ADMINISTRATIVE APPROVAL NO. 462.01
Mr. John Isby
Endicott Development Geologist
BP Exploration (Alaska) Inc.
P. 0. Box 196612
Anchorage, AK 99519-6612
Re: Spacing Exception for Endicott 3-33A/J-35 Well
Dear Mr. Isby:
The Alaska Oil and Gas Conservation Commission (“Commission”) received your correspondence dated February 2, 2004 requesting a waiver of spacing requirements for drilling and completion of the Endicott 3-33A/J-35 well. This proposed well will produce from subzone 2A of the Kekiktuk Formation, and it will lie within 1,000 feet of the existing Endicott 4-38/K-34 well, which has open perforations in subzone 2A.
Conservation Order 462 (“CO 462”) governs the Endicott Oil Pool. Rule 3 of CO 462 states in part: “The pool may not be opened in a well closer than a 1000 feet to any well opened to the pool.” The information you submitted indicates that a pressure-sealing fault separates subzone 2A in well 3-33A/J-35 from that same subzone already opened by well 4-38/K-34. The fault-separation of the proposed and existing wells is substantively equivalent to the requirements of Rule 3 in CO 462.
Rule 3 also provides that the “Commission may administratively approve modifications to well spacing when justified.” The Commission has determined drilling and completion of the Endicott 3-33A/J-35 well will enhance recovery, and it will not promote waste or jeopardize correlative rights. The Commission hereby approves the drilling, completion and production of Kekiktuk subzone 2A within Endicott 3-33A/J-35 as proposed.
The Alaska Oil and Gas Conservation Commission
DONE at Anchorage, Alaska and dated February 3, 2004.
John K. Norman, Chair
Daniel T. Seamount, Jr.
BY ORDER OF THE COMMISSION