STATE OF ALASKA

ALASKA OIL AND GAS CONSERVATION COMMISSION

3001 Porcupine Drive

Anchorage Alaska 99501-3192
Re:THE APPLICATION OF Union               )  Conservation Order No. 340
Oil Company of California                 )
(UNOCAL) for an order granting            )
an exception to spacing requirements      )  Union Oil Company of California
of Title 20 AAC 25.055 to provide         )  Anna 3RD
for the drilling of the Granite Point     )
Field, Platform Anna 3RD                  )
development oil well.                     )
                                             October 14, 1994
APPEARING THAT:

1. UNOCAL submitted an application dated September 26, 1994 requesting exception to 20 AAC 25.055(a)(3) to allow drilling the Granite Point Field, Platform Anna 3RD development oil well to a producing location in an undefined oil pool that is closer than 500 feet to a drilling unit boundary.

2. Notice of opportunity for public hearing was published in the Anchorage Daily News on September 28, 1994 pursuant to 20 AAC 25.540.

3. No protests to the application were received.

FINDINGS:

1. The Granite Point Field Platform Anna 3RD well as proposed, will be a deviated hole drilled from a surface location 729' from the north line (FNL) and 636' from the east line (FEL) of Section 12, T10N, R12W, Seward Meridian (SM) to a proposed bottom-hole location of 2221' FNL and 2242' FEL of Section 12, T10N, R12W, SM.

2 UNOCAL is the sole owner of all offsetting spacing units.

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

CONCLUSION:

Granting a spacing exception to allow drilling of the Unocal Granite Point Field, Platform Anna 3RD well as proposed will not result in waste nor jeopardize correlative rights.

NOW; THEREFORE, IT IS ORDERED:

UNOCAL's application for exception to 20 AAC 25.055 for the purpose of drilling the Granite Point Field, Platform Anna 3RD well is approved as proposed.

DONE at Anchorage, Alaska and dated October 14, 1994.

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

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

Tuckerman Babcock, Commissioner
Alaska Oil and Gas Conservation Commission

Conservation Order Index