STATE OF ALASKA

ALASKA OIL AND GAS CONSERVATION COMMISSION

3001 Porcupine Drive
Anchorage Alaska 99501-3192

Re:THE APPLICATION OF Union Oil Company           ) Conservation Order No. 444
of California (Unocal)for an order granting       )
an exception to the spacing requirements of       ) Well 43B-15
20 AAC 25.055(a)(4) to provide for the drilling   ) Swanson River Unit
of the Swanson River Unit Well 43B-15 deviated    ) 	
well to an undefined gas pool.                    )
                                                    June 14, 1999

IT APPEARING THAT:

1. Union Oil Company of California (Unocal) by letter dated May 18, 1999, requested an exception to the well spacing provisions of 20 AAC 25.055(a)(4). The exception would allow drilling the Swanson River Unit (SRU) 43A-15RD gas well to a bottomhole location that is closer than 1500 feet to a section line.

2. The Commission published notice of opportunity for public hearing in the Anchorage Daily News on May 25, 1999, pursuant to 20 AAC 25.540.

3. Well SRU 43A-15RD was renamed to SRU 43B-15.

4. No protests to the application were received.

FINDINGS:

1. The SRU 43B-15 well will be drilled as a deviated well from a surface location of 1980' from the south line (FSL), 620' from the east line (FEL) of Section 15, T8N, R9W, Seward Meridian (SM) to a bottomhole location 1980' FSL, 745' FEL of Section 15, T8N, R9W, SM.

2. Offset owner ARCO Alaska, Inc. has been duly notified.

3. An exception to the well spacing provisions of 20 AAC 25.055(a)(4) is necessary to allow the drilling of this well.

CONCLUSION:

Granting a spacing exception to allow drilling of the SRU 43B-15 gas well will not result in waste nor jeopardize correlative rights.

NOW, THEREFORE, IT IS ORDERED:

Unocal's application for exception to the well spacing provisions of 20 AAC 25.055 (a)(4) for the purpose of drilling the SRU #43B-15 is approved.

DONE at Anchorage, Alaska and dated June 14, 1999.

Robert N. Christenson, P. E., Chairman
Alaska Oil and Gas Conservation Commission

Camillé Oechsli, Commissioner
Alaska Oil and Gas Conservation Commission

David W. Johnston, Commissioner
Alaska Oil and Gas Conservation Commission

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