The URL can be used to link to this page

Home My WebLink AboutCO 706INDEX CONSERVATION ORDER NO. 706 Docket Number: CO-14-027 Nikaitchuq Field Nikaitchuq Unit Nikaitchuq Schrader Bluff Oil Pool Nikaitchuq SP31-W7 & SP31-W7L1 Development Wells North Slope Borough, Alaska 1. October 15, 2014 Eni's request for spacing exception: SP31-W7 & SP31-W7L1 2. October 23, 2014 Notice of Public Hearing, Affidavit of Publication, email distribution, and mailings 3. November 14, 2014 Emails re: Return Receipt Cards INDEX CONSERVATION ORDER NO. 706 STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION 333 West 7th Avenue Anchorage, Alaska 99501 Re: THE APPLICATION OF Eni US Operating Co. for an exception to the spacing requirements of 20 AAC 25.055(a)(1) to drill and complete a development oil well and a development oil well branch within 500 feet of a property line where ownership or landownership changes. IT APPEARING THAT: Docket CO-14-027 Conservation Order No. 706 Nikaitchuq Field Nikaitchuq Unit Nikaitchuq Schrader Bluff Oil Pool Nikaitchuq SP31-W7 & SP31-W7L1 Development Wells North Slope Borough, Alaska December 1, 2014 1. By letter received October 16, 2014, Eni US Operating Co. (Eni) requested an exception to the spacing provisions of 20 AAC 25.055(a)(1) to drill and complete a development oil well Nikaitchuq SP31-W7 and a development oil well branch Nikaitchuq SP31-W7L1 within 500 feet of a property line where ownership or landownership changes. Eni's request proposes to open the oil-bearing OA-sand reservoir of the Schrader Bluff Formation (Schrader Bluff OA- sand) to production within approximately 175 to 300 feet from the property line that separates Eni's Nikaitchuq Unit from the adjacent oil and gas lease ADL 0392539, which is operated by 70 & 148, LLC. 2. Pursuant to 20 AAC 25.0540, the Alaska Oil and Gas Conservation Commission (AOGCC) tentatively scheduled a public hearing for December 2, 2014. On October 23, 2014, the AOGCC published notice of the opportunity for that hearing on the State of Alaska's Online Public Notice website and on the AOGCC's website, electronically transmitted the notice to all persons on the AOGCC's email distribution list, and mailed printed copies of the notice to all persons on the AOGCC's mailing distribution list. On October 24, 2014, the notice was published in the ALASKA DISPATCH NEWS. 3. Pursuant to 20 AAC 25.055(d)(1), Eni sent by certified mail notice of the application to all owners, landowners, and operators of all properties within 1,000 feet of the Nikaitchuq SP31- W7 well and the Nikaitchuq SP31-W7L1 well branch. Eni provided the AOGCC the notice, date of mailing, addresses to which the notice was sent, and copies of the certified mail return receipts. 4. No protest to the application or request for hearing was received. CO 706 • • December 1, 2014 Page 2 of 3 5. Because Eni provided sufficient information upon which to make an informed decision, the request can be resolved without a hearing. 6. The tentatively scheduled public hearing was vacated on December 1, 2014. FINDINGS: 1. Eni is the owner and operator of the Nikaitchuq Unit that is located offshore within the Beaufort Sea, North Slope, Alaska. 2. Nikaitchuq SP31-W7 is a proposed deviated development oil well with an offshore surface location of 4,433 feet from the south line and 1,460 feet from the east line of Section 19, Township 14 North, Range 9 East, Umiat Meridian (U.M). The offshore bottom -hole location is approximately 2,698 feet from the south line and 1,493 feet from the east line of Section 22, Township 14 North, Range 8 East, U.M. 3. Nikaitchuq SP31-W7L1 is a proposed deviated development oil well branch to be drilled from Nikaitchuq SP31-W7. This well branch will have an offshore bottom -hole location of approximately 2,762 feet from the south line and 1,339 feet from the east line of Section 22, Township 14 North, Range 8 East, U.M. 4. Nikaitchuq SP31-W7 and SP31-W7L1 will target the oil-bearing Schrader Bluff OA sand reservoir. 5. Nikaitchuq SP31-W7 and SP31-W7L1 will be drilled sub -parallel to one another, on the downthrown side of a northwest -southeast tending fault in the southwestern portion of the Nikaitchuq Field. The planned SP31-W7 wellbore track will lie within approximately 175 feet of the Nikaitchuq Unit boundary; whereas the planned SP31-W7L1 wellbore track will lie within approximately 300 feet of the unit boundary. 6. Nikaitchuq SP31-W7 and SP31-W7L1 are located to maximize the drainage of the Nikaitchuq Schrader Bluff OA reserves. 7. The AOGCC received no comments, objections or protests in response to the public notice regarding the proposed exception to the spacing requirements of 20 AAC 25.055 for Nikaitchuq SP31-W7 and SP31-W7L 1 or to the notification sent by Eni to all known owners, landowners, and operators within 1,000 feet of Nikaitchuq SP31-W7 and SP31- W7L L CONCLUSIONS: 1. An exception to the well spacing provisions of 20 AAC 25.055(a)(1) is necessary to allow the drilling and completion of Nikaitchuq SP31-W7 and Nikaitchuq SP31-W7L1. 2. Nikaitchuq SP31-W7 and SP31-W7L1 will recover reserves that are not accessible to existing development wells. 3. A spacing exception to the well spacing provisions of 20 AAC 25.055(a)(2) for the Nikaitchuq SP31-W7 and SP31-W7L 1 is consistent with sound engineering and geoscience principles and will not result in waste or jeopardize correlative rights of adjoining or nearby owners. CO 706 • • December 1, 2014 Page 3 of 3 NOW THEREFORE IT IS ORDERED: Eni's October 16, 2014 application for an order granting an exception to the well spacing provisions of 20 AAC 25.055(a)(1) to allow the drilling and completion of the Nikaitchuq SP31- W7 and SP31-W7L1 development oil wells is approved. Eni may proceed as long as it complies with the terms of all lease agreements, applicable Alaska laws, and all other legal requirements. DONE at Anchorage, Alaska and dated December 1, 2014. 2 `� (— 0,v�� Cathy P Foerster aniel T. Seamount, Jr. Chair, Commissioner Commissioner RECONSIDERATION AND APPEAL 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), "[tlhe 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. Singh, Angela K (DOA) From: Colombie, Jody J (DOA) Sent: Tuesday, December 02, 2014 2:10 PM To: Ballantine, Tab A (LAW); Bender, Makana K (DOA); Bettis, Patricia K (DOA); Brooks, Phoebe L (DOA); Carlisle, Samantha J (DOA); Colombie, Jody J (DOA); Crisp, John H (DOA); Davies, Stephen F (DOA); Eaton, Loraine E (DOA); Foerster, Catherine P (DOA); Frystacky, Michal (DOA); Grimaldi, Louis R (DOA); Guhl, Meredith D (DOA); Herrera, Matthew F (DOA); Hill, Johnnie W (DOA); Hunt, Jennifer L (DOA); Jones, Jeffery B (DOA); Kair, Michael N (DOA); Konkler, Stacey L (DOA); Loepp, Victoria T (DOA); Mayberry, David J (DOA); Mumm, Joseph (DOA sponsored); Noble, Robert C (DOA); Paladijczuk, Tracie L (DOA); Pasqual, Maria (DOA); Regg, James B (DOA); Roby, David S (DOA); Scheve, Charles M (DOA); Schwartz, Guy L (DOA); Seamount, Dan T (DOA); Singh, Angela K (DOA); Skutca, Joseph E (DOA); Wallace, Chris D (DOA); AKDCWellIntegrityCoordinator, Alexander Bridge; Allen Huckabay; Andrew Vandedack; Anna Raff; Barbara F Fullmer, bbritch; bbohrer@ap.org; Barron, William C (DNR); Bill Penrose; Bill Walker, Bob Shavelson; Brian Havelock, Burdick, John D (DNR); Carrie Wong; Cliff Posey, Colleen Miller, Corey Cruse; Crandall, Krissell; D Lawrence; Dave Harbour, David Boelens; David Duffy; David Goade; David House; David McCaleb; David Steingreaber, David Tetta; Davide Simeone; ddonkel@cfl.rr.com; Dean Gallegos; Delbridge, Rena E (LAA); Donna Ambruz; Ed Jones; Elowe, Kristin; Evans, John R (LDZX); Francis S. Sommer, Frank Molli; Gary Oskolkosf, George Pollock; ghammons; Gordon Pospisil; Greg Duggin; Gregg Nady; gspfoff, Jdarlington oarlington@gmail.com); Jeanne McPherren; Williams, Jennifer L (LAM; Jerry Hodgden; Jerry McCutcheon; Solnick, Jessica D (LAW); Jim Watt; Jim White; Joe Lastufka; news@radiokenai.com; John Adams; Easton, John R (DNR); John Garing; Jon Goltz; Jones, Jeffrey L (GOV); Juanita Lovett, Judy Stanek, Houle, Julie (DNR); Julie Little; Kari Moriarty; Keith Wiles; Kelly Sperback; Klippmann; Gregersen, Laura S (DNR); Leslie Smith; Lisa Parker; Louisiana Cutler, Luke Keller, Marc Kovak; Dalton, Mark (DOT sponsored); Mark Hanley (mark.hanley@anadarko.com); Mark Landt; Mark Wedman; Kremer, Marguerite C (DNR); Michael Moora; Mike Bill; mike@kbbi.org; Mikel Schultz; MJ Loveland; mjnelson; mkm7200; Morones, Mark P (DNR); knelson@petroleumnews.com; Nichole Saunders; Nick W. Glover, Nikki Martin; NSK Problem Well Supv; Oliver Sternicki; Patty Alfaro; Paul Craig; Decker, Paul L (DNR); Paul Mazzolini; Pike, Kevin W (DNR); Randall Kanady; Randy L. Skillern; Randy Redmond; Renan Yanish; Robert Brelsford; Rose Jacki; Ryan Tunseth; Sara Leverette; Scott Griffith; Shannon Donnelly, Sharmaine Copeland; Sharon Yarawsky, Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Smart Energy Universe; Smith, Kyle S (DNR); Sondra Stewman; Stephanie Klemmer; Steve Kiorpes; Moothart, Steve R (DNR); Suzanne Gibson; sheffield@aoga.org; Tania Ramos; Ted Kramer, Davidson, Temple (DNR); Terence Dalton; Teresa Imm; Thor Cutler, Tim Mayers; Tina Grovier, Todd Durkee; Tony Hopfinger, trmjrl; Tyler Senden; Vicki Irwin; Vinnie Catalano; Walter Featherly; yjrosen@ak.net; Aaron Gluzman; Aaron Sorrell; Ajibola Adeyeye; Alan Dennis; Andrew Cater, Anne Hillman; Bruce Williams; Bruno, Jeff J (DNR); Casey Sullivan; David Lenig; Donna Vukich; Eric Lidji; Erik Opstad; Gary Orr, Smith, Graham O (PCO); Greg Mattson; Dickenson, Hak K (DNR); Hans Schlegel (hans.schlegel@ge.com); Heusser, Heather A (DNR); Holly Pearen; James Rodgers; Jason Bergerson; Jennifer Starck; jill.a.mcleod@conocophillips.com; Jim Magill; Joe Longo; John Martineck; Josh Kindred; Kenneth Luckey; King, Kathleen J (DNR); Laney Vazquez; Lois Epstein; Longan, Sara W (DNR); Marc Kuck, Marcia Hobson; Steele, Marie C (DNR); Matt Armstrong; Matt Gill; Franger, James M (DNR); Morgan, Kirk A (DNR); Pat Galvin; Peter Contreras; Richard Garrard; Richmond, Diane M; Robert Province; Ryan Daniel; Sandra Lemke; Pexton, Scott R (DNR); Peterson, Shaun (DNR); Pollard, Susan R (LAW); Talib Syed; Todd, Richard J To: (LQ; Tostevin, Breck C (LAW); Wayne Woostetilliam Hutto; William Van Dyke Subject: co706 (ENI - Spacing Exception Nikaitchuq) Attachments: co706.pdf Bernie Karl James Gibbs Jack Hakkila K&K Recycling Inc. Post Office Box 1597 Post Office Box 190083 8055 Soldotna, AK 99669 Anchorage, AK 99519 Post Office Box Fairbanks, AK 99711711 Gordon Severson Penny Vadla George Vaught, Jr. 3201 Westmar Cir. 399 W. Riverview Ave. Post Office Box 13557 Anchorage, AK 99508-4336 Soldotna, AK 99669-7714 Denver, CO 80201-3557 Robert A. Province Richard Wagner Darwin Waldsmith Land Manager —Alaska Post Office Box 60868 Post Office Box 39309 Eni US Operating Co. Fairbanks, AK 99706 Ninilchik, AK 99639 3800 Centerpoint Dr., Ste. 300 Anchorage, AK 99503 3t Angela K. Singh • 9 Colombie, Jody J (DOA) From: Bettis, Patricia K (DOA) Sent: Friday, November 14, 2014 4:44 PM To: Colombie, Jody J (DOA) Subject: FW: Spacing Exception Application: Nikaitchuq SP31-W7 Attachments: Return Receipt cards_eni.pdf.pdf From: Province Robert [ma iIto: Robert. Province@eni petroleum.com] Sent: Friday, November 14, 2014 3:08 PM To: Bettis, Patricia K (DOA) Subject: RE: Spacing Exception Application: Nikaitchuq SP31-W7 Attached is a scan copy of each return receipt card for Bill Barron and Ed Kerr, respectfully. Robert A. Province Manager, Land and Public Relations - Alaska Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 - Cell From: Bettis, Patricia K (DOA) [ma iIto: patricia.bettis@alaska. ] Sent: Friday, November 14, 2014 2:52 PM To: Province Robert Subject: RE: Spacing Exception Application: Nikaitchuq SP31-W7 A scanned copy is fine. From: Province Robert [maiIto: Robert. Province@eni petroleum. com1 Sent: Friday, November 14, 2014 2:42 PM To: Bettis, Patricia K (DOA) Subject: RE: Spacing Exception Application: Nikaitchuq SP31-W7 Hi Patricia, Thank you for the reminder. Can I send a scan copy of each green return receipt card or do you need a copy of each card mailed or dropped off? I spoke to both Ed Kerr with Armstrong Energy and the DNR and they mentioned that they were not going to protest (request a public hearing) Eni's spacing exception application. What date can I call the AOGCC office to find out if a hearing is scheduled or canceled? Have a good weekend. Robert A. Province Manager, Land and Public Relations - Alaska Eni US Operating Co. Inc (907) 865-3350- Office (907) 947-3793 - Cell • • From: Bettis, Patricia K (DOA) [mailto:patricia.bettis@alaska.govl Sent: Friday, November 14, 2014 2:30 PM To: Province Robert Subject: Spacing Exception Application: Nikaitchuq SP31-W7 Good afternoon Robert, Just a reminder that the AOGCC will need copies of the return receipt (green cards) for the certified mail to Bill Barron and Ed Kerr. Thank you, Patricia Patricia Bettis Senior Petroleum Geologist Alaska Oil and Gas Conservation Commission 333 West 7th Avenue Anchorage, AK 99501 Tel: (907) 793-1238 CONFIDENTIALITY NOTICE: This e-mail message, including any attachments, contains information from the Alaska Oil and Gas Conservation Commission (AOGCC), State of Alaska and is for the sole use of the intended recipient(s). It may contain confidential and/or privileged information. The unauthorized review, use or disclosure of such information may violate state or federal law. If you are an unintended recipient of this e-mail, please delete it, without first saving or forwarding it, and, so that the AOGCC is aware of the mistake in sending it to you, contact Patricia Bettis at (907) 793-1238 or patricia.bettis@alaska.gov. 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. 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. 0 • 's • complete hems 1, 2, and 3. Also complete Item 4 if RmDeliveery is oh• Prfnt your sdrevese so that we can return the card to you. • Attach this card to the back of the maiiplecer or on the front if space permits. 1. Article Addressed to: A. Signs , 1 [ DthL,tiy �J ❑ Agenit XPi ❑ Addre B. R"Wt3Y P?n l `l J 10.. #of Dee D. is deIhwY diffew.ftmAbrril7 u If YES. enter delivery address below: l 0 Mr. Bill Barron, Director Department of Natural Resources, Division of Oil & Gas 550 West 7th Avenue, Suite 1020 Service TAM Anchorage, AK 99501 D C"lled MaIP D I+Md apasC ❑ Registered D Retum Recut for Merchandise E3 Insured Mal O Collect on Delivery 4. Restricted D~ Sidra P80 D Yea 2. 7014 0150 0000 8365 6251 I PS Form 3811, July 2013 Donrestic Return Receipt itr Complate itenil..1, 2, and 3. Also complete item 4 if Restricted Delivery Is desired, ■ Print your dame and address on the memo so that we can return the card to you. ■ Attach this card to the back of the mailpiece, or on the !runt if space permits, 1. Article Addressed to: tt r Ur Wr' Ge....n rN.—#— t� Division of Gas and Oil Department o tural Resources,State of Alaska 550 VA3sWAve. Suite WO AnchoragLb, AK 99501 A. Signature X Aa r1 ❑ Addresses B. Aecehred by dnred Name) C. D of ivery r D: eddress difrerert from Item EY Yes K YES, enter delivery address below Cl No 3. Servloe Type D Certified Malts ❑ Prtortiy Mal Bpasa" D Registered D Retum Recelpt for Merchandise ❑ trreum d Man D cow on Delivery 4. Restricted DeWwy? XOa Fee) ❑ Yes 2. 7014 0150 0000 8365 6220 PS Form 3811, July 2013 Domestic Return Racelpt 0 A Complet6 items 1, 2, ano 3, Also COmPlete A �I �° § ❑Agent item e. f Restricted Delivery is desired. I ��' 'f [J Addressee • plot your name a.!ta a�7rrsS, on tine reverse sr. that we ,ort retiyn1 the card to You. - q. Racirived by (Mated Natm) C: Date of Delivery i Attach this card to the back of I.M. malipim",, of on the front II space permits, 0. led Werent from item 1? ❑ Yes 1. Artfcar k1drams9d tv. let t d fety address befovr ❑ No L- �Kr Mr. Ed Kerr • 70 & 148, LLC 1421 Blake Street a d Denuer, CO 80202 t� Ce`rti Matta © Priority tale,! &press" CI Registered ❑ Return Receipt for Merchandise Cl insured Mai, Cl Coilect on Delivery Reftftle.i De Vmy? (Extra Fee) C1 Yes 2. 7a14 0150 000 8365 6244 Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket # CO-14-027. The application of Eni US Operating Co. Inc. (Eni) for an exception to the spacing requirements of 20 AAC 25.055 to drill and complete a deviated development oil well Nikaitchuq SP31-W7 & SP 31-W7L1 within 500 feet of a property line where ownership or landownership changes. By letter dated October 15, 2014, Eni requests the Alaska Oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055(a)(1) and approve an exception to the statewide spacing regulation for the drilling and completion of the Nikaitchuq SP31-W7 & SP31-W7L1 wells. Nikaitchuq SP31-W7 Surface Location: 4433 feet from the south line and 1460 feet from the east line of Section 19, T14N, R9E, U.M. Top of Production Interval Location: 2469 feet from the south line and 5026 feet from the east line of Section 25, T14N, R8E, U.M. Bottomhole Location: 2698 feet from the south line and 1493 feet from the east line of Section 22, T14N, R8E, U.M. Nikaitchuq SP31-W7L1 Surface Location: 4433 feet from the south line and 1460 feet from the east line of Section 19, T14N, R9E, U.M. Top of Production Interval Location: 2469 feet from the south line and 5026 feet from the east line of Section 25, T14N, R8E, U.M. Bottomhole Location: 2762 feet from the south line and 1339 feet from the east line of Section 22, T14N, R8E, U.M. The AOGCC has tentatively scheduled a public hearing on this application for December 2, 2014, at 9:00 a.m. at 333 W. 71h Ave., Anchorage, Alaska. 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 13, 2014. 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 26, 2014. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 W. 7'1' Ave., Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on November 28, 2014, except that, if a hearing is held, comments must be received no later than the conclusion of the December 2, 2014 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 26, 2014. Cathy . /Foerster Chair, Commissioner STATE OF ALASKA ADVERTISING iJ ORDER NOTICE TO PUBLISHER SUBMIT INVOICE SHOWING ADVERTISING ORDER NO., CERTIFIED AFFIDAVIT OF PUBLICATION WITH ATTACHED COPY OF ADVERTISMENT. ADVERTISING ORDER NI:MBER AO-15-005 FROM: Alaska Oil and Gas Conservation Commission AGENCY CONTACT: Jody Colombie/Samantha Carlisle DATE OF A.O. 10/23/14 1(907) AGENCY PHONE: 793-1221 333 West 7th Avenue Anchorage, Alaska 99501 DATES ADVERTISEMENT REQUIRED: COMPANY CONTACT NAME: PHONE NUMBER: 10/24/2014 FAX NUMBER: (907)276-7542 TO PUBLISHER: Alaska Dispatch News SPECIAL INSTRUCTIONS: PO Box 149001 Anchorage, Alaska 99514 (iFADVER115FMiT LEGAL DISPLAY CLASSIFIED j� OTHER (Specify below)` DESCRIPTION PRICE CO-14-027 Initials of who prepared AO: Alaska Non -Taxable 92-600185 :si7jnnT:iNvai6iEsiibw:iNGA6VEaT:.Sn�G :':'bRDEP.NO:,:C$RTdF1ED.hFFIDAVIT:O' :.:: rVBI ,0ATH)TX ITRA..`FTACHVI):Cilrov. .................................. any lrrlsryr> Nr.To..........:.:...: Department of Administration Division of AOGCC 333 West 7th Avenue Anchorage, Alaska 99501 Page 1 of 1 Total of All Pages $ - REF Type Number Amount Date Comments I PVN ADN84501 2 Ao AO-15-005 3 4 FIN AMOUNT SY CC PGM LGR ACCT FY DIST LIQ 1 15 02140100 73451 15 2 3 4 5 urcha i r' y a Title: Purchasing Authority's Signature Telephone Number 1. A.Q. 6nd receiving agency name must appear on all invoices and documents relating to this purchase. 2. Tl a Itate is registered for tax free transactions under Chapter 32, IRS code. Registration number 92-73-0006 K. Items are for the exclusive use of the state and not for resale ............jV::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: pI$T:$TB:IITIO _................................................ . ..:::::::::.... ...... F` al atecei .� �X � ":DIVISiOn FSC i her: fa ed I)ivisiori.Fiscal!©rigiria[:AO>:.:.:::::::::...:Cop.................... ), . Form:02-901 Revised: 10/21 /2014 270227 0001352080 ! RECEIVED $ 308.78 OCT 2 8 2014 AFFIDAVIT OF PUBLICATION AOGCC STATE OF ALASKA THIRD JUDICIAL DISTRICT Emma Dunlap being first duly sworn on oath deposes and says that he/she is a representative of the Alaska Dispatch News, a daily newspaper. That said newspaper has been approved by the Third Judicial Court, Anchorage, Alaska, and it now and has been published in the English language continually as a daily newspaper in Anchorage, Alaska, and it is now and during all said time was printed in an office maintained at the aforesaid place of publication of said newspaper. That the annexed is a copy of an advertisement as it was published in regular issues (and not in supplemental form) of said newspaper on October 24, 2014 and that such newspaper was regularly distributed to its subscribers during all of said period. That the full amount of the fee charged for the foregoing publication is not in excess of the rate charged private individuals. Signed (17A.4AA0- Subscribed and sworn to before me this 24th day of October, 2014 Notary Public in and for The State of Alaska. Third Division Anchorage, Alaska MY COMMISSION EXPIRES Notice of Public Hearing STATE OF ALASKA ALASKA OIL AND GAS CONSERVATION COMMISSION Re: Docket # CO-14-027. The application of Eni US Operating Co. Inc. (Eni) for an exception to the spacing requirements of 20 AAC 25.055 to drill and complete a deviated development oil well Nikaitchuq SP31-W7 & SP 31-W7L1 within 500 feet of a property line where ownership or landownership changes. By letter dated October 15, 2014, Eni requests the Alaska oil and Gas Conservation Commission (AOGCC) issue an order for an exception to the spacing requirements of 20 AAC 25.055(a)(1) and approve an exception to the statewide spacing regulation for the drilling and completion of the Nikaitchuq SP31-W7 & SP31-W7L1 wells. Nikaitchuq SP31-W7 Surface Location: 4433 feet from the south line and 1460 feet from the east line of Section 19, T14N, R9E, U.M. Top of Production Interval Location: 2469 feet from the south line and 5026 feet from the east line of Section 25, T14N, R8E, U.M. Bottomhole Location: 2698 feet from the south line and 1493 feet from the east line of Section 22, T14N, R8E, U.M. Nikaitchuq SP31-W7L1 Surface Location: 4433 feet from the south line and 1460 feet from the east line of Section 19, T14N, R9E, U.M. Top of Production Interval Location: 2469 feet from the south line and 5026 feet from the east line of Section 25, T14N, R8E, U.M. Bottomhole Location: 2762 feet from the south line and 1339 feet from the east line of Section 22, T14N, R8E, U.M. The AOGCC has tentatively scheduled a public hearing on this application for December 2, 2014, at 9:00 a.m. at 333 W. 7th Ave., Anchorage, Alaska. 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 13, 2014. 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 26, 2014. In addition, written comments regarding this application may be submitted to the AOGCC, at 333 W. 7th Ave., Anchorage, Alaska 99501. Comments must be received no later than 4:30 p.m. on November 28, 2014, except that, if a hearing is held, comments must be received no later than the conclusion of the December 2, 2014 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 26, 2014, AO-15-005 Published: October 24, 2014 Cathy P. Foerster Chair, Commissioner '2SKA * Singh, Angela K (DOA) From: Colombie, Jody J (DOA) Sent: Thursday, October 23, 2014 2:19 PM To: Singh, Angela K (DOA) Subject: FW: Notice of Public Hearing, CO-14-027 (ENI) Attachments: Notice of Public Hearing, CO-14-027.pdf From: Colombie, Jody J (DOA) Sent: Thursday, October 23, 2014 10:50 AM To:'(michael.j.nelson@conocophillips.com)'; 'AKDCWellIntegrityCoordinator'; 'Alexander Bridge'; 'Allen Huckabay'; 'Andrew Vander]ack'; 'Anna Rafr; 'Barbara F Fullmer'; 'bbritch'; 'Becky Bohrer'; 'Bill Barron'; 'Bill Penrose'; 'Bill Walker'; 'Bob Shavelson; 'Brian Havelock; Burdick, John D (DNR); 'Carrie Wong'; 'Cliff Posey'; 'Colleen Miller'; 'Corey Cruse'; 'Crandall, Krissell'; 'D Lawrence'; 'Dave Harbour'; 'David Boelens'; 'David Duffy'; 'David Goade'; 'David House'; 'David McCaleb'; 'David Scott'; 'David Steingreaber; 'David Tetta'; 'Davide Simeone'; 'ddonkel@cfl.rr.com'; 'Dean Gallegos'; Delbridge, Rena E (LAA); 'Donna Ambruz'; 'Ed Jones'; 'Elowe, Kristin'; 'Evans, John R (LDZX)'; 'Francis S. Sommer'; 'Frank Molli'; 'Gary Oskolkosf; 'George Pollock'; 'ghammons'; 'Gordon Pospisil'; 'Greg Duggin'; 'Gregg Nady'; 'gspfofr; 'Jacki Rose'; 'Jdarlington (jarlington@gmail.com)'; 'Jeanne McPherren'; 'Jeffery B. Jones (jeffJones@alaska.gov)'; 'Jennifer Williams'; 'Jerry Hodgden'; 'Jerry McCutcheon'; 'Jessica Solnick'; 'Jim Watt'; 'Jim White'; 'Joe Lastufka'; 'Joe Nicks'; 'John Adams'; 'John Easton'; 'John Garing'; 'Jon Goltz'; Jones, Jeffrey L (GOV); 'Juanita Lovett'; 'Judy Stanek'; 'Julie Houle'; 'Julie Little'; 'Kari Moriarty; 'Keith Wiles'; 'Kelly Sperback'; Kiorpes, Steve T; 'Klippmann'; 'Laura Silliphant (laura.gregersen@alaska.gov)'; 'Leslie Smith'; 'Lisa Parker'; 'Louisiana Cutler'; 'Luke Keller'; 'Marc Kovak'; 'Mark Dalton'; 'Mark Hanley (mark.hanley@anadarko.com)'; 'Mark Landt; 'Mark Wedman'; 'Marquerite kremer (meg.kremer@alaska.gov)'; 'Michael Jacobs'; 'Michael Moora'; 'Mike Bill'; 'Mike Mason; Mikel Schultz; MJ Loveland; mjnelson; mkm7200; Morones, Mark P (DNR); nelson; Nichole Saunders; Nick W. Glover; Nikki Martin; NSK Problem Well Supv; Patty Alfaro; Paul Decker (paul.decker@alaska.gov); 'Paul Mazzolini'; Pike, Kevin W (DNR); Randall Kanady; Randy L. Skillern; 'Randy Redmond'; 'Renan Yanish'; 'Robert Brelsford'; 'Ryan Tunseth'; Sara Leverette; 'Scott Griffith'; Shannon Donnelly; Sharmaine Copeland; 'Sharon Yarawsky'; Shellenbaum, Diane P (DNR); Slemons, Jonne D (DNR); Smart Energy Universe; Smith, Kyle S (DNR); Sondra Stewman; 'Stephanie Klemmer'; Sternicki, Oliver R; Steve Moothart (steve.moothart@alaska.gov); 'Suzanne Gibson'; Tamera Sheffield; Tania Ramos'; Ted Kramer'; Temple Davidson; Terence Dalton; Teresa Imm; Thor Cutler; Tim Mayers'; Tina Grovier (tmgrovier@stoel.com); Todd Durkee; Tony Hopfinger; trmjrl; Tyler Senden'; Vicki Irwin; Vinnie Catalano; Walter Featherly; Yereth Rosen; 'Aaron Gluzman'; 'Aaron Sorrell'; Ajibola Adeyeye; Alan Dennis; Andrew Cater; Anne Hillman; 'Bruce Williams'; Bruno, Jeff J (DNR); Casey Sullivan; David Lenig; 'Donna Vukich'; Eric Lidji; Erik Opstad; 'Gary Orr'; 'Graham Smith'; 'Greg Mattson'; Hans Schlegel (hans.schlegel@ge.com); Heusser, Heather A (DNR); Holly Pearen; 'James Rodgers'; 'Jason Bergerson'; Jennifer Starck; 'Jill McLeod'; 'Jim Magill'; Joe Longo; John Martineck; Josh Kindred; Kenneth Luckey; King, Kathleen J (DNR); Laney Vazquez; Lois Epstein; Longan, Sara W (DNR); Marc Kuck; Marcia Hobson; 'Marie Steele'; Matt Armstrong; 'Matt Gill'; 'Mike Franger'; Morgan, Kirk A (DNR); Pat Galvin; 'Patricia Bettis'; Peter Contreras; Richard Garrard; Richmond, Diane M; Robert Province; 'Ryan Daniel`; 'Sandra Lemke; 'Scott Pexton'; Shaun Peterson; 'Susan Pollard'; Talib Syed; Todd, Richard J (LAW); Tostevin, Breck C (LAW); 'Wayne Wooster'; 'William Hutto'; 'William Van Dyke' Subject: Notice of Public Hearing, CO-14-027 (ENI) r i James Gibbs Jack Hakkila Bernie Karl Post Office Box 1597 Post Office Box 190083 K&K Recycling Inc. Soldotna, AK 99669 Anchorage, AK 99519 Post Office Box 58055 Fairbanks, AK 99711 Gordon Severson Penny Vadla George Vaught, Jr. 3201 Westmar Cir. 399 W. Riverview Ave. Post Office Box 13557 Anchorage, AK 99508-4336 Soldotna, AK 99669-7714 Denver, CO 80201-3557 Robert A. Province Richard Wagner Darwin Waldsmith Land Manager —Alaska Post Office Box 60868 Post Office Box 39309 Eni Petroleum Fairbanks, AK 99706 Ninilchik, AK 99639 3800 Centerpoint Dr., Ste. 300 Anchorage, AK 99503 Angela K. Singh eni petfoleum October 15, 2014 is 3800 Centerpoint Drive. Suite 300 Anchorage, Alaska 99503 Phone (907) 865-3300 Patricia Bettis Alaska Oil & Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 Re: Revised Request for Well Spacing Exception Nikaitchuq Unit — SP31-W7 & SP31-W71_1 North Slope, Alaska ADL 388577, ADL 388575 Dear Ms. Bettis: • RECEIVED OCT 16 ?U'14 AOGCC This revised letter request for Well Spacing Exception is to replace the previous letter dated October 9, 2014 due to incorrect well coordinates. 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 well SP31-W7 and its lateral SP31-W7L1, a deviated development oil well. The well and its lateral will be drilled from eni's offshore gravel pad (Spy Island Drillsite) as part of eni's Nikaitchuq West Extension reservoir on the west side of the Nikaitchuq Unit. SP31-W7 Surface Location: 4433' FSL, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — R8E, UM Bottom Hole, estimated: 2698' FSL, 1493' FEL Sec. 22, T14N — R8E, UM SP31-W7L1 Surface Location: 4433' FSL, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — R8E, UM Bottom Hole, estimated: 2762' FSL, 1339' FEL Sec. 22, T14N — R8E, UM An exception to the spacing rules is needed for the proposed wells, SP31-W7 & SP31-W71_1 because it is an oil well drilled within 500 feet of the unit boundary line where ownership changes as seen on the enclosed well plats. -1- The well SP31-W7 and its dual lateral (SP31-W7L1), as part of Eni's Nikaitchuq west Extension project, are planned to maximize the drainage of the Nikaitchuq reservoir on the western side of the unit beyond original development plan. The well is planned to be drilled sub -parallel to a sealing fault southwest of the main wellbore. This fault is completely within the Nikaitchuq leases and provides a barrier between the planned wells and leases outside the Nikaitchuq unit. Also enclosed please find the following: • a notification list of parties entitled to notice of this application • a copy of notice sent by certified mail • an affidavit signed by Land Manager If you have any questions related to land or ownership issues, please contact me or for questions regarding the technical aspects of this application, please contact Andrew Buchanan at 907-865-3388. Sincerely, t6��44,1,te-' Robert A. Province Land Manager -Alaska Enclosures: 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 TEXAS § COUNTY OF HARRIS § Subscribed and Sworn before me, a Notary Public, in and for the State of Texas, on the 15th day of October 2010, Robert A. Province, personally appeared before me and signed this above. AfMEE MUNSON NOTARY PUBLIC, STATE OF TEXAS 11 MY COMMISSION EXPIRES 11 My Commission Expires: 4 �� S oF J U N E 27, 2015 QJ Postal • (DomesticOnly; tr1 ru For delivery information visit our website at www.usps.come —0 Ln OFFICIAL USE .A M Postage $ co 7Airt- certified Fee M ca O Return Receipt Fee Here (' p (Endorsement Required) I O Restricted Delivery Fee O (Endorsement Required) Lrl n ra Total Postage & Fees •'-\ O O \ Ur Sent re Mr. Bill Barron, Director ODepartment of Natural Resources, Division of Oil & Gas Iti °i 550 West 7th Avenue, Suite 1020 o Anchorage, AK 99501 k '% 41 . • cno us ©perrafing eni us operating co. inc. 3800 Centerpoint Dr., Suite 300 Anchorage, AK 99503 - U.S.A. Tel. 907-865-3300 Fax 907-865-3380 October 15, 2014 Mr. Bill Barron, Director Department of Natural Resources, Division of Oil and Gas 550 West 7th Ave, Suite 1100 Anchorage, Alaska 99501-3563 Re: Revised Notification Letter - Eni has submitted to the Alaska Oil and Gas Conservation Commission a Request for Well Spacing Exception Nikaitchuq Unit — Wells SP31-W7 & SP31-W71-1 Eni leases: ADL 388577 and ADL 388575 Dear Mr. Barron: This revised Notification letter is to replace the Notification letter sent to you dated October 9, 2014 as a result of incorrect well coordinates. Eni US Operating Co. ("eni") hereby gives notice that it has applied to the Alaska Oil and Gas Conservation Commission ("AOGCC") for a spacing exception to the provisions of 20 AAC 25.055 for the drilling of the two above referenced wells (the "Wells") and request approval to drill the wells as described in the Spacing Exception Application. The well and its lateral will be drilled from eni's offshore offshore gravel pad (Spy Island Drillsite) as part of eni's Nikaitchuq West Extension reservoir on the west side of the Nikaitchuq Unit. SP31-W7 Surface Location: 4433' F31-, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — RBE, UM Bottom Hole, estimated: 2698' FSL, 1493' FEL Sec. 22, T14N — RBE, UM SP31-W7L1 Surface Location: 4433' FSL, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — RBE, UM Bottom Hole, estimated: 2762' FSL, 1339' FEL Sec. 22, T14N — RBE, UM Since a portion of eni's Wells will be drilled within 500 feet (see enclosed plat) of the Nikaitchuq Unit boundary ("property line") and pursuant to regulations 20 AAC 25.055 (d)(1), Eni is required to give notice to all owners, landowners, and operators of all properties within cn� us ®perrafing 2ni 1,000 feet of a well drilling for oil. Please accept this letter as notice that eni has applied for Spacing Exception to the AOGCC. Should you have any questions, please contact me at: 865-3350. Sincerely, Nee Robert A. Province Land and Public Relations Manager -Alaska Attachment: Plat of Well Nikaitchuq Development Map with Faults SOD 491000 086000 49M 500000 Nikaitchuq Development Pattern MM 5506000 50B000 510000 512ID 514000 516000 518000 520000 ADL388575 AD 574 ADL38k5S3 \ \ \ \ \ \ •KW� \\ \\ \\ \\ \ \\ J 88 N, 500' From Lease \ -_ ADL3 3 Ilk NIN 0 J 492000 4940DO 496000 Nikaitchu Deveb ment ---------- 98BOOD 500000 — ---- — — 502000 591000 509DOO 508000 5100M 0 10�M aloe 3000 40M 5MM $120M 514000 518000 518000 S2=D Date Signature 12d000 — �m1ec enno p0uroBeum 2ni 0 P• CERTIFIED MAILT. RECEIPT zl" (Domestic Mail Only; No Insurance Coverage Provided) zr m Postage $ '�N sTq�"c Certified Fee � O O p Return Receipt Fee (Endorsement Required)? 2- n o Restricted Delivery Fee _ fr' O (Endorsement Required) u7 ri Total Postage & Fees $ �. ✓SPS y 1=1 ,I- Sent To Mr. Ed Kerr 0 3`ireeL �pt:70o:j. - 70 & 148, LLC ------------------•...- r,- orPO!!2N 1421 Blake Street ------ cxh sure. ZIP+4 Denver, CO 80202 ------ ---------- PS Form :00 AUgUst 2006 eno us ®perrafing eni us operating co. inc. 3800 Centerpoint Dr., Suite 300 Anchorage, AK 99503 - U.S.A. swig Tel. 907-865-3300 Fax 907-865-3380 2n� October 15, 2014 Mr. Ed Kerr 70 & 148, LLC Denver, Colorado 80202 Re: Revised Notification Letter - Eni has submitted to the Alaska Oil and Gas Conservation Commission a Request for Well Spacing Exception Nikaitchuq Unit — Wells SP31-W7 & SP31-W71_1 Eni leases: ADL 388577 and ADL 388575 Dear Mr. Kerr. - This revised Notification letter is to replace the Notification letter sent to you dated October 9, 2014 as a result of incorrect well coordinates. Eni US Operating Co. ("eni") hereby gives notice that it has applied to the Alaska Oil and Gas Conservation Commission ("AOGCC") for a spacing exception to the provisions of 20 AAC 25.055 for the drilling of the two above referenced wells (the "Wells") and request approval to drill the wells as described in the Spacing Exception Application. The well and its lateral will be drilled from eni's offshore offshore gravel pad (Spy Island Drillsite) as part of eni's Nikaitchuq West Extension reservoir on the west side of the Nikaitchuq Unit. SP31-W7 Surface Location: 4433' FSL, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — RBE, UM Bottom Hole, estimated: 2698' FSL, 1493' FEL Sec. 22, T14N — RBE, UM SP31-W7L1 Surface Location: 4433' FSL, 1460' FEL Sec. 19, T14N — R9E, UM Productive Intervals, estimated: 2469' FLS, 5026' FEL Sec. 25 T14N — RBE, UM Bottom Hole, estimated: 2762' FSL, 1339' FEL Sec. 22, T14N — RBE, UM Since a portion of eni's Wells will be drilled within 500 feet (see enclosed plat) of the Nikaitchuq Unit boundary ("property line") and pursuant to regulations 20 AAC 25.055 (d)(1), Eni is required to give notice to all owners, landowners, and operators of all properties within 1,000 feet of a well drilling for oil. Please accept this letter as notice that eni has applied for Spacing Exception to the AOGCC. ern � us aperrafing Should you have any questions, please contact me at: 865-3350. Sin erely, L '1rti^c� Robert A. Province Land and Public Relations Manager -Alaska Attachment: Plat of Well 40 0 `Nikaitchuq Development leap with Faults Nikaitchuq Development Pattern Nikaitch u Develo ment 0 ,F 21ao 19M 4= swoon )ate Signature 10/0812914. _ _._ 1:24000 0 "` ernn� pcCro�cum 2ni 2no October 7, 2014 eni pduroo ku nn ® ® � � � � 3800 Centerpoint Drive, Suite 300 R Anchorage, Alaska 99503 Phone:907-865-3300 OCT 092014 AOGCC Patricia Bettis Alaska Oil & Gas Conservation Commission 333 West 7th Avenue, Suite 100 Anchorage, AK 99501 Re: Request for Well Spacing Exception Nikaitchuo Unit — SP31-W7 & SP31- North Slope, Alaska ADL 388577, ADL 388575 Dear Ms. Bettis: 1 Eni US Operating Co. ("en as' p ator of the Nikaitchuq Unit hereby applies for an exception to the provisions of CC 25.055 for the drilling of well SP31-W7 and its lateral SP31-W7L1, a deviat a elopment oil well. The well and its lateral will be drilled from eni's offshore gra I pad (Spy Island Drillsite) as part of eni's Nikaitchuq West Extension reservoir o e west side of the Nikaitchuq Unit. SP31-W7 & SP31-W71_1 Surface Location: 4438' FSL, 1460' FEL Sec. 25, T14N — R8E, UM Productive Intervalsestimated: 2469' FLS, 5026' FEL Sec. 31 T14N — R8E, UM Bottom Hole, estirr a� Ited: 2698' FSL, 1493' FEL Sec. 22, T14N — R8E, UM SP31-W7L1 Surface Loc ion: 4433' FSL, 1460' FEL Sec. 25, T14N — R8E, UM Productive tervals estimated: 2469' FLS, 5026' FEL Sec. 31 T14N — R8E, UM Bottom Hole, estimated: 2762' FSL, 1339' FEL Sec. 22, T14N — R8E, UM An exgeption to the spacing rules is needed for the proposed wells, SP31-W7 & SP3V`W7L1 because it is an oil well drilled within 500 feet of the unit boundary line whq e ownership changes as seen on the enclosed well plats. -1- eM petrrokumnn� 3800 Centerpoint Drive, Suite 300 Anchorage, Alaska 99503 Phone: 907-865-3300 2n� Also 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 If you have any questions related to land or ownership issues, please contact me or for questions regarding the technical aspects of this application, please contact Andrew Buchanan at 907-865-3388. Sincerely, Robert A. Province Land Manager -Alaska 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 3'2' Jj,),,*, District Subscribed and Sworn before me, a Notary Public, in and for the State of Alaska, on the L � day of 4 r G_, h C,Z f L • if Septembef-201- j; Robert A. Province, personally appeared berekngd�hi a oL., L' ,2 Notary Public IS RAND C tate of Alaska ion Expires Dec.19t4 2 W • • eni etroleurrn P 3800 Centerpoint Drive. Suite 300 Anchorage, Alaska 99503 Phone (907) 865-3300 LIST OF PROPERTY OWNERC ADL 392539 Surface Owner: Mr. W.C. Barron, Director Division of Oil and Gas Department of Natural Resources, State of Alaska 550 West 5th Avenue, Suite 800 Anchorage, AK 99501 Working Interest/Leaseholder: Mr. Ed Kerr 70 & 148, LLC 1421 BLAKE STREET DENVER CO 80202 -1- en6 petroleum um 3800 Centerpoint Drive. Suite 300 Anchorage, Alaska 99503 Phone (907) 865-3300 LIST OF PROPERTY OWNERf51 ADL 392539 Surface Owner: Mr. W.C. Barron, Director Division of Oil and Gas Department of Natural Resources, State of Alaska 550 West 51h Avenue, Suite 800 Anchorage, AK 99501 Working Interest/Leaseholder: Mr. Ed Kerr 70 & 148, LLC 1421BLAKESTREET DENVER CO 80202 -I- • 0 eni us op rrafing eni us operating co. inc. 3800 Centerpoint Dr., Suite 300 Anchorage, AK 99503 - U.S.A. Tel. 907-865-3300 Fax 907-865-3380 October 8, 2014 Mr. W.C. Barron, Director Division of Oil and Gas Department of Natural Resources, State of Alaska 550 West 5th Avenue, Suite 800 Anchorage, AK 99501 Re: Notification Letter - Eni has submitted to the Alaska Oil and Gas Conservation Commission a Request for Well Spacing Exception Nikaitchuq Unit — Wells SP31-W7 & SP31-W7L1 Eni leases: ADL 388577 and ADL 388575 Dear Mr. Barron: Eni US Operating Co. ("eni") hereby gives notice that it has applied to the Alaska Oil and Gas Conservation Commission ("AOGCC") for a spacing exception to the provisions of 20 AAC 25.055 for the drilling of the two above referenced wells (the "Wells") and request approval to drill the wells as described in the Spacing Exception Application. Since a portion of eni's Wells will be drilled within 500 feet (see enclosed plat) of the Nikaitchuq Unit boundary ("property line") and pursuant to regulations 20 AAC 25.055 (d)(1), Eni is required to give notice to all owners, landowners, and operators of all properties within 1,000 feet of a well drilling for oil. Please accept this letter as notice that eni has applied for Spacing Exception to the AOGCC. Should you have any questions, please contact me at: 865-3350. Sincerely, Robert A. Province Land and Public Relations Manager -Alaska Attachment: Plat of Well tr) —0 m co I I U.S. Postalkrvice,,, CERTgFIEMAIL,. RECEIPT (Domestic U.S. Only; No Insurance Coverage Provided) For delivery information visit our website at www.usps.come FICIAL US Postage $ Certified Fee Return Receipt Fee (Endorsement Requ red) Restricted Delivery Fee (Endorsement Required) Total Postage & Fees $ -r % Pa�islrnark � #ire O� C'. . J >. C I- senrro Mr. W.C. Barron, Director r-q Division of Gas and Oil El otreet, x N` Department of Natural Resources,State of Alaska -- PO Box f-- P � state zji 550 West 5th Ave. Suite 800 Anchorage, AK 99501 PS Form :0r2006See Reverse for instructio JAi► 2n� October 8, 2014 Mr. Ed Kerr 70 & 148, LLC Denver, Colorado 80202 cno GIs ©perrfing eni us operating co. inc. 3800 Centerpoint Dr., Suite 300 Anchorage, AK 99503 — U.S.A. Tel. 907-865-3300 Fax 907-865-3380 Re: Notification Letter - Eni has submitted to the Alaska Oil and Gas Conservation Commission a Request for Well Spacing Exception Nikaitchuq Unit — Wells SP31-W7 & SP31-W7L1 Eni leases: ADL 388577 and ADL 388575 Dear Mr. Kerr: Eni US Operating Co. ("eni") hereby gives notice that it has applied to the Alaska Oil and Gas Conservation Commission ("AOGCC") for a spacing exception to the provisions of 20 AAC 25.055 for the drilling of the two above referenced wells (the "Wells") and request approval to drill the wells as described in the Spacing Exception Application. Since a portion of eni's Wells will be drilled within 500 feet (see enclosed plat) of the Nikaitchuq Unit boundary ("property line") and pursuant to regulations 20 AAC 25.055 (d)(1), Eni is required to give notice to all owners, landowners, and operators of all properties within 1,000 feet of a well drilling for oil. Please accept this letter as notice that eni has applied for Spacing Exception to the AOGCC. Should you have any questions, please contact me at: 865-3350. Sincerely, Robert A. Province Land and Public Relations Manager -Alaska Attachment: Plat of Well 1 U.S. Postal ServiceTIA CER*TIFD MAILTti, RECEIPT (Domestic Mail Only; No Insurance Coverage Provided) For delivery information visit our website at www.usps.come ..D m Postage $ CQ Certified Fee 0 l3 Retum Receipt Fee O (Endorsement Required) d Restricted Delivery Fee E3 (Endorsement Required) r—1 Total Postage & Fees $ i O = Sent To Mr. Ed Kerr o s4reeet 4pENo.; 70 & 148, LLC ......................... ofPOBox No. 1421 Blake Street CitySiare,zrP+4 Denver, CO 80202 ------------- PS Form rr. See Reverse for InstructiorN 4K e nnn p®Crroleum • SP31-W7 & SP31-W7L1 Spacing Exception • 10/3/14 en no Nikaitchuq Development Map with Faults Nikaitchuq Development Pattern ggvDp 49400D 49600D 498= 50000D 502 D SUM 50MM SM= 510000 512000 514000 51fi00D 5180M 5201M 5 ADL388575 AD 8574 ADL38Q,583 \ \ \ \ \ \ S134-wL M \ \ n,un (�7j ,pyl'3) \ \ \ \ \ ADL3 3 )0' From Lease r r rn ra N W) CIAJ to 03 co O3 1+3 J C) Q 0 J 0 Q Q Q 2 ��_. 4920W 4940D0 4960� Nikaitchu Develo men Date Signature 0 09/2014 AK Dev. T can i 50m0U 'SOm00 SUI000 ' .63B ' wiow. 510000 0 1000 2000 3000 400D • t 124am 51200D 51400D Siam 519000 520000 =7 cn� p®rrroleum Nikaitchuq Development Map 49 1� 1 I avz000 a�n000... n�euoo Nikaitchuq Developmen Date Signature 10/08/2014 AK Dev. Team ADL388576 tas4-w_ ty fi63i�-bl�l CD M C-1 J -j O Q can n • • Section A -A' /1 can i k' eno pecurolieum u • 4ikaitchuq Development Map with Faults Zoom Nikaitchuq Development Pattern 4926W 4932W 493800 4940W 4941W 411" 495200 495600 498000 496400 49M 497200 4W600 495000 49890b 49," 499200 4996W SWOW SW4W I.MW 501200 5016W 502000 502400 5025M Faint B \ A' \' g g \ 175' \ 500' From Lease AN-1 \` Fault A -, -,- 4928W 493200 493600T 494000 .•494400 494900 T 4952W as5600 49E000� 496400 496800 4snW 497600 498Wa 49840D 4.9eeW 499200 s99600 SOOOeD W0400 6W600 5012(la 5016W 502W0 SozaW 502800 Nikaitchu Deveio men o 10D0 20W 30W 4000 M Date Signature -�- -- - 1:8000 10/08l 14 AK Dev. Team can n 0 :7