STATE OF ALASKA

ALASKA OIL AND GAS CONSERVATION COMMISSION

3001 Porcupine Drive

Anchorage Alaska 99501-3192

Re:THE APPLICATION OF UNION             )  Conservation Order No. 392
OIL COMPANY OF CALIFORNIA               )
for an order granting an exception to   )
spacing requirements of Title           )  Union Oil Company of California
20 AAC 25.055 to provide for the        )  Trading Bay Field A-27RD 
drilling of the Trading Bay Field       )
A-27RD development oil well.            )
                                           April 4, 1997

IT APPEARING THAT:

1. Union Oil Company of California (UNOCAL) submitted an application dated March 6, 1997, requesting exception to 20 AAC 25.055(a)(3) to allow drilling the Trading Bay Field A-27RD development oil well to a producing location 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 March 18, 1997, pursuant to 20 AAC 25.540.

3. No protests to the application were received.

FINDINGS:

1. The UNOCAL Trading Bay Field A-27RD well as proposed will be a deviated hole drilled from a surface location 1605' from the south line (FSL) and 553' from the east line (FEL) of Section 4, T9N, R13W, Seward Meridian (SM) to a bottom-hole location 1136' FSL and 185' FWL of Section 8, T9N, R13W, SM.

2 Offset owner Forcenergy has been duly notified.

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 Trading Bay Field A-27RD 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 Trading Bay Field A-27RD well is approved as proposed.

DONE at Anchorage, Alaska and dated April 4, 1997.

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

Mary Marshburn, Commissioner
Alaska Oil and Gas Conservation Commission

Conservation Order Index