STATE OF ALASKA
ALASKA OIL AND GAS CONSERVATION COMMISSION

3001 Porcupine Drive
Anchorage Alaska 99501-3192

Re:THE REQUEST OF UNOCAL               )   Conservation Order No. 284
CORP. to commingle produced              )
fluids from the Middle Kenai "G"          )   McArthur River Field
and West Foreland Oil Pools with          )   Trading Bay Unit
those from an undefined pool in           )   Middle Kenai "G" Oil Pool
the TBU State M-28 wellbore               )   West Foreland Oil Pool
                                              Undefined Oil Pool

                                              December 23, 1991

IT APPEARING THAT:

1. By correspondence dated November 14, 1991 Unocal North American Oil and Gas Division of Unocal Corporation (Unocal) requested an order allowing commingling of produced fluids from the Middle Kenai "G", West Foreland and an undefined oil pool in the wellbore of TBU State M-28.

2. Notice of public hearing was published in the Anchorage Daily News and the Anchorage Times on December 4, 1991 pursuant to 20 AAC 25.540, and the Alaska Administrative Journal on December 9, 1991.

3. No protests were filed with the Commission.

FINDINGS:

1. Conservation Order 234 allows commingling of produced fluids from the Middle Kenai "G" and West Foreland Oil Pools in the McArthur River Field, Trading Bay Unit.

2. TBU State well M-28 has encountered hydrocarbons below the West Foreland Oil Pool.

3. Measured pressure in the undefined pool has declined from 7000 psi to 6600 psi after 207 Mbbls of withdrawl.

4. Expected rate from this limited accumulation is inadequate to support continued operation as a single zone completion.

5. Well M-28 is equipped with the ability to mechanically isolate the undefined pool from the Middle Kenai "G" and West Foreland Oil Pools to prevent crossflow.

CONCLUSIONS:

1. Commingling of produced fluids from the referenced pools in the wellbore of TBU State M-28 may result in recovery of hydrocarbons which otherwise would not be recovered.

2. Commingling of these pools will not promote waste nor jeopardize correlative rights.

NOW, THEREFORE, IT IS ORDERED THAT:

Commingling of produced fluids from the Middle Kenai "G" Oil Pool, West Foreland Oil Pool and an undefined oil pool below the West Foreland in the wellbore of TBU State M-28 is permitted.

DONE at Anchorage, Alaska, December 23, 1991.

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

Lonnie C. Smith, Commissioner
Alaska Oil and Gas Conservation Commission

Russell A. Douglas, Commissioner
Alaska Oil and Gas Conservation Commission

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