New well possible at Hilcorp’s Deep Creek
 Click here to go to the full PDF version of this issue, with any maps, photos or other artwork that appears in
some of the articles.
Small gas field on southern Kenai Peninsula produces from two Happy Valley pads, averaging some 3 million cubic feet per day
Kristen Nelson Petroleum News
Hilcorp Alaska has filed a 19th plan of development for its Deep Creek unit, a small gas field on the southern Kenai Peninsula east of Ninilchik. The 2022 POD, filed April 29 with the Alaska Division of Oil and Gas, covers Aug. 1 through July 31, 2023.
The Alaska Oil and Gas Conservation Commission lists the discovery well at Deep Creek as Union Oil Company of California’s Happy Valley A-01, drilled in 2003, although Superior Oil Co. drilled the Happy Valey Unit No. 31-22 well to a total depth of 13,550 feet measured depth in 1963. “Although this well penetrated several intervals that are currently known to contain productive sandstone reservoirs, the well was plugged and abandoned without testing. The operator’s plugging record states: ‘No productive zones encountered,’” the commission said in its Deep Creek Happy Valley pool overview.
Production began in 2004 Following the 2003 discovery well a confirmation well, Happy Valley No. 2, was drilled that same summer and tested gas from two different Lower Tyonek reservoirs than the two encountered in Happy Valley A-01. Unocal drilled nine additional wells from the Happy Valley A Pad in 2004, completing eight of those as gas producers, the commission said.
The company constructed a 15-mile pipeline and gas production facilities at A Pad, and gas sales began in late in 2004. Production from the Happy Valley Beluga/Tyonek gas pool peaked at an average of 13.5 million cubic feet per day in January 2005.
Hilcorp Alaska became owner and operator at Deep Creek on Jan. 1, 2012, and drilled three additional gas producers from a new drill site - Happy Valley B Pad, the commission said.
In its POD application, Hilcorp said Happy Valley participating area production averaged 3.02 million cubic feet per day in calendar year 2021, with another 657 thousand cubic feet per day from Happy Valley tract operations. The company said two wells, HVB 14 and HVB 15, produce on a tract basis.
AOGCC production data for March, the most recent month available, shows Deep Creek averaging just over 3 million cubic feet per day that month, accounting for 1.3% of Cook Inlet production.
Hilcorp said cumulative participating area production during 2021 was 1,101 million cubic feet; cumulative tract production was 20 million cubic feet.
2021 POD work In the previous POD, the 2021 plan, Hilcorp said it was evaluating the HVB 18 well, targeting the Tyonek sands. The company said additional Middle/Deep Tyonek wells, including the HVB 19, are “highly dependent” on results of HVB 18. AOGCC records show the most recent development well at Deep Creek, Happy Valley B-17, was completed in 2016.
Hilcorp said it was evaluating a rig workover for HVB 16. “Ideas include abandonment of open Beluga perforations, pull tubing, and recomplete well to the Sterling A sand.” It also planned a recompletion to the Sterling C in the HVB 14.
During the 2021 POD, Hilcorp added Tyonek and Beluga perforations to the HVA 10 well.
The HVB 18 was not drilled in the 2021 POD period, neither were additional Middle/Deep Tyonek wells, including HVB 19.
The rig workover at HVB 16 was not conducted, neither was the recompletion to Sterling C at HVB 14.
2022 POD plan During the 2022 POD period, Hilcorp said it is evaluating plans to do one of the following: drill a sidetrack well from HVB 16 or drill the HVB 18.
“Both wells would be targeting the Tyonek sands,” the company said.
Hilcorp said it would “evaluate and execute additional well work opportunities as they arise,” adding that if there are significant changes in well performance it would evaluate rig workovers, perf adds, water shut-offs or fill cleanout “as necessary to maintain and enhance DCU production.”
No major facility upgrades are planned for the 2022 POD period.
|
