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HomeMy WebLinkAboutALFALFA 20-6HZ - Form 2 Application for Permit-to-Drill - Kerr McGee - 9/15/2024State of Colorado Energy & Carbon Management Commission 1120 Lincoln Street, Suite 801, Denver, Colorado 80203 Phone: (303) 894-2100 Fax: (303) 894-2109 APPLICATION FOR PERMIT TO FORM 2 Rev 05/22 Document Number: 403659050 07/24/2024 Date Received: Well Plan: is Directional Horizontal (highly deviated) If Well plan is Directional or Horizontal attach Deviated Drilling Plan and Directional Data. X Vertical Subsurface Locations 67WRng:2NTwp:20Sec:Footage at TPZ:609 FNL FNL/FSL 2439 FWL FEL/FWL Top of Productive Zone (TPZ) Measured Depth of TPZ:8076 True Vertical Depth of TPZ:7342 WELL LOCATION INFORMATION FeetFeet -104.908675 QtrQtr:SENE Sec:20 Rng:67W Twp:2N Meridian:6 Latitude:40.124549 Longitude: Footage at Surface:2400 FNL FNL/FSL 999 FEL FEL/FWL Field Name:WATTENBERG Field Number:90750 Ground Elevation:4978 GPS Data:Date of Measurement:02/10/2023GPS Quality Value:1.3 PDOPType of GPS Quality Value: Surface Location COMMINGLE ZONESMULTIPLE ZONESSINGLE ZONEZONE TYPE TYPE OF WELL OIL GAS COALBED OTHER: X X Loryn_Spady@oxy.comEmail: Name of Operator:KERR MCGEE OIL & GAS ONSHORE LP ECMC Operator Number:47120 Address: P O BOX 173779 City:DENVER State:CO Zip:80217- 3779 Contact Name:Loryn Spady Phone:(720)9293504 Fax:( ) Well Number:20-6HZ Well Name:ALFALFA FINANCIAL ASSURANCE FOR PLUGGING, ABANDONMENT, AND RECLAMATION Sidetrack Refile AmendDrillDeepenRe-enter Recomplete and OperateX Federal Financial Assurance Amount of Federal Financial Assurance $ In checking this box, the Operator certifies that it has provided or will provide at least this amount of Financial Assurance to the federal government for this Well. (Per Rule702.a.) ECMC Financial Assurance The Operator has provided or will provide Financial Assurance to the ECMC for this Well.X Surety ID Number (if applicable):20230087 Page 1 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ SURFACE AND MINERAL OWNERSHIP AT WELL’S OIL & GAS LOCATION Surface Owner of the land at this Well’s Oil and Gas Location: Fee State Federal Indian Fee State Federal IndianMineral Owner beneath this Well’s Oil and Gas Location: Surface Owner Protection Bond (if applicable):Surety ID Number (if applicable): X X MINERALS DEVELOPED BY WELL The ownership of all the minerals that will be developed by this Well is (check all that apply): X Fee State Federal Indian N/A 67WRng:2NTwp:18Sec:793FSL FNL/FSL 2416 Bottom Hole Location (BHL) FWL FEL/FWL Footage at BHL: 67WRng:2NTwp:18Sec:Footage at BPZ:2416 FSL FNL/FSL 793 FWL FEL/FWL Base of Productive Zone (BPZ) Measured Depth of BPZ:17445 True Vertical Depth of BPZ:7345 LOCAL GOVERNMENT PERMITTING INFORMATION Per § 34-60-106(1)(f)(I)(A) C.R.S., the following questions pertain to the Relevant Local Government approval of the siting of the proposed Oil and Gas Location. SB 19-181 provides that when “applying for a permit to drill,” operators must include proof that they sought a local government siting permit and the disposition of that permit application, or that the local government does not have siting regulations. § 34-60-106(1)(f)(I) (A) C.R.S. County:WELD Municipality:N/A Does the Relevant Local Government regulate the siting of Oil and Gas Locations, with respect to this Location? If yes, in checking this box, I hereby certify that an application has been filed with the local government with jurisdiction to approve the siting of the proposed oil and gas location. NoYes ApprovedThe disposition of the application filed with the Relevant Local Government is: Comments:WOGLA#: 1041WOGLA23-0047 Is the Surface Location of this Well in an area designated as one of State interest and subject to the requirements of § Yes24-65.1-108 C.R.S.? X X Date of Final Disposition:01/26/2024 Page 2 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ LEASE INFORMATION Using standard QtrQtr, Section, Township, Range format describe one entire mineral lease as follows: * If this Well is within a unit, describe a lease that will be developed by the Well. * If this Well is not subject to a unit, describe the lease that will be produced by the Well. (Attach a Lease Map or Lease Description or Lease if necessary.) Township 1 North, Range 67 West, 6th P.M. Section 8: All Section 9: W/2, SE/4 Township 2 North, Range 67 West, 6th P.M. Section 19: All Section 30: SE/4 Section 32: W/2 Weld County, Colorado SEE ATTACHED LEASE MAP Total Acres in Described Lease:2217 Described Mineral Lease is: Federal or State Lease # X Fee State Federal Indian Distance from Well to nearest: Building:1733 Feet Building Unit:2345 Feet Public Road:2383 Feet Above Ground Utility:753 Feet Railroad:5280 Feet Property Line:249 Feet INSTRUCTIONS: - Specify all distances per Rule 308.b.(1). - Enter 5280 for distance greater than 1 mile. - Building - nearest building of any type. If nearest Building is a Building Unit, enter same distance for both. - Building Unit – as defined in 100 Series Rules. SAFETY SETBACK INFORMATION OBJECTIVE FORMATIONS Objective Formation(s)Formation Code Spacing Order Number(s)Unit Acreage Assigned to Well Unit Configuration (N/2, SE/4, etc.) NIOBRARA NBRR 407-3583 1280 T2N-67W;18:S2;19:N2;20:NW4 T2N- 68W;13:E2;24:NE4 Page 3 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ SPACING & FORMATIONS COMMENTS Federal or State Unit Name (if appl): Unit Number: SUBSURFACE MINERAL SETBACKS Enter 5280 for distance greater than 1 mile. Is this Well within a unit?Yes If YES: If NO: Enter the minimum distance from the Completed Zone of this Well to the Unit Boundary:162 Feet Feet316 Enter the minimum distance from the Completed Zone of this Well to the Completed Zone of an offset Well within the same unit permitted or completed in the same formation: Enter the minimum distance from the Completed Zone of this Well to the Lease Line of the described lease:Feet Feet Enter the minimum distance from the Completed Zone of this Well to the Completed Zone of an offset Well producing from the same lease and permitted or completed in the same formation: Exception Location If this Well requires the approval of a Rule 401.c Exception Location, enter the Rule or spacing order number and attach the Exception Location Request and Waivers. Beneficial reuse or land application plan submitted?Yes Reuse Facility ID:or Document Number: DRILLING PROGRAM Proposed Total Measured Depth:17445 Feet Distance from the proposed wellbore to nearest existing or proposed wellbore belonging to another operator, including plugged wells: Will a closed-loop drilling system be used?Yes Is H2S gas reasonably expected to be encountered during drilling operations at concentrations greater than Noor equal to 100 ppm? Will salt sections be encountered during drilling?No Will salt based (>15,000 ppm Cl) drilling fluids be used?No Will oil based drilling fluids be used?Yes BOP Equipment Type:Annular Preventor Double Ram Rotating Head None If yes, attach an H2S Drilling Plan unless a plan was already submitted with the Form 2A per Rule 304.c.(10). Enter distance if less than or equal to 1,500 feet:409 No well belonging to another operator within 1,500 feetFeet Will there be hydraulic fracture treatment at a depth less than 2,000 feet in this well?No TVD at Proposed Total Measured Depth 7345 Feet Page 4 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ PLEASE ENSURE ALL CORRESPONDENCE ASSOCIATED WITH THIS PERMIT GOES TO ANALYST AND DJREGULATORY EMAIL ADDRESSES, AS LISTED ON THIS PERMIT. Offset well buffer description for the subject well has been included on this permit for review as an attachment labeled "Other". Base of Productive Zone is the same as Bottom Hole Location. The nearest offset wellbore permitted or completed in the same formation is ALFALFA 20-5HZ, DOC ID: 403864728. Comments OPERATOR COMMENTS AND SUBMITTAL This application is in a Comprehensive Area Plan 486291Location ID: I hereby certify all statements made in this form are, to the best of my knowledge, true, correct, and complete. Signed:Print Name:Loryn Spady Title:Regulatory Analyst Date:7/24/2024 Email:DJREGULATORY@OXY.COM No CAP #: Oil and Gas Development Plan Name SPROUT OGDP ID#:485787 Operator must have a valid water right or permit allowing for industrial use or purchased water from a seller that has a valid water right or permit allowing for industrial use, otherwise an application for a change in type of use is required under Colorado law. Operator must also use the water in the location set forth in the water right decree or well permit, otherwise an application for a change in place of use is required under Colorado law. Section 37-92-103(5), C.R.S. (2011). Casing Type Size of Hole Size of Casing Grade Wt/Ft Csg/Liner Top Setting Depth Sacks Cmt Cmt Btm Cmt Top CONDUCTOR 26 16 ASTM A53 B 36.94 0 80 64 80 0 SURF 12+1/4 8+5/8 L80 28 0 1755 580 1755 0 1ST 7+7/8 5+1/2 HCP110 17 0 17445 1955 17435 1000 Conductor Casing is NOT planned CASING PROGRAM POTENTIAL FLOW AND CONFINING FORMATIONS Zone Type Formation /Hazard Top M.D. Top T.V.D. Bottom M.D. Bottom T.V.D. TDS (mg/L) Data Source Comment Groundwater Fox Hills and Shallower 17 17 509 509 501-1000 USGS Depth data from DWR Confining Layer Pierre Shale 510 510 817 815 Groundwater Upper Pierre Aquifer 818 816 1648 1619 1001-10000 Electric Log Calculation Controlled by samples Confining Layer Pierre Shale 1649 1620 4579 4397 Hydrocarbon Sussex 4580 4398 4825 4630 Productive Confining Layer Pierre Shale 4826 4631 5195 4981 Hydrocarbon Shannon 5196 4982 5219 5004 Productive Confining Layer Pierre Shale 5220 5005 7727 7258 Hydrocarbon Niobrara 7729 7259 17445 7345 Base MD/TVD is BHL per ECMC Page 5 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ Best Management Practices No BMP/COA Type Description 1 Drilling/Completion Operations Kerr-McGee acknowledges and will comply with the ECMC Policy for Bradenhead Monitoring during Hydraulic Fracturing Treatments in the Greater Wattenberg Area dated May 29, 2012.` 2 Drilling/Completion Operations Anti-Collision: Kerr-McGee will perform an anti-collision evaluation of all active (producing, shut in, or temporarily abandoned) offset wellbores that have the potential of being within one hundred fifty (150) feet of a proposed well prior to drilling operations for the proposed well. Notice shall be given to all offset operators within one hundred fifty (150) feet prior to drilling.` API NUMBER 05 123 52711 00 Expiration Date:03/05/2027 Based on the information provided herein, this Application for Permit-to-Drill complies with ECMC Rules, applicable orders, and SB 19-181 and is hereby approved. ECMC Approved:Director of ECMC Date:9/15/2024 CONDITIONS OF APPROVAL, IF ANY LIST All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COA Type Description Drilling/Completion Operations Per COGCC Order 1-232, Bradenhead tests shall be performed according to the following schedule and Form 17 submitted within 10 days of each test: 1) Within 60 days of rig release, prior to stimulation. If any pressure greater than 200 psi, must contact ECMC engineer prior to stimulation. 2) If a delayed completion, a second test is required between 6-9 months, of if there is pressure above 200 psi, after rig release and prior to stimulation. If any pressure greater than 200 psi, must contact ECMC engineer prior to stimulation. 3) A post-production test within 60 days after first sales, as reported on the Form 10, Certificate of Clearance. Drilling/Completion Operations 1) Submit Form 42 electronically to ECMC 2 business days prior to MIRU (Spud Notice), for the first well/activity on the pad and provide 2 business days spud notice for all subsequent wells drilled on the pad. 2) Comply with Rule 408.j and provide cement coverage from the end of production casing to a minimum of 500' above Niobrara. Verify coverage with cement bond log. 3) Oil-based drilling fluid is to be used only after all aquifers are covered. Drilling/Completion Operations Operator acknowledges the proximity of the following listed operated wells: Operator agrees to: provide mitigation option 1 or 2 (per the DJ Basin Horizontal Offset Policy) to mitigate the situation, ensure all applicable documentation is submitted based on the selected mitigation option chosen, and submit a Form 42 (“OFFSET MITIGATION COMPLETED”) for the remediated wells, referencing the API number of the proposed horizontal well(s) stating what appropriate mitigation occurred and that it has been completed, prior to the hydraulic stimulation of this well. Newton 1 (API NO 123-10523) 3 COAs Page 6 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ 3 Drilling/Completion Operations Open Hole Logging Exception: One of the first wells drilled on the pad will be logged with cased-hole neutron log with gamma-ray log from the kick-off point into the surface casing. All wells on the pad will have a cement bond log with gamma-ray run on production casing (or on intermediate casing if production liner is run) into the surface casing. The horizontal portion of every well will be logged with a measured-while drilling gamma-ray log. The Form 5, Completion Report, for each well on the pad will list all logs run in that well and have those logs attached. The Form 5 for each well shall state “Open Hole Logging Exception - No open-hole logs were run”, and shall clearly identify the type of log and the well (by API#) in which open-hole logs were run.` Total: 3 comment(s) User Group Comment Comment Date Permit Per operator concurrence, uploaded corrected Open Hole Logging Exception Letter and deleted original 09/11/2024 Permit Final Review Completed. 08/21/2024 Engineer Offset Wells Evaluated.08/14/2024 Permit Per operator: Updated ALFALFA 20-5HZ, DOC ID on Submit Tab comment Permitting review complete 08/08/2024 OGLA The Commission approved OGDP #485787 on March 6, 2024 for the Oil and Gas Location related to this Form 2. OGLA task passed. 08/01/2024 OGLA Corrected Location ID to 486291.08/01/2024 Total: 6 comment(s) General Comments ATTACHMENT LIST Att Doc Num Name 1517584 OPEN HOLE LOGGING EXCEPTION 403659050 FORM 2 SUBMITTED 403701241 LEASE MAP 403845388 OTHER 403845390 DEVIATED DRILLING PLAN 403845392 WELL LOCATION PLAT 403845394 DIRECTIONAL DATA 403921439 OFFSET WELL EVALUATION Total Attach: 8 Files Page 7 of 7Date Run: 9/15/2024 Doc [#403659050] Well Name: ALFALFA 20-6HZ