norman, John K (DOA) (john.norman @aiaska.gov)'; 'Okland, Howard D (DOA) (howard.okiand @alaska.gov); 'Paladijczuk, Tracie L (DOA) ( tracie .paladijczuk @alaska.gov)'; 'Pasqua!, Maria (DOA) (maria.pasqual @alaska.gov); 'Regg, James B (DOA) (jim.regg @aiaska.gov)'; 'Roby, David S (DOA) (dave.roby @alaska.gov)'; 'Saltmarsh, Arthur C (DOA) (art.saitmarsh @aiaska.gov)'; 'Scheve, Charles M (DOA) (chuck.scheve @alaska.gov)'; 'Schwartz, Guy L (DOA) (guy.schwartz @alaska.gov)'; 'Seamount, Dan T (DOA) (dan.seamount @aiaska.gov)' Subject: Second Public Notice 0124 -08 Nikaitchuq Attachments: Second Public Notice 0124- 08.pdf 1 • Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Associates Mark Wedman Hodgden Oil Company NRG Associates Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K &K Recycling Inc. Land Department 795 E. 94 Ct. P.O. Box 58055 P.O. Box 93330 Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 � \ \ STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING OE MNI A S ADVTG EO., CERTIFIED A O- 02214010 AFFIDAVINV INVOICE UST OF PUBE BLICATION I TRIPLIC (PART TE 2 OF HOWING THIS FOR ER M) WITH ORD ATTAC R N HED COPY ER OF /1 ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. November 3, 2011 R 333 W 7th Ave, Ste 100 Jody Colombie ° Anchorage, AK 99501 PHONE PCN M (9071 793 —1221 DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News November 4, 2011 PO Box 149001 Anchorage, AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement Legal® n Display Classified nOther (Specify) SEE ATTACHED I I 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 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LIO 1 10 02140100 73451 2 RE* 10 D BYr\ DIVISION APPROVAL: 02 -902 (' e 4) Publisher /Original Copies: Department Fiscal, Department, Receiving AO.FRM • 0 Second Amended Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket # CO- 11 -36. The application of Eni US Operating Company for an exception to the spacing requirements of 20 AAC 25.055 for the drilling of a water injection well less than 500 feet from a property line where ownership or landownership changes. Eni US Operating Company, by a letter received November 2, 2011, submitted an addendum to its original request, dated September 26, 2011, that the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to drill the Nikaitchuq 0124 -08 water injection well in the Nikaitchuq Unit within 500 feet of a property line where ownership or landownership changes. The proposed surface and bottom -hole locations of the well are as follows: Nikaitchuq 0124 -08 Surface Location: 3126' from the south line and 1711' from the east line of Section 5, T13N, RO9E, Umiat Meridian (U.M.). Proposed Productive Interval Intercept Location: 250' from the south line and 3005' from the east line of Section 31, T14N, RO9E, U.M. Proposed Bottom -hole Location: 47' from the south line and 4017' from the east line of Section 25, T14N, RO8E, U.M. The public hearing currently scheduled for November 17, 2011 at 9:00 am has been VACATED and tentatively rescheduled for December 6, 2011 at 9:00 am at the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on November 21, 2011. If a request for a hearing is not timely filed, the AOGCC may consider the issuance of an order without a I hearing. To learn if the AOGCC will hold the hearing, call 793 -1221 after November 23, 2011. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on December 5, 2011, except that, if a hearing is held, comments must be received no later than the conclusion of the December 6, 2011 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the AOGCC's Special Assistant, Jody Colombie, at 793 -1221, no later than November 29, 2011. ill Daniel T. Se, ' ount, Jr. Chair, Commissioner 11/4/2011 Anchorage Daily News - ` Affidavit of Publication 1001 Northway Drive, Anchorage, AK 99508 PRICE OTHER OTHER OTHER GRAND AD # DATE in ACCOUNT PER DAY CHARGES CHARGES #2 CHARGES #3 TOTAL 950075 11/04/2011 AO -02114 STOF0330 $245.68 $245.68 $0.00 $0.00 $0.00 $245.68 Second Amended Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket # C0- 11 -36. The application of Eni US Operating Company for an exception to the spacing requirements of 20 AAC 25:055 for the drilling of a Water injection well less than 500 feet from,a STATE OF ALASKA property line where ownership or landownership THIRD JUDICIAL DISTRICT Eni -US operating Company, by a letter received November 2, 2011, submitted an addendum to its Shane Drew, being first duly sworn on oath deposes and says that original reuest, dated September 26, 2011, the he is an advertising representative of the Anchorage Daily e Dail News, Alaska and -Gas Conservation Commission (AOGCC) issue an - order for an exception to the a daily newspaper. spacing requirements of 20 AAC 25.055 to'drill -the Nikaitchuq 01244)8 water injection well in the That said news a er has been a d b the Third Judicial Nikaitchuq 500-feet a property line p p PP rove Y where ownership'or- landownership changes. The Court, Anchorage, Alaska, and it now and has been published in prop,osed surface and bottom=hole locations of the the English language continually as a daily newspaper in wellcare as follows: - Anchorage, Alaska, and it is now and during all said time was w kaitcliuq 0124 -68 printed in an office maintained at the aforesaid place of Suffacetocation:3126' -from the south line and publication of said newspaper. That the annexed is a copy of an 1711' from the east line of Section 5, T13N, RO9E, Umiat Meridian (U.M.)', advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on the above dates and Proposed Productive Interval Interc from east. 250'.from the south line.and 3005' from the east that such newspaper was regularly distributed to its subscribers -line of Section 31, T14N,RO9E, U.M. -- during all of said period. That the full amount of the fee charged - Proposed - Bottom -hole Location: 47' from -the for the foregoing publication is not in excess of the rate charged south line from - the east line of Section 25, T14N, ROBE, U.M, private individuals. The public hearing currently scheduled -tor November - 17,-2011 at 9:00 am has been VACATED. - and-tentatively rescheduled for December 6, 2011 - at 9:00. am at the.AlaskaO,il and _Gas - Conservation Commission, at 333 -West 7thAvehue,Suite 100„ Signed �` A.�-� Anchorage, Alaska "995D1'TO request that the gn tentatively scheduled hearing be held, a written - request must -be filed with the no later than 4:30 p.tlm: bn November 21 - - Subscribed and sworn to me before this date: If a. request for - a' hearing - is not timely.filed, the • 2_0 ay AOGCC m consider the issu ord ance of an order without a may c lea a if the AOGCC n r / the hearing, cal 793 =.1221 after November 23, 201-1: In addition,.written comments regarding this application may be submitted to the Alaska Oil and- ' - Gas Conservation Commission, at 333 west 7tW . Notary Public in and for the State of Alaska. Avenue, strite100, Anchnfage; Alaska 9950;1`: Comments must -be received no later than 4:30 p.m. on December 5; 2011; except that, if-a hearing - it - Third Division. Anchorage, Alaska - held, comments must be received ne later than the conclusion of the December 6, 2011-hearing. .MY COMMISSION EXPIRES: ' I F (/0 /� /5 _ If, because of. a disability, special accommodations A may be needed to comment or attend the hearing, contact the Special Assistant, Jody Colombie, at 793 - 12 no than November 29,: _,,, 4 A, ..../L.... .. � i� • 2011. . Daniel T. Searrount, Jr. ayap ^qs - Chair; Commissioner A. . �. , :.;'+' -,- . ' A0 -02114010 - . :'' .- = Published: November 4, 2011 • r j`; i • STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED AO-02214010 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF G ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7 Avenue. Suite 100 Jodv Colombie November 1. 2011 ° Anchorage_ AK 99501 PHONE PCN M (9071 793 -1221 DATES ADVERTISEMENT REQUIRED: o Anchorage Daily News November 4, 2011 PO Box 149001 Anchorage, AK 99514 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Account # STOF0330 AFFIDAVIT OF PUBLICATION United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he /she is the 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 consecutive days, the last 2010, and thereafter for y , publication p appearing on the day of , 2010, 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 2010, Notary public for state of My commission expires i • Colombie, Jody J (DOA) From: Davies, Stephen F (DOA) Sent: Wednesday, November 02, 2011 4:16 PM To: Province Robert Cc: Colombie, Jody J (DOA) Subject: RE: Eni's Amended well spacing exception request. Robert, A new or amended application for spacing exception requires a new public notice and will reset the clock for the process. Please submit a written request to withdraw the original application for spacing exception, and then prepare and submit a new application for spacing exception based on the revised well trajectory. This new application must follow all of the provisions of 20 AAC 25.055(d). Regards, Steve Davies Sr. Petroleum Geologist Alaska Oil and Gas Conservation Commission ( AOGCC) Steve's phone: 907- 793 -1224 AOGCC's receptionist: 907 - 793 -1223 AOGCC's fax: 907 - 276 -7542 AOGCC's website: http://doa.alaska.gov/ogc Original Message From: Province Robert fmailto: Robert .ProvincePenipetroleum.coml Sent: Wednesday, November 02, 2011 11:29 AM To: Davies, Stephen F (DOA) Subject: Eni's Amended well spacing exception request. Steve: Regarding eni's amended spacing exception request. Should eni's letter essentially stand on its own as a spacing exception for 250' from the lease line or will it be an addendum with just the facts of new location and impact on recoverable reserves. I have edited eni's original letter as though eni is refiling, but with some reference to the original application at 100' and our agreement with CPAI. Should the letter be simplified and just supply information on the critical necessary information. Please let me know how the AOGCC would like eni to handle this change as a result of CPAI withdrawing their objection to eni's spacing exception request now that the distance is 250 feet. Thank you. Robert Province Land Manager - Alaska eni petroleum cel 907 947 -3793 Sent from my Blackberry 1 4 Message for the recipient only, if received in error, please notify the sende r a nd read http: / /www.eni.it /disclaimer/ This message may contain information that is confidential, and is being sent exclusively to the Recipient. If you are not the designated Recipient, you are prohibited from utilizing, copying or divulging the information contained in this message,or taking any action whatsoever on the basis of the information herein. If you have received this message by mistake, we ask you to kindly inform the Sender and to delete the message. It is understood that, with regard to messages sent by its network, the Company is not responsible for any statements made or opinions expressed, that are not strictly related to the Company's operations. I I 2 • • 3800 Centerpoint Drive. Suite 300 ECE I \/E>A.1' Anchorage, Alaska 99503 NOV en Phone (907) 865 -3300 2 ?Mr U petr : Ieum Alaska Oii & Gas Cons. Commission Anchorage November 2, 2011 Mr. Daniel T. Seamount Jr. Alaska Oil & Gas Conservation Commission 333 West 7 Avenue, Suite 100 Anchorage, AK 99501 Re: Amended Well Spacing Exception Nikaitchuq Unit — Well 0124 -08 North Slope, Alaska ADL 391283 Dear Mr. Seamount: Reference is made to Eni US Operating Company's (eni) letter dated September 26, 2011, requesting the Alaska Oil and Gas Conservation Commission (AOGCC) to issue an order for an exception to the spacing requirements from the standard 500 -foot setback to a 100 -foot setback from the property line. After the AOGCC's amended 30 -day Notice of Public Hearing was published, eni was advised by ConocoPhillips Alaska, Inc. (CPAI) of its objections to the spacing exception, as it may have impact on future Kuparuk River unit drilling in that area. As a result of CPAI's concerns for the spacing exception, eni held subsequent discussions with CPAI and has mutually agreed to move the requested well location from 100 feet back to 250 feet from the lease line (see attached map). CPAI has sent a letter notifying the AOGCC that it will not object to a spacing exception for this well at a distance of 250 feet from the lease line. The improved recovery is less at a 250 -foot offset; most of the benefit can be realized at the new proposed spacing exception. Below is the new well location coordinates with the amended heel location. Also attached are the revised PowerPoint slides to replace the PowerPoint slides found in eni's letter dated September 26, 2011. -1- • • The amended coordinates for well 0124 -08 are as follows: Surface Location: 3126 FSL, 1711 FEL, T13N RO9E Sec.5, UM Top of Shrader -Bluff Interval, Proposed: 250 FSL, 3005 FEL, T14N RO9E Sec.31,UM; 47 FSL, 4017 FEL, T14N RO8E Sec.25,UM Bottom Hole, Proposed: 47 FSL, 4017 FEL, T14N RO8E Sec.25, UM The benefit of the a well at a location of 250 feet from the lease line would be the improved recovery of approximately 280 kSTB over 10 years, and 680 kSTB over 20 years. Without this spacing exception, the area would be unsupported. There are no other wells to be drilled in the area and this would result in waste amounting to as much as 800 kSTB. The impact on adjacent leases would be a minimal increase in reservoir pressure along the lease line. Any pressure increase would be limited, due to the nature of the cold reservoir temperature and heavy oil. Moreover, there is also an east - west sealing fault that is 1,000 feet south of the proposed heel location. The throw of the fault in the vicinity of the proposed heel location is greater than the Schrader Bluff OA reservoir thickness. Eni respectfully requests AOGCC to accept this letter as an addendum to the original well spacing exception letter dated September 26, 2011. Should you have any questions or need additional information, please contact me. Sincerely, e9,e/ Robert A. Province Land Manager - Alaska Attachments: Map PowerPoint Slides 2 enn us operating 0124-08 Spacing Exception Addendum 11/2/11 • 0124 -08 Well Plan with Heel 105' North of South Lease Line 0124 -08 Spacing Exception Map 500000 501000 502000 503000 504000 505000 503000 507000 =000 509000 510000 511000 512000 513700 514000 515030 510000 517000 518000 519000 570000 521000 g Sec. 25 T14N R8E UM Sec. 30 T14N R9E UM Sec. 29 T14N R9E UM Sec. 28 T14N R9 ■ II In 1 CO i J 0124 -08 (P9] J �a° i a 1 : i Sec. 36 T14N R8E UM Sec. 31 T14N R9E UM Sec. 32 T14N R9E UM Sec. 33 T14N R9 9 5/8" i 9.675" Casing Coordinates: . R Legal: 250 FSL 3005 FEL S31 T14N RO9E UM g ASP Zone 4: Northing — 6038870.9' Easting — 509983.3' Sec. 1 T13N R8E UM Sec. 6 T13N R9E UM Sec. 5 T13N R9E UM Sec. 4 T13N R3 r ................ 500000 501000 5=00 501030 501000 505000 sae= 507000 508000 509000 510000 511000 512000 513000 514000 515000 513000 517000 518000 519000 571000 521000 I Schrader Bluff OA Development 0 , ,,o 1300 150 2000 ? Si preNie Date Kaska Development Tear,' 11/07/2011 1185:0 ( / p Attachment 1 cn ussoper arms / 195 I l* a 1 e n ii Oliktok Point Well Development Nikaitchuq: OP Development 498000 500000 502000 504000 SC0 20 509000 510000 512000 514000 516000 518000 520000 522000 524002 \ \ \ , , • P695 \. N. \ N. \ \ `'\ \•\ , Li - r '\ \ \ ,\ , \ N. • .SISE6 \ L. Kigun '\ '\ � \ \ \ \ N N \ ,,\ N ``\ `\ ,\ ` \` SPSES N `\ `'\ `\ ,,\ '\ \ SISE6 '.. \ 011554 [PS] '`\ \ \ ,\ \ SPSE3 N 0 q , P10 -0� N N , ,` \\ `\ \'` SISE2 OP- 1IA -IOS [PS] \ \ \ OP08 -06 1 P N `' -07 '�SE1 0106 -0S[ P9] \ % ' • -P05 Ili, O 17 -02 OP18 -08 ine OP12 \ . - P8] OP-12 • 0P16 iner 0111-0 0120 -07 [P11] . 1 . -WW .. L1 ` \ Fau 11 6. OP2 WW01 [P2] 1 hiii. „ hikvi kik, OP 41 i 7iiiiiimmilliftwipr Fault 2 Ill 11 498000 500000 502000 504000 509000 509000 510000 512000 514000 518000 518000 520000 522000 524000 1 Schrader Bluff OA development 9 7 000 2 00° 300° 90°° 5 0°°" Signature Date 1'.22500 Alaska Day Team 13/09/2011 t il * reaps Attachment 2 eni us operating n . 2f10 3 Schrader Bluff OA Top Structure Schrader Bluff OA Top Structure 533000 500000 5)1000 502000 508000 504000 505050 S(80X 5(1000 510000 503000 610000 511000 512706 5')055 5'5000 0101100 518000 $17000 518000 519003 520390 621000 522X0 �i , mil ` \�� j ADL391283 \ ��- `� . -� - 4 _i _ J tee. \ T ...._, . tee.\0 Till \. See.29 7 l IV)1 U � � I -� \ \...... \/1 i / _ \ ... . I i ''',,,,,,, g.) .. • c ,,...., ,...„)• `, V "� - �� t / • • ,`' ` tK. .... T14N . �� 1 TR9l VIII - \ '�_ Bee. 37 TUN RfL IM e g -0 .11114111 Fault 2 � �.._ ` � ` � \ ` '' �\ \ - -^ `� -- Sec T13AI Fi9E UM \ \' \ - - ", \` T ` `\ `. � . .4 � JM C \ \� S4A0'1l imam S17fNk1 Sfl2(YYI 5ft2'YY1 'O1fYM1 5050f0 •-••_� •••• •�• � •• �• �• �••••' • •� •'•• •�•, •' � •� '•• VY11N S f7fM 5llffllfl S OKf19 57f0M 511M9 51XYn 51:JYY 5 16f1fn 51511M 5781Y70 517fYf1 S181KIf 51Vf1(I'1 SlIYM111 6?7f1M S ?JNIt 'Schrader Bluff OA Development I a sm ac 1510 Moo 2908 .,oa p arm... Y • f al5ka nev. Tram 70 200,10 ark oa.ari(r (} � Attachment 3 cn us oper ng • en 11 4 Pressure map at Jan 1, 2016 with 0I24 -08 at Regular Spacing \ \ \ . N Fault 1 S \ N 11 \ ' N N \e"*11 \ emigniiimimmilisimiab___..11164 v • s o* Attachment 4 cnfi us op &rrAns lCIIIIo 5 Pressure map at Jan 1, 2016 with 0I24 -08 at Previously Requested Spacing (100' from the Lease Line) FloV .. • Fault 1 • ^_473.0 A ttac ment ens us opera ling • en d Pressure map at Jan 1, 2017 with 0124 -08 at Requested Spacing (250' from the Lease Line) low *%464.\ • Fault N. \ • Attachment 6 cnn us operating eni 7 Improved Waterflood Response Due to Requested Spacing Exception OP17 -02 Response to 0119 -08 Injection 2,400 12,000 - 0P17 -02 OP17 -02 Rate at 250' from leaseline 2,200 0P17 -02 Rate Rate at 100' from leaseline 11,000 - OP17 -02 Cum 2,000 OP17 -02 Cum at 250' from leaseline 0P17 -02 Cum at 100' from leseline 10,000 1,800 9,000 4 110 1 1,600 i �_ - ' � 8,000 r IIll� >��_ /i 7,000 to 1,400 . IMMII-�.- 6 000 O 1 1 -200 L I VA \! %� �� 5 000 ro .--, 1,000 _ I kyi % ' - 4,000 u 7 800 60 I n1 li i 0 Jan -11 Jan - 13 Jan -15 Jan -17 Jan -19 Jan -21 Jan -23 Jan -25 Jan -27 Jan -29 Jan -31 ''" Attachment 7 exploration & production • en 11 8 Benefit of Spacing Exception to 250' from the Lease Line Prevention of Waste • A previously unmapped North /South fault circled in red in slide 3 was encountered in two wells (0P17 -02 and OP18 -08). This fault has a throw greater than the thickness of the Schrader Bluff OA reservoir and is likely sealing. Pressure map at 5 years of production shows that the heel section of OP17 -02 is not adequately supported by the yet to be drilled 0I24 -08 at a standard offset from the lease line 4 of 500' shown in slide 4. .; At the requested spacing exception of landing the 0I24 -08 250' from the lease line allows for proper pressure and waterflood support of the heel of OP17 -02 shown in slide 5 • Benefit of Improved waterflood pattern with the 0I24 -08 250' from the lease line will be improved recovery. - 10 year difference in Cumulative Field Production - 280 kSTB 20 year difference in Cumulative Field Production - 680 kSTB The incremental roduction resulting from an approved spacing exception 250' from the lease p 9 pP P 9 line would not otherwise be produced. The impact on the adjacent lease would be minimal resulting in a slight pressure increase along the lease line. • Because of the east /west fault running south and parallel to the lease line in this area and its distance from other offset operator development, it is unlikely that this area would ever be developed in the Schrader Bluff OA sand. Without the spacing exception allowing Eni to drill the 0I24 -08 injection well 100' off of the lease line, waste of the Schrader Bluff OA resource would occur of up to 800 million STB. exploration & production iy ` <z to d'- i n• Y , - J '€" < " . '.^ ;� .. a e,a ::c , - 4 ' • :. +�,w * °;r. a'.. =+sir t;', ,..r a.: ..�� . .;f:; :S.,,: ":.' «„�a ..y 3 .`.r. ," �'S'•. •t��x.., .i u ,. ,,. ,�� r.... s.•., .. ,.> _: �*'. AT .,.' ^ ,:•s:• •f'a. sR,"' ukcffi* 'v'' , ,d =„. ,. 3i•��., a ..., ; ,: a w . c �j +�= x� iq:S" : s: • ; 't � ::', �'�• ax. ♦ar..; Y y ......�, , 5,. - �:� w -� `, ;�. . z ;, • �;. . �$`ve�'• ''k, * � a'. �r .'k.n: ,�y2� .� �, i . ��d,<�ro:S _ry.;i»�':`ds��.u.�u, � . t§".n: '} 1' i, i ''t ry` ' {� • ' -c xg ?, b > w:Y 4 ". . • ..- ...ce, �� ... rs"4r�•':��.`,�. �, .. .,•t .,<�r �K.cn .,. ... ��.T ... : • ^.: -+�' ._.., - ., .�n�:e, �`� t��- , `I ., iw �:; •, • 0124 -08 Spacing Exception Map 500000 501000 502000 503000 504000 505000 506000 507000 508000 509000 510000 511000 512000 513000 514000 515000 516000 517000 518000 519000 520000 521000 � <<<� I 1Ji�..l I .. „ I I._..I ..I....I „ 11..I .. I...a�a.i. �,� . .._,I.i.l..f.•I..I..f„ .I ...l...ly1 �I„ I.I.I. .l.I . .1. � .., , 1 L.1 1 � J ADL391283 • Sec. 25 T14N R8E UM Sec. 30 T14N R9E UM 1 Sec. 29 T14N R9E UM Sec. 28 T14N R9- t` s co in ' 1 CO _E 7 Co 0 0 _$ I CO 1 0 0 o J 0124 -08 [P9] 1 J J o, 1 ► C 0 _ Q Q Q 1 . a I ■ A I R - S ec. 36 T14N R8E UM Sec. 31 T14N R9E UM ! Sec. 32 T14N R9E UM Sec. 33 T14N R9 ___. 1 ' 1__ , , :§ 7:i 1_:- 9 5/8" i = 8 V p M - CO _-- _ O O - O I 8= Sec. 1 T13N R8E UM Sec. 6 T13N R9E UM Sec. 5 T13N R9E UM Sec. 4 T13N Ra-g 500000 501000 502000 503000 504000 505000 506000 507000 508000 509000 510000 511000 512000 513000 514000 515000 516000 517000 518000 519000 520000 521000 1 Schrader Bluff OA Development 0 500 1000 1500 2000 25008 Signature Date Alaska Development Team 111/02/2011 1:18500 - -- PETREL iv • • • • 3800 Centerpoint Drive. Suite 300 Anchorage, Alaska 99503 • Phone (907) 865 -3300 petroleum NOV 032011 November 3, 2011 Aeskn Oil & Ges Govt Ga�OA An0ttn4q Mr. Daniel T. Seamount Jr. Alaska Oil & Gas Conservation Commission 333 West 7 Avenue, Suite 100 Anchorage, AK 99501 Re: Amended Well Spacing Exception Nikaitchuq Unit — Well 0124 -08 North Slope, Alaska ADL 391283 Dear Mr. Seamount: Reference is made to Eni US Operating Company's (eni) letter dated November 2, 2011, requesting the Alaska Oil and Gas Conservation Commission (AOGCC) to amend eni's original well spacing exception application dated September 26, 2011. As part of eni's letter dated November 2 letter and in accordance with the provisions of 20 ACC 25.055 enclosed please find the following: • a notification list of parties entitled to notice of this application • a copy notice sent by certified mail • an affidavit by Land Department If you have any questions or need additional information please contact me at your earliest convenience. Sincerely, Robert A. Province Land Manager — Alaska Attachments: list of parties /copy of sent certified mail affidavit - 1 - . • Affidavit I am acquainted with the facts and can verify that the facts listed in this spacing exception request are true and that the enclosed plat correctly portrays pertinent and required data. BRUNT H. WARRICK Notary Public, State of Alaska State of Alaska Commission # 117920 My Commission Expires District December 01, 2014 Subscribed and Sworn before me, a Notary Public, in and for the State of Alaska, on the,3na/ day of November 2011, Robert A. Province personally appeared before me and signed this above. e- (C) )6 n ( 'S? ' ' 2 SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. ❑ Agent • Print your name and address on the reverse X ❑ Addressee SO that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery ' • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes 1. Article Addressed to: If YES, enter delivery address below: ❑ No • Department of the Air Force Ms. Catherine Moody 611 CES/ CERR 20th St., Ste 302 3. Service Type Elmendorf AFB, Alaska 99506 ❑ Certified Mail ❑ Express Mail � ❑ Registered ❑Return Receipt for Merchandise ❑ Insured Mail ❑ C.O.D. 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number - (Transferfromservicelabeq 7011 1150 0000 1563 8164 PS Form 3811, February 2004 Domestic Retum Receipt 102595 -02 -M -1540 SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. ❑ Agent • Print your name and address on the reverse X ❑ Addressee so that we can return the card to you. B. Received by ( Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes 1. Article Addressed to: If YES, enter delivery address below: ❑ No Mr. Gary Cameron Shell Exploration and Production Co, AK 3601 C Street, Suite 1000 3rvice lYpe Anchorage, AK 99503 1 Certified Mail ❑ Express Mail Registered ❑ Return Receipt for Merchandise Insured Mall ❑ C.O.D. 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number 7011 1150 0000 1563 8188 (Transfer from service IabeO PS Form 3811, February 2004 Domestic Return Receipt 102595 -02 -M -1540 SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. X ❑ Agent • Print your name and address on the reverse ❑ Addressee so that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes 1. Article Addressed to: If YES, enter delivery address below: ❑ No • Mr. Andy Bachner Bachner Oil and Gas 542 4th Avenue, Suite 300 3. Service Type Fairhankc Alacica CPAR7 ❑ Certified Mail ❑ Express Mail • • SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. ❑ Agent • Print your name and address on the reverse x ❑ Addressee so that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes 1. Article Addressed to: if YES, enter delivery address below: ❑ No Mr. W.C.Barron, Director Alaska Department of Natural Res ■ Division of Oil and Gas ' 550 West 7th Avenue, Suite 800 3. Service Type ❑ Certified Mail ❑ Express Mail Anchorage, AK 99501 ❑ Registered ❑ Return Receipt for Merchandise ❑ Insured Mail ❑ C.O.D. • 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number 7 011 1150 0000 15 6 3 8171 (Transfer from service Iabei PS Form 3811, February 2004 Domestic Return Receipt 102595 -02 -M -1540 • jl SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. X ❑ Agent • Print your name and address on the reverse ❑ Addressee so that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to: D. Is delivery address different from item 1? 0 Yes If YES, enter delivery address below: ❑ No • Mr. Keith Forsgren P.O. Box 870529 3. Service Type Wasilla, Alaska 99687 ❑ Certified Mail 0 Express Mail ❑ Registered ❑ Return Receipt for Merchandise ❑ Insured Mail ❑ C.O.D. 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number 7 011 1150 0000 15 6 3 8140 _ (Transfer from service laben PS Form 3811, February 2004 Domestic Return Receipt 102595 -02 -M -1540 SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. X ❑ Agent • Print your name and address on the reverse ❑ Addressee so that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes 1. Article Addressed to: If YES, enter delivery address below: ❑ No Ms. Julie Little ConocoPhillips Alaska, Inc. 700 G Street, Suite 100 Satvira Tuna • • SENDER: COMPLETE THIS SECTION COMPLETE THIS SECTION ON DELIVERY • Complete items 1, 2, and 3. Also complete A. Signature item 4 if Restricted Delivery is desired. X ❑ Agent • Print your name and address on the reverse ❑ Addressee so that we can return the card to you. B. Received by (Printed Name) C. Date of Delivery • Attach this card to the back of the mailpiece, or on the front if space permits. D. Is delivery address different from item 1? ❑ Yes , 1. Article Addressed to: If YES, enter delivery address below: 0 No • Mr. Ed Kerr 70 &148,LLC 1421 Blake Street 3. Service Type ❑ Certified Mail ❑ Express Mail Denver, Colorado 80202 ❑ Registered ❑ Return Receipt for Merchandise ❑ Insured Mail ❑ C.O.D. 4. Restricted Delivery? (Extra Fee) ❑ Yes 2. Article Number 7011 1150 0000 1563 8195 (Transfer from service label) PS Form 3811, February 2004 Domestic Retum Receipt 102595 -02 -M -1540 c) P Ock J. Wolfe Manager, North Slope Development ConocoPhil li s Post Office Box 100360 Anchorage, Alaska 99510 ATO -1226 telephone 907.265.6202 Patrick .J.Wolfe ©conocophillips.com November 1, 2011 Mr. Daniel T. Seamount, Jr. Chair, Alaska Oil & Gas Conservation Commission NMI r ' U 333 W. 7th Ave., Ste. 100 Anchorage, AK 99501 Alaska Oil & Gat Cans. C mmission Re: Request for Spacing Exception, Docket # CO -11 -36 Dear Mr. Seamount: ConocoPhillips Alaska, Inc., ( "CPAI ") as operator of the Kuparuk River Unit, received the Amended Notice of Public Hearing on Docket # CO -11 -36 published by the Alaska Oil and Gas Conservation Commission ( "AOGCC ") relating to the application submitted by Eni US Operating Company ( "Eni ") for a spacing exception for the drilling of a Nikaitchuq Unit water injection well within 500 feet of a property line. Eni proposed a production interval intercept location 105 feet from the Nikaitchuq Unit boundary with the Kuparuk River Unit. The AOGCC tentatively set a public hearing for November 17, 2011. CPAI considered Eni's request and advised Eni of its objections to the spacing exception and the potential impacts Eni's proposed well plan could have on any future Kuparuk River Unit drilling activity in that area. CPAI and Eni recently met to discuss this issue and to look for mutually acceptable alternatives. Both companies agreed that it would be acceptable for Eni to locate the production interval intercept for the Nikaitchuq 0124 -08 water injection well a distance of 250 feet from the boundary with the Kuparuk River Unit. CPAI has no objections to a spacing exception for a water injection well within 250 feet of the boundary with the Kuparuk River Unit. CPAI understands that Eni will now submit a new or amended application for a spacing exception that reflects the agreed upon distance of 250 feet from the Kuparuk River Unit boundary. CPAI also understands that any new application for a spacing exception will be publicly noticed. If that understanding conflicts with the actual status of this matter, I would be please to hear from the AOGCC. Yours truly, * Patrick J. Wolfe NS Development Manager cc: Robert Province, Eni US Operating Company N STATE OF ALASKA • NOTICE TO PUBLISHER • ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED /�O_02214006 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF A ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. October 6, 2011 R 333 W 7th Ave, Ste 100 Jody Colombie ° Anchorage, AK 99501 PHONE PCN M (9071 793 —1221 DATES ADVERTISEMENT REQUIRED: T Alaska Journal of Commerce ASAP 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement 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 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST LIQ 1 12 02140100 73451 2 REQUISITIONED B t DIVISION APPROVAL: i, itfrit-- 02 (Rev. 3/94) Publisher /Original Copies: Department Fiscal, Department, Receiving AO.FRM I • • Amended Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket # CO- 11 -36. The application of Eni US Operating Company for an exception to the spacing requirements of 20 AAC 25.055, for the drilling of a water injection well within 500 feet of a property line where ownership or landownership changes. Eni US Operating Company, by a letter received September 26, 2011, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to drill the Nikaitchuq 0124 -08 water injection well in the Nikaitchuq Unit within 500 feet of a property line where ownership or landownership changes. The proposed surface and bottom -hole locations of the well are as follows: Nikaitchuq 0124 -08 Surface Location: 3126' from the south line and 1711' from the east line of Section 5, T13N, RO9E, Umiat Meridian (U.M.). Proposed Productive Interval Intercept Location: 105' from the south line and 2865' from the east line of Section 31, T14N, RO9E, U.M. Proposed Bottom -hole Location: 47' from the south line and 4017' from the east line of Section 25, T14N, RO8E, U.M. The hearing currently scheduled for November 15, 2011 at 9:00am has been VACATED and rescheduled for November 17, 2011 at 9:00 am at the Alaska Oil and Gas Conservation Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on November 1, 2011. If a request for a hearing is not timely filed, the AOGCC may consider the issuance of an order without a hearing. To learn if the AOGCC will hold the hearing, call 793 -1221 after November 4, 2011. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on November 16, 2011, except that, if a hearing is held, comments must be received no later than the conclusion of the November 17, 2011 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the AOGCC's Special Assistant, Jody Colombie, at 793 -1221, no later than November 15, 2011. 4 Daniel T. Se. mount, Jr. Chair, Commissioner ALASKA Journal g f Commerce Alaska Oil & Gas Conservation Commission Public Notices FILE NO: AO- 02214006 Ad #: 10156010 Nikaitchuq Amended AO- 02214006 AFFIDAVIT OF PUBLICATION UNITED STATES OF AMERICA, STATE OF ATTACH PROOF OF PUBLICATION HERE ALASKA, THIRD DISTRICT BEFORE ME, THE Amended Notice of Public UNDERSIGNED, A NOTARY PUBLIC THIS Hearing DAY PERSONALLY APPEARED Tracy Allison WHO, BEING FIRST DULY SWORN, STATE OF ALASKA Alaska Oil and Gas Conservation ACCORDING TO THE LAW, SAYS THAT HE IS Commission THE Accounting Manager OF THE ALASKA JOURNAL OF COMMERCE PUBLISHED AT 301 d o Docket # Operating for The applior tion of Eni US Operating Company f ARTIC SLOPE AVENUE, SUITE 350, IN SAID an exception to the spacing require - THIRD DISTRICT AND STATE OF ALASKA ments of 20 AAC 25.055, for the AND THAT ADVERTISEMENT, OF WHICH THE drilling of oa property injection l well within 500 feet of a property lin where e own - ANNEXED IS A TRUE COPY, WHICH WAS ership or landownership changes. PUBLISHED IN SAID PUBLICATION Eni US Operating Company, by a letter received September 26, 2011, requests the Alaska Oil and Gas 10/16/2011 Conservation Commission (AOGCC) 16th DAY OF OCTOBER 2011 issue an order for an exception to the spacing requirements of 20 AAC AND THERE AFTER FOR 1 25.055 to drill the Nikaitchuq 0124 -08 water injection well in the Nikaitchuq CONSECUTIVE WEEK(S) AND THE Unit within 500 feet of a property line LAST PUBLICATION APPEARING ON where ownership or landownership changes. The proposed surface and 10/16/2011 bottom -hole locations of the well are 16th DAY OF OCTOBER 2011 as follows: Nikaitchuq 0124 -08 • Surface Location: 3126' from the A I south and from the east line ! of f Section T13 5, T13N, RO9E, Umiat Meridian (U.M.). Proposed Productive Interval Tracy Allison Intercept Location: 105' from the Accounting Manager south line and 2865' from the east line SUBSCRIBED of Section 31, T14N, RO9E, U.M. UBSCRIBED AND SWORN BEFORE ME Proposed Bottom -hole Location: 47' THIS 17th DAY OF October 2011 from the south line and 4017' from the east line of Section 25, T14N, RO8E, U.M. The hearing currently scheduled for cY� November 15, 2011 at 9:OOam has been VACATED and rescheduled for NOTARY PUBLIC STATE OF ALASKA November 17, 2011 at 9:00 am at the MY C • kL �l • .. . • - <. = Alaska Oil and Gas Conservation NOTARY PUBLIC Commission, at 333 West 7th Avenue, Suite 100, Anchorage, Alaska 99501. i To request that the tentatively sched- uled hearing be held, a written request STATE OF ALASKA, must be filed with the AOGCC no later My Commission Expires . • 14, 2x01 2 than 4:30 p.m. on November 1, 2011. 1 ,, k wgr °wr° Nr "Y' ". 9 ' * ?ta , hearing is not timely i ' Izqudst fun4C may consider the tiled, the Ant;;, • • STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED /� O_02214006 AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF /1 ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7 Avenue. Suite 100 Jody Colombie October 6. 2011 ° Anchorage. AK 99501 PHONE PCN M (9071 793 -1221 DATES ADVERTISEMENT REQUIRED: Alaska Journal of Commerce ASAP 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he /she is the 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 2011, and thereafter for consecutive days, the last publication appearing on the day of , 2011, 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 2011, Notary public for state of My commission expires • • Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wedman Hodgden Oil Company NRG Associates Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K &K Recycling Inc. Land Department 795 E. 94 Ct. P.O. Box 58055 P.O. Box 93330 Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 \ )3\ N6` # • Fisher, Samantha J (DOA) From: Fisher, Samantha J (DOA) Sent: Thursday, October 06, 2011 9:51 AM To: '( michael .j.nelson @conocophillips.com)'; '(Von.L .Hutchins @conocophillips.com)'; 'AKDCWelllntegrityCoordinator; 'Alan Dennis'; 'alaska @petrocalc.com'; 'Anna Raff; 'Barbara F Fullmer; 'bbritch'; 'Becky Bohrer; 'Bill Penrose'; 'Bill Walker'; 'Bowen Roberts'; 'Brandon Gagnon'; ' Brandow, Cande (ASRC Energy Services)'; 'Brian Havelock'; 'Bruce Webb'; 'caunderwood'; 'Chris Gay'; 'Claire Caldes'; 'Cliff Posey; 'Crandall, Krissell'; 'D Lawrence'; 'dapa'; 'Daryl J. Kleppin'; 'Dave Harbour; 'Dave Matthews'; 'David Boelens'; 'David House'; 'David Scott'; 'David Steingreaber; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; 'Elizabeth Bluemink'; 'Elowe, Kristin'; 'Erika Denman'; 'eyancy'; 'Francis S. Sommer'; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Schultz (gary.schultz @alaska.gov)'; 'ghammons'; 'Gordon Pospisil'; 'Gorney, David L.'; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; 'gspfoff; 'Jdarlington (jarlington @gmail.com)'; 'Jeanne McPherren'; 'Jeff Jones'; 'Jeffery B. Jones (jeff.jones @alaska.gov)'; 'Jerry McCutcheon'; 'Jill Womack'; 'Jim White'; 'Jim Winegarner; 'Joe Nicks'; 'John Garing'; 'John Katz (john.katz @alaska.gov)'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'Jon Goltz'; Jones, Jeffrey L (GOV); 'Judy Stanek'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; 'Kelly Sperback'; 'Kim Cunningham'; 'Larry Ostrovsky'; 'Laura Silliphant (laura.gregersen @alaska.gov); 'Marc Kovak'; 'Mark Dalton'; 'Mark Hanley (mark.hanley @anadarko.com)'; 'Mark P. Worcester; 'Marguerite kremer (meg.kremer @ataska.gov)'; 'Michael Dammeyer'; 'Michael Jacobs'; 'Mike Bill'; 'Mike Mason'; 'Mike! Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'nelson'; 'Nick W. Glover'; 'NSK Problem Well Supv'; 'Patty Alfaro'; 'Paul Decker (paul.decker @ataska.gov)'; 'Paul Figel'; 'Randall Kanady'; 'Randy L. Skillern'; 'Rena Delbridge'; 'Renan Yanish'; 'rob.g.dragnich @exxonmobil.com; 'Robert Brelsford'; 'Robert Campbell'; 'Rudy Brueggeman'; 'Ryan Tunseth'; 'Scott Cranswick'; 'Scott Griffith'; 'Shannon Donnelly'; 'Sharmaine Copeland'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); 'Sondra Stewman'; 'Steve Lambert; 'Steve Moothart (steve.moothart @alaska.gov)'; 'Steven R. Rossberg'; 'Suzanne Gibson'; 'tablerk'; 'Tamera Sheffield'; Taylor, Cammy 0 (DNR); 'Temple Davidson'; 'Teresa Imm'; 'Terrie Hubble'; 'Thor Cutler'; 'Tim Mayers'; 'Tina Grovier; 'Todd Durkee'; 'Tony Hopfinger'; 'trmjr1; 'Vicki Irwin'; 'Walter Featherly'; 'Will Chinn'; Williamson, Mary J (DNR); 'Yereth Rosen'; 'Aaron Gluzman'; 'Ben Greene'; Bruno, Jeff J (PCO); 'Casey Sullivan'; 'Dale Hoffman'; 'David Lenig'; 'Donna Vukich'; 'Eric Lidji'; 'Gary Orr'; 'Graham Smith'; Heusser, Heather A (DNR); 'Jason Bergerson'; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lara Coates'; 'Lois Epstein'; 'Marc Kuck'; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; 'Maurizio Grandi'; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; 'Peter Contreras'; 'Richard Garrard'; 'Ryan Daniel'; 'Sandra Lemke'; 'Talib Syed'; 'Ted Rockwell'; 'Wayne Wooster'; 'Wendy Wollf; 'William Van Dyke'; Ballantine, Tab A (LAW); Bender, Makana K (DOA); 'Brooks, Phoebe L (DOA) (phoebe. brooks @alaska.gov)'; 'Cotombie, Jody J ( DOA) (jody.colombie @alaska.gov)'; 'Crisp, John H (DOA) (john.crisp @alaska.gov)'; 'Davies, Stephen F (DOA) (steve.davies @alaska.gov)'; 'Foerster, Catherine P (DOA) (cathy.foerster @alaska.gov)'; 'Grimaldi, Louis R (DOA) (lou.grimatdi @alaska.gov); Herrera, Matt F (DOA); 'Johnson, Elaine M (DOA) (elaine.johnson @alaska.gov)'; 'Laasch, Linda K (DOA) (linda.laasch @ataska.gov)'; 'Maunder, Thomas E (DOA) (tom.maunder @alaska.gov)'; 'McIver, Bren (DOA) (bren.mciver @alaska.gov)'; 'McMains, Stephen E (DOA) (steve.mcmains @ataska.gov)'; Mumm, Joseph (DOA sponsored); 'Noble, Robert C (DOA) (bob.noble @alaska.gov)'; 'Norman, John K (DOA) (john.norman @alaska.gov)'; 'Okland, Howard D (DOA) (howard.okland @alaska.gov); 'Patadijczuk, Tracie L (DOA) ( tracie .paladijczuk @alaska.gov)'; 'Pasqua!, Maria (DOA) (maria.pasqual @ataska.gov); 'Regg, James B (DOA) (jim.regg @alaska.gov)'; 'Roby, David S (DOA) (dave.roby @ataska.gov)'; 'Saltmarsh, Arthur C (DOA) (art.saltmarsh @alaska.gov)'; 'Scheve, Charles M (DOA) (chuck.scheve @alaska.gov)'; 'Schwartz, Guy L (DOA) (guy.schwartz @alaska.gov)'; 'Seamount, Dan T (DOA) (dan.seamount @alaska.gov)' Subject: Amended Nikaitchuq 0124 -08 Spacing Exception Hearing Notice Attachments: Amended Nikaitchuq 0124 -08 Spacing Exception Public Notice.pdf Samantha Fisher, Executive Secretary II 1 . • STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE RPLAWI ADVERTISING O., ERTIFIED AO- 02214005 AIAVIT MUST OF PUBLICATION IC (PARTE T 2 SHO OF TH IS D FORM) WITH ATTACHED RDER NO C COPY OF ORDER ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. September 29, 2011 R 333 W 7th Ave, Ste 100 Jody Colombie ° Anchorage, AK 99501 PHONE PCN M (9071 793 —1221 DATES ADVERTISEMENT REQUIRED: T Alaska Journal of Commerce ASAP 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: Type of Advertisement SEE ATTACHED SEND INVOICE IN TRIPUCATE 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 FIN AMOUNT SY CC PGM LC ACCT FY NMR DIST Litt 1 12 02140100 73451 2 REQUISI NE BY: DIVISION APPROVAL: Lt 4 02 - 902 (Rev 3/ ) Publisher /Original Copies: Department Fiscal, Department, Receiving ......... _ • • Notice of Public Hearing STATE OF ALASKA Alaska Oil and Gas Conservation Commission Re: Docket # CO- 11 -36. The application of Eni US Operating Company for an exception to the spacing requirements of 20 AAC 25.055, for the drilling of a water injection well within 3000 feet of wells that are, or may be capable of, producing from the same pool. Eni US Operating Company, by a letter received September 26, 2011, requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055 to drill the Nikaitchuq 0124 -08 water injection well in the Nikaitchuq Unit within 3000 feet of wells are, or may be capable of, producing from the same pool. The proposed surface and bottom -hole locations of the well are as follows: Nikaitchuq 0124 -08 Surface Location: 3126' from the south line and 1711' from the east line of Section 5, T13N, RO9E, Umiat Meridian (U.M.). Proposed Productive Interval Intercept Location: 105' from the south line and 2865' from the east line of Section 31, T14N, RO9E, U.M. Proposed Bottom -hole Location: 47' from the south line and 4017' from the east line of Section 25, T14N, RO8E, U.M. The AOGCC has tentatively scheduled a public hearing on this application for November 15, 2011 at 9:00 a.m. at the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. To request that the tentatively scheduled hearing be held, a written request must be filed with the AOGCC no later than 4:30 p.m. on November 1 , 2011. If a request for a hearing is not timely filed, the AOGCC may consider the issuance of an order without a hearing. To learn if the AOGCC will hold the hearing, call 793 -1221 after November 8, 2011. In addition, written comments regarding this application may be submitted to the Alaska Oil and Gas Conservation Commission, at 333 West 7 Avenue, Suite 100, Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on November 10, 2011, except that, if a hearing is held, comments must be received no later than the conclusion of the November 15, 2011 hearing. If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact the AOGCC's Special Assistant, Jody Colombie, at 793 -1221, no later than November 8, 2011. • Daniel T. eamount, Jr. Chair, Commissioner • . STATE OF ALASKA NOTICE TO PUBLISHER ADVERTISING ORDER NO. ADVERTISING INVOICE MUST BE IN TRIPLICATE SHOWING ADVERTISING ORDER NO., CERTIFIED A O_02214005 ORDER AFFIDAVIT OF PUBLICATION (PART 2 OF THIS FORM) WITH ATTACHED COPY OF M ADVERTISEMENT MUST BE SUBMITTED WITH INVOICE SEE BOTTOM FOR INVOICE ADDRESS F AOGCC AGENCY CONTACT DATE OF A.O. R 333 West 7 Avenue. Suite 100 Jody Colombie September 29. 2011 ° Anchorage. AK 99501 PHONE PCN M (907) 793 -1221 DATES ADVERTISEMENT REQUIRED: Alaska Journal of Commerce ASAP 301 Arctic Slope Avenue, Suite 350 Anchorage AK 99518 THE MATERIAL BETWEEN THE DOUBLE LINES MUST BE PRINTED IN ITS ENTIRETY ON THE DATES SHOWN. SPECIAL INSTRUCTIONS: AFFIDAVIT OF PUBLICATION United states of America REMINDER State of ss INVOICE MUST BE IN TRIPLICATE AND MUST REFERENCE THE ADVERTISING ORDER NUMBER. division. A CERTIFIED COPY OF THIS AFFIDAVIT OF PUBLICATION MUST BE SUBMITTED WITH THE INVOICE. Before me, the undersigned, a notary public this day personally appeared ATTACH PROOF OF PUBLICATION HERE. who, being first duly sworn, according to law, says that he /she is the 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 2011, and thereafter for consecutive days, the last publication appearing on the day of , 2011, 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 2011, Notary public for state of My commission expires • Fisher, Samantha J (DOA) From: Fisher, Samantha J (DOA) Sent: Thursday, September 29, 2011 3:31 PM To: '(michael.j.nelson@conocophillips.com)'; '(Von.L .Hutchins @conocophillips.com)'; 'AKDCWeIIIntegrityCoordinator; 'Alan Dennis'; 'alaska @petrocalc.com'; 'Anna Raff; 'Barbara F Fullmer; 'bbritch'; 'Becky Bohrer; 'Bill Penrose'; 'Bill Walker'; 'Bowen Roberts'; 'Brandon Gagnon'; 'Brandow, Cande (ASRC Energy Services)'; 'Brian Havelock'; 'Bruce Webb'; 'caunderwood'; 'Chris Gay'; 'Claire Caldes'; 'Cliff Posey'; 'Crandall, Krissell'; 'D Lawrence'; 'dapa'; 'Daryl J. Kleppin'; 'Dave Harbour'; 'Dave Matthews'; 'David Boelens'; 'David House'; 'David Scot; 'David Steingreaber; 'ddonkel @cfl.rr.com'; 'Dennis Steffy'; 'Elizabeth Bluemink'; 'Elowe, Kristin'; 'Erika Denman'; 'eyancy'; 'Francis S. Sommer; 'Fred Steece'; 'Garland Robinson'; 'Gary Laughlin'; 'Gary Schultz (gary.schultz @alaska.gov)'; 'ghammons'; 'Gordon Pospisil'; 'Gorney, David L.'; 'Greg Duggin'; 'Gregg Nady'; 'Gregory Geddes'; 'gspfoff; 'Jdarlington (jarlington @gmail.com)'; 'Jeanne McPherren'; 'Jeff Jones'; 'Jeffery B. Jones (jeff.jones @alaska.gov)'; 'Jerry McCutcheon'; 'Jill Womack'; 'Jim White'; 'Jim Winegarner'; 'Joe Nicks'; 'John Garing'; 'John Katz (john.katz @alaska.gov)'; 'John S. Haworth'; 'John Spain'; 'John Tower'; 'Jon Goltz'; Jones, Jeffrey L (GOV); 'Judy Stanek'; 'Julie Houle'; 'Kari Moriarty'; 'Kaynell Zeman'; 'Keith Wiles'; 'Kelly Sperback'; 'Kim Cunningham'; 'Larry Ostrovsky'; 'Laura Silliphant (laura.gregersen @alaska.gov)'; 'Marc Kovak'; 'Mark Dalton'; 'Mark Hanley (mark.hanley @anadarko.com)'; 'Mark P. Worcester; 'Marguerite kremer (meg.kremer @alaska.gov)'; 'Michael Dammeyer; 'Michael Jacobs'; 'Mike Bill'; 'Mike Mason'; 'Mike) Schultz'; 'Mindy Lewis'; 'MJ Loveland'; 'mjnelson'; 'mkm7200'; 'nelson'; 'Nick W. Glover; 'NSK Problem Well Supv'; 'Patty Alfaro'; 'Paul Decker (paul.decker @alaska.gov); 'Paul Figel'; 'Randall Kanady'; 'Randy L. Skillern'; 'Rena Delbridge'; 'Renan Yanish ' rob.g.dragnich @exxonmobil.com'; 'Robert Brelsford'; 'Robert Campbell'; 'Rudy Brueggeman'; 'Ryan Tunseth'; 'Scott Cranswick'; 'Scott Griffith'; 'Shannon Donnelly'; 'Sharmaine Copeland'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); 'Sondra Stewman'; 'Steve Lambert'; 'Steve Moothart (steve.moothart@alaska.gov)'; 'Steven R. Rossberg'; 'Suzanne Gibson'; 'tablerk'; 'Tamera Sheffield'; Taylor, Cammy 0 (DNR); 'Temple Davidson'; 'Teresa Imm'; 'Terrie Hubble'; 'Thor Cutler; 'Tim Mayers'; 'Tina Grovier'; 'Todd Durkee'; 'Tony Hopfinger 'trmjrl'; 'Vicki Irwin'; 'Walter Featherly'; 'Will Chinn'; Williamson, Mary J (DNR); 'Yereth Rosen'; 'Aaron Gluzman'; 'Ben Greene'; Bruno, Jeff J (PCO); 'Casey Sullivan'; 'Dale Hoffman'; 'David Lenig'; 'Donna Vukich'; 'Eric Lidji'; 'Gary Orr'; 'Graham Smith'; Heusser, Heather A (DNR); 'Jason Bergerson'; 'Jill McLeod'; 'Joe Longo'; King, Kathleen J (DNR); 'Lars Coates'; 'Lois Epstein'; 'Marc Kuck'; 'Marie Steele'; 'Mary Aschoff; 'Matt Gill'; 'Maurizio Grandi'; Ostrovsky, Larry Z (DNR); 'Patricia Bettis'; 'Peter Contreras'; 'Richard Garrard'; 'Ryan Daniel'; 'Sandra Lemke'; 'Talib Syed'; 'Ted Rockwell'; 'Wayne Wooster'; 'Wendy Wolff; 'William Van Dyke'; Ballantine, Tab A (LAW); Bender, Makana K (DOA); 'Brooks, Phoebe L (DOA) (phoebe.brooks @alaska.gov)'; 'Colombie, Jody J ( DOA) (jody.colombie @alaska.gov)'; 'Crisp, John H (DOA) (john.crisp @alaska.gov); 'Davies, Stephen F (DOA) (steve.davies @alaska.gov); 'Foerster, Catherine P (DOA) (cathy.foerster @alaska.gov); 'Grimaldi, Louis R (DOA) (Iou.grimaldi @alaska.gov)'; Herrera, Matt F (DOA); 'Johnson, Elaine M (DOA) (elaine.johnson @alaska.gov); 'Laasch, Linda K (DOA) (Iinda.Iaasch @alaska.gov)'; 'Maunder, Thomas E (DOA) (tom.maunder @alaska.gov); 'McIver, Bren (DOA) (bren.mciver @alaska.gov)'; 'McMains, Stephen E (DOA) (steve.mcmains @alaska.gov)'; Mumm, Joseph (DOA sponsored); 'Noble, Robert C (DOA) (bob.noble @alaska.gov)'; 'Norman, John K (DOA) (john.norman @alaska.gov)'; 'Okland, Howard D (DOA) (howard.okland @alaska.gov)'; 'Paladijczuk, Tracie L (DOA) ( tracie .paladijczuk @alaska.gov)'; 'Pasqua!, Maria (DOA) (maria.pasqual @alaska.gov)'; 'Regg, James B (DOA) (jim.regg @alaska.gov); 'Roby, David S (DOA) (dave.roby @alaska.gov)'; 'Saltmarsh, Arthur C (DOA) (art.saltmarsh @alaska.gov); 'Scheve, Charles M (DOA) (chuck.scheve @alaska.gov)'; 'Schwartz, Guy L (DOA) (guy.schwartz @alaska.gov)'; 'Seamount, Dan T (DOA) (dan.seamount @alaska.gov)' Subject: Nikaitchuq 0124 -08 Spacing Exception Public Notice Attachments: Nikaitchuq 0124 -08 Spacing Exception Public Notice.pdf Samantha Fisher, Executive Secretary II Alaska Oil and Gas Conservation Commission (907)793 -1223 1 S Mary Jones David McCaleb XTO Energy, Inc. IHS Energy Group George Vaught, Jr. Cartography GEPS P.O. Box 13557 810 Houston Street, Ste 200 5333 Westheimer, Suite 100 Denver, CO 80201 -3557 Ft. Worth, TX 76102 -6298 Houston, TX 77056 Jerry Hodgden Richard Neahring Mark Wed man Hodgden Oil Company NRG Associates Halliburton President 408 18 Street 6900 Arctic Blvd. Golden, CO 80401 -2433 P.O. Box 1655 Anchorage, AK 99502 Colorado Springs, CO 80901 Bernie Karl CIRI Baker Oil Tools K &K Recycling Inc. Land Department 795 E. 94 Ct. P.O. Box 58055 P.O. Box 93330 Anchorage, AK 99515 -4295 Fairbanks, AK 99711 Anchorage, AK 99503 North Slope Borough Richard Wagner Gordon Severson Planning Department P.O. Box 60868 3201 Westmar Circle P.O. Box 69 Fairbanks, AK 99706 Anchorage, AK 99508 -4336 Barrow, AK 99723 Jack Hakkila Darwin Waldsmith James Gibbs P.O. Box 190083 P.O. Box 39309 P.O. Box 1597 Anchorage, AK 99519 Ninilchick, AK 99639 Soldotna, AK 99669 Penny Vadla Cliff Burglin 399 West Riverview Avenue 319 Charles Street Soldotna, AK 99669 -7714 Fairbanks, AK 99701 \\.\ r . . • 3800 Centerpoint Drive. Suite 300 Anchorage, Alaska 99503 RECEIVED Phone (907) 865 -3300 petroleum SEP 2 6 2011 Alaska Oil & Gas Cons. Commission September 22, 2011 AfCho {itga Stephen Davies Alaska Oil & Gas Conservation Commission 333 West 7 Avenue, Suite 100 Anchorage, AK 99501 Re: Request for Well Spacing Exception Nikaitchuq Unit — Well 0124 -08 North Slope, Alaska ADL 391283 Dear Mr. Davies: Eni US Operating Co. (Eni), as operator of the Nikaitchuq Unit, hereby applies for an exception to the provisions of 20 ACC 25.055 for the drilling of the 0124 -08, a deviated development injection well. This well is being drilled from Eni's only onshore drilling pad at Oliktok Point to access the Schrader -Bluff OA sands. The well location is as follows: Surface Location: 3126 FSL, 1711 FEL, T13N RO9E Sec. 5, UM Top of Shrader -Bluff Interval, Proposed: 105 FSL, 2865 FEL, T14N RO9E Sec.31,UM; 47 FSL, 4017 FEL, T14N RO8E Sec. 25,UM Bottom Hole, Proposed: 47 FSL, 4017 FEL, T14N RO8E Sec. 25, UM This request for an exception to the spacing rules is needed for the proposed Nikaitchuq 0124 -08 well because the intermediate casing point (start of the lateral section) will be less than the standard offset from the south lease line (ADL391283) of 500 feet (Attachment 1). The benefit of this spacing exception to a 100 -foot lease line is described in Attachment la. A previously unmapped fault (Fault 1, Attachment 2) encountered in two wells (OP17 -02 and OP18 -08) has a throw greater than the Schrader Bluff OA reservoir thickness, and is likely sealing (Attachment 2). If the intermediate casing point of the 0124 -08 injector is landed within the standard 500 -foot offset from the lease line, there will be no injection on the east side of the fault, and the pressure from waterflood injection will be unable to adequately support OP17 -02 (Attachment 3). In order to improve recovery and prevent significant waste, Eni proposes to land the well 0124 -08100 feet from the south lease line on the east side of the fault to provide pressure support to OP17 -02 (Attachment 4). -1- • • The benefit of the optimized waterflood pattern would be improved recovery of approximately 350 kSTB over 10 years and 900 kSTB over 20 years (Attachment 5). Without this spacing exception the area would be unsupported, as there are no other wells to be drilled in the area and would result in waste as much as one million STB. The impact on adjacent leases would be a minimal increase in reservoir pressure along the lease line. Any pressure increase would be limited due to the nature of the cold reservoir temperature and heavy oil moreover, there is also an east -west sealing fault that is 1000 feet (Fault 2, Attachment 2) from the lease line at the proposed heel location. The throw of the fault in the vicinity of the proposed heel location is greater than the Schrader Bluff OA reservoir thickness (Attachment 6). Also attached , please find the following: • a notification list of parties entitled to notice of this application; • a copy notice sent by certified mail; and • an affidavit by land. If you have any questions related to land or ownership issues, please contact me. For questions regarding the technical aspects of this application, please contact Andrew Buchanan at (907) 865 -3388. Sinc- ely o p 1 1. Robert A. Province Land Manager - Alaska Attachments: Affidavit I am acquainted with the facts and can verify that the facts listed in this spacing exception request are true and that the enclosed plat correctly portrays pertinent and required data. State of Alaska District — Subscribed and Sworn before me, a Notary Public, in and for the State of Alaska, on the cZ day of September 2011, Robert A. Province, personally appeared before me and signed this above. ( 'daVue. S BRUNI H. WARRICK Notary Public, State of Alaska Commission # 117920 My Commission Expires December 01, 2014 2 • • Notice of the Application to Owners Well Spacing Exception — Well 0124 -08 OWNERS Ms. Julie Little Mr. Andy Bachner ConocoPhillips Alaska, Inc. Bachner Oil and Gas 700 G Street, Suite 100 542 4 Avenue, Suite 300 PO Box 100360 Fairbanks, AK 99687 Anchorage, AK 99501 Mr. Gary Cameron Mr. Ed Kerr Shell E &P Company, Alaska 70 & 148, LLC 3601 C Street, Suite 1000 1421 Blake Street Anchorage, AK 99503 Denver, CO 80202 Mr. Keith Forsgren PO Box 870529 Wasilla, AK 99687 SURFACE OWNERS Department of the Air Force W.C. Barron, Director Ms. Catherine Moody ADNR, Division of Oil & Gas 611 CES /CERR 20th St., Suite 302 550 West 5 Avenue, Suite 800 Elmendorf AFB, AK 99506 Anchorage, AK 990501 II 1 U.S. Postal Service,. ; 1 U.S. istal Service,. CERTIFIED MAILTM .RECEIPT 1 CERTIFIED MAIL RECEIPT 1 ru (Domestic Mail Only; No Insurance Coverage Provided) (Domestic Mail Only; No Insurance Coverage Provided) r� For delivery information visit our website at www.usps -com ,-.1 For delivery information visit our website at www.usps com , " m L �I( �'t r ft . s F. 8 u f „e t 7` .. . - _D u7 Postage $ $0.44 05+2, . r ''b Postage $ $0.44 0502 C.t r Certified Fee D Certified Fee x2.85 , 08 Postmark D $2.85 .. - 0 Postmark D Return Receipt Fee O Return Receipt Fee (Endorsement Required) $2•30 c� i 1 � (Endorsement Required) 1111111911 Here CI CI Restricted Delivery Fee 5i-i 2 2 Restricted Delivery Fee C e F i (Endorsement Required) D (Endorsement Required) $0.00 , \ D $0 11 • 15,59 4 5,' 69/26/2011 - , f- Mr. Andy Bachner Mr. Ed Kerr �; • s Bachner Oil and Gas 70 & 148, LLC 542 4th Avenue, Suite 300 1421 Blake Street • Fairbanks, Alaska 99687 Denver, Colorado 80202 U.S. Postal Service,. U.S. Postal Service,. CERTIFIED MAILTM RECEIPT CERTIFIED MAILTM RECEIPT D -. (Domestic Mail Only; No Insurance Coverage Provided) .J3 (Domestic Mail Only; No Insurance Coverage Provided) Dr D For delivery information visit our website at www.usps.com D For delivery information visit our website at www.usps.co { { m w ED Ali All ', 1. f'. I. , _. ; ., m A AK 9 i r t Li. w Postage $ $0.44 0502 Ln Postage $ $0.44 `' 2 ` Lri Certified Fee 7 c, : s Certified Fee $2.K N M D Retum Receipt Fee *_'; Postmark D Return Receipt Fee ^, Pq$tn�aflc (Endorsement Required) $2.30, t ' Hb (Endorsement Required) t c, ; re 6 D Restricted Delivery Fee f D Restrictd D Restricted Fee (Endorsement Required) $0•00 E t / (Endorsement Required) t t t Department of the Aiit5Porc 1` $5•S9 Mr. Gary Cameron Ms. Catherine Moody Shell Exploration and Production Company, Alaska 611 CES/ CERR 20th St., Ste 302 3601 C Street, Suite 1000 Elmendorf AFB, Alaska 99506 Anchorage, AK 99503 • • , • • • • • ee 'everse for Instructions - - - - • • - . • • • ee ' everse or nstruction- U.S. Postal Service,. U.S. Postal Service,. CERTIFIED MAILTM RECEIPT CERTIFIED MAILTM RECEIPT N (Domestic Mail Only; No Insurance Coverage Provided) m (Domestic Mail Only; No Insurance Coverage Provided) r q For delivery information visit our website at www.usps.com, rl For delivery information visit our website at www.usps.com m t<. a m "fit i x ./; , r. Ln Postage $ $0 44 u-) Postage $ $0.44 0S,*2 - . D Certified Fee $2.85 1 08 D canned Fe $2.85 / � 08 D Retum Receipt Fee SE P P i l 1 i D Retum Receipt Fee 2 l ive , D (Endorsement Required) $2.30 D (Endorsement Required) $2 SEP 2Idl�rel D Restricted Delivery Fee ,6 D Restricted Delivery Fee , D (Endorsement Required) $0.00, ,�, D (Endorsement Required) $0. @w,. !/ -: , - $5.59 /211 ta 9t 1P Mr. W.C.Barron, DiPor 99 Alaska Department of Natural Resources Mr. Keith Forsgren Division of Oil and Gas P.O. Box 870529 550 West 7th Avenue, Suite 800 • Wasilla, Alaska 99687 Anchorage, AK 99501 1 enn us Oyer J ng .'► • Nikaitchuq Field 0124 -08 Spacing Exception 9/7/11 • en Attachment 1: 0I24 - 08 Well Plan w /Heel 105' North of South Lease Line 1 1 0124 -08 Spacing Exception Map 400000 500000 501000 60X00 603X0 50. 505000 506000 507000 508,,0 5,, ,,,, 1,1110 WO . 1 " , , , 14 n rc, 5f 1000 516002 510000 51'000 518000 610000 52)504 5210011 522000 g 8 is ADL.391283 H l sec. 26 7144 Rre VIA 40.70 7144 RYE 1AN Sec 20 7144 RYC UM • i ff"\ E 8 D ID gg _. 0124-0 i --- Eec. 36714N R:. See. 31 7144119E UM Sec. 32 714 UM Sec. 33 T14I1 ROE UM g x a a r Nikai:chuq Unit -- • P 9.675" Casing Coordinates: Southern Lease Line i C Legal: 105 FSL 2865 FEL 531 T14N RO9E UM ASP Zone 4: Northing - 6038726.6' Easting - 510123.8' g g3 ?, Sec. 1 7134 RYE UM Sic. 5 T1311 RYE UM 804.5 71314 *55 t0. Sec. 4 T134 RYE UM 400000 550000 5)1000 502C00 503200 504030 " 555000 504000 507500 508050 5210X — 510 511000 612000 413000 514004 515005 5 16000 5 51 7 000 518 515000 520000 521000 522000 'Schrader Bluff OA Development I o sp 1 SW 340 401 Spann Coma, .« A*Ba Get teas, , uom 00/.7/2(1' t7 1014 . 0, 4,004 eni us operating ens Attachment la: Benefit of Spacing Exception to 100' from the Lease Line Prevention of Waste A previously unmapped North /South fault circled in red in slide 3 was encountered in two wells (0P17 -02 and OP18 -08). This fault has a throw greater than the thickness of the Schrader Bluff OA reservoir and is likely sealing. Pressure map at 5 years of production shows that the heel section of OP17 -02 is not adequately supported by the yet to be drilled 0I24 -08 at a standard offset from the lease line • of 500' shown in slide 4. At the requested spacing exception of landing the 0I24 -08 100' from the lease line allows for proper pressure and waterflood support of the heel of OP17 -02 shown in slide 5 Benefit of Improved waterflood pattern with the 0I24 -08 100' from the lease line will be improved recovery. • 10 year difference in Cumulative Field Production - 350 kSTB • 20 year difference in Cumulative Field Production - 909 kSTB 7 The incremental production resulting from an approved spacing exception 100' from the lease line would not otherwise be produced. The impact on the adjacent lease would be minimal resulting in a slight pressure increase along the lease line. • r Because of the east /west fault running south and parallel to the lease line in this area and its distance from other offset operator development, it is unlikely that this area would ever be, developed in the Schrader Bluff OA sand. Without the spacing exception allowing Eni to drill the OP24 -08 injection well 100' off of the lease line, waste of the Schrader Bluff OA resource would occur of up to 1 million STB. VI 1011 exploration & production • et i Attachment 2: Oliktok Point Well Development Nikaitchuq: OP Development 495000 500000 502000 504000 '005005 505000 510000 512000 514000 510500 515000 520000 522000 524000 ... N 'v v v v g -- � N N \ 9-s+ \ \ \ N \ . \ •, .\ \ •\ S \ •\ ' \ 1 \ •,\ \ , \ X. '31 -SE6 I i \ \ Kigun \ • \ ' \ \ \ \ • ...... 01.14-33 '• \ \ \ ,' \ \ • `\ •,\ \ \ \SFSE4 X • 0115 -S4 [P5] \ ' N ,, \ 0t13 3 [POI \ ' - \ \ • \ OP10.09 "SP -SE3 ` ' \ \ \ -\ \ \'• 15 2 OP -11A -108 [P5] \ S12 �S 2(P Oq q i N. I 1 1 5 4 1 OP 7.02 r OP /2A OP18.08 � lippl R I 01 -1. • 8] OP -12 \itne { OPi 0111 -01 8S 0120 -07 [P71] 000 Lin , ........:::sio Fault 11 1 I I; OP22- 0001 [P2] ] A PO r III tik.,.._ kik Al 1 1 .1,lililimirmikh.._...„„maimltffj, f I g 1 Fault 2 � �� P I , 488000 500000 502000 504000 500000 508000 510000 512000 514000 T 518000 518000 520000 522000 (524000 S [Schrader Bluff OA development 1 0 1°50 2°55 3°00 4000 0°000 IS /pielure Dole 1'22100 ( 1 I Aleake Duo. Team 1310/2011 9 �V AMR til* • eno us operaEong eni 4 Attachment 3: Pressure map at 01/01/16 with OI24 -08 at Regular Spacing ‘ . 111104440.1 ' ' T 'Ilit • -- 1 'S \ \ \ , \\"\\\\ \ L • r • It* cnti us operating e II II II 5 Attachment 4: Pressure map at 01/01/16 with OI24 -08 at Requested Spacing (100' from the Lease Line) .0 Flo„ • `t • 1 041/4 ern us cape [m e fl I1 6 Attachment 5: Improved Waterflood Response Due to Requested Spacing Exception OP17 -02 Response to 0124 -08 Injection :::: i •• OP17 -02 Rate w Spacing Exception 11,000 OP17 -02 Cum 2,000 f • OP17 02 Cum w Spacing Exception 10,000 • 1 , — 9,000 1,800 ' ■ 4� -- 1,600 `` , 8,000 • I 1� ,."---.'/ 7,000 1,400 i %-IMMII 6 ,000 g r. iS 1,200 li .' . 1,000 5 ,000 � U % 4.000 800 �% 600 3,000 a �. 2 • 0 0 200 1,000 0 • I 0 Jan - Jan - Jan -15 Jan -17 Jan -19 Jan -21 Jan -23 Jan -25 Jan - Jan -29 Jan -31 IFAI41 • exploration & production en 11 • • Attachment 6: Schrader Bluff OA Top Structure 1 Schrader Bluff OA Top Structure .9000 CO S000 5)1000 502600 502000 50000 605100 5000X 507000 fo), . 51P':∎ 511000 512 . 61$706 514002 515000 515000 517060 51000C 510000 620000 621(60 622000 y, 1 s- 114-/_\ '\ s 1 , - ( *DL391283 \ ) `,.. j‘ ) i i lit ------- ---, ■., \ Sec. 15T \ k N'¢BE \ \ '01 . '0�` See TWO \ \ V \\ Set.21 7TS�N>e v ,/' 5 . . --34,1 VI. \ /� \ ) \ `; � � �`� \ t \ I ,\ ♦ 5 Y ' ♦\ � i ^ �> \\\ I ' i , ♦..\ \ ♦ \ --,♦ �♦ \ \ �� Y \........\\ n \ \ ` - �. \ ,, \ \' M. Thiel - ,.' � , - 11 Nee UM \� `\ \\ ",—.......,00. } ` o r ♦ � ` `\ \ — = ,i ' \ . \ \ -` � , -____ . I IIIIIjlkVft qil lNA -----T '.-------\. Fault 2 \� \�,� \�._. _- "'', \ _ _ • .. . \.\ N. . � \ S e c . - T13M SSE UM \ ♦`.c - ~`` „'`, \. T R g 401010 505000 611000 007000 0'00(01 .ra0or) 505500 5nOfY 00700 5000331 5f3000 61m00 .1 mo 51701'0 602f00 514!011 60000 5 10m0 5170(0 510(370 61000%1 5700 571060 5177010 (Schrader Bluff OA Development 1 0 sao 00 1.05)3 OP ream 7D MD {} �08:2RC7' n.er1 en us operra 8 tY1* • en ii • • # • . 3 Schrader Bluff OA Top Structure 499000 500000 501000 502000 i 503000 504000 505000 506000 507000 508000 509000 510000 511000 512000 513000 514000 515000 516000 517000 518000 519000 520000 521000 522000 Iv ‘ ,+..) \ \N. o ° 3-0 AD L391283 S op r 411 44 - (' Sec. 25 T1 "15 UM o 1 ili...,. Sec. 29 T14 - p 8 O A _ -340 ,� "'s = g CD 0 0 � '• t c o o ,q•, 0600 _3700, M -38 . ce, _. 0 •12 ',� L 0 o ,o � s 0 = o / _ `36o� 3300 u 0 Sec. 3. T14N R1 i l k ec. 4T1 R14E UM ec. 32 4N Sec. 33 T14N R14E UM _ 331 i. _ W Q• rn O o • . 41111 1 111 ■ _.. ....._ ° m _ 3200 � , ` 3500 '3600 - i 01 0- O - 3'00 3600 -3300 , 3 4 � _ 1 1 0 O . w o _ Sec. 1 T13N R15E UM -c. 6 • • . 4 ec. • T1 14 • ec. T 311R1. U 0 0 0 499000 500000 501000 502000 503000 504000 505000 506000 507000 508000 509000 510000 511000 512000 513000 514000 515000 516000 517000 518000 519000 520000 521000 522000 Schrader Bluff OA Development 0 soo woo 1500 2000 2500ft Signature Contour inc Alaska Dev. Team 20 1:20000 Date 09/19/2011 PETREL