Alaska Oil and Gas Conservation Commission Notice of Public HearingSTATE OF ALASKAALASKA OIL AND GAS CONSERVATION COMMISSIONRE: Docket Numbers: CO-24-001, CO-24-002,[...]

Alaska Oil and Gas Conservation Commission

Notice of Public Hearing
STATE OF ALASKA
ALASKA OIL AND GAS CONSERVATION COMMISSION

RE:
Docket Numbers: CO-24-001, CO-24-002, CO-24-003
Hilcorp Alaska, LLC's Spacing Exception Applications for Wells MPU R-101, R-102, R-103
Milne Point Unit, North Slope Borough, Alaska

Hilcorp Alaska, LLC (Hilcorp) by letters dated January 11, 2024, filed applications with the Alaska Oil and Gas Conservation Commission (AOGCC) for exceptions to the spacing requirements of 20 AAC 25.055 and Rule 2 of Conservation Order No. 477.05 to drill, complete, and short-term pre-produce (flow back for up to 30 days) and inject into Milne Point Unit wells MPU R-101 and R-103, and produce from MPU R-102 in the Schrader Oil Pool within 500 feet of the exterior boundary of the Schrader Bluff Oil Pool Affected Area, pursuant to 20 AAC 25.055(d).

MPU R-101 (Injection Well)

Surface Location: 167' FNL, 858' FWL, Section 7, T13N, R10E, Umiat Meridian (UM)

Target Location: 1,442' FNL, 2,325' FWL, Section 2, T13N, R9E, UM

Bottom Hole Location: 1,820' FNL, 123' FWL, Section 34, T14N, R9E, UM

MPU R-102 (Production Well)

Surface Location: 159' FNL, 900' FWL, Section 7, T13N, R10E, UM

Target Location: 565' FNL, 1,720' FWL, Section 2, T13N, R9E, UM

Bottom Hole Location: 1,616' FNL, 582' FWL, Section 34, T14N, R9E, UM

MPU R-103 (Injection Well)

Surface Location: 149' FNL, 940' FWL, Section 7, T13N, R10E, UM

Target Location: 877' FNL, 2,269' FEL, Section 2, T13N, R9E, UM

Bottom Hole Location: 897' FNL, 80' FWL, Section 34, T14N, R9E, UM

Well spacing regulations protect the oil and gas rights of adjacent landowners and maximize resource recovery by establishing default limits on how close, under the land's surface, oil and gas wells can be to property lines where ownership changes hands. These limits are set forth in a regulation, 20 AAC 25.055. Operators must abide by the default limits unless they apply for, and obtain, an exception to those limits. Although exceptions to the default limits are not unusual, AOGCC carefully evaluates each application, and typically grants them only when actual geologic conditions demonstrate that the proposed subsurface location of a well is necessary to reach otherwise unreachable oil or gas and that both the rights of adjacent landowners and underground drinking water can be protected. As a general matter, AOGCC does not have extensive authority over surface impacts such as noise, emissions, or construction.

This notice does not contain all the information filed by Hilcorp. To obtain more information, contact the AOGCC's Special Assistant, Samantha Coldiron, at (907) 793-1223 or [email protected].

The AOGCC has tentatively scheduled a public hearing on this matter for March 26, 2024, at 10:00 a.m. via Microsoft Teams. The hearing, which may be changed to full virtual, if necessary, will be held in the AOGCC hearing room located at 333 West 7th Avenue, Anchorage, AK 99501. The audio call in information is (907) 202 7104 Conference ID: 671 164 378#. Anyone who wishes to participate remotely using MS Teams video conference should contact Ms. Samantha Coldiron at least two business days before the scheduled public hearing to request an invitation for the MS Teams. 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 March 8, 2024.

If a request for a hearing is not timely filed, the AOGCC may issue an order without a hearing. To learn if the AOGCC will hold the hearing, call (907) 793-1223 after March 11, 2024.

In addition, written comments regarding this application may be submitted to the AOGCC, at 333 West 7th Avenue, Anchorage, AK 99501 or [email protected]. Comments must be received no later than 4:30 p.m. on March 25, 2024, except that, if a hearing is held, comments must be received no later than the conclusion of the March 26, 2024, hearing.

If, because of a disability, special accommodations may be needed to comment or attend the hearing, contact Samantha Coldiron, at (907) 793-1223, no later than March 19, 2024.

Brett W. Huber, Sr.
Chair, Commissioner