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Providing coverage of Alaska and northern Canada's oil and gas industry
December 2019

Vol. 24, No.48 Week of December 01, 2019

Accumulate’s Charlie 1 ops plan approved

Kay Cashman

Petroleum News

On Nov. 22, the state of Alaska’s Division of Oil and Gas approved Accumulate Energy Alaska’s Charlie No. 1 exploration well’s lease plan of operations, which the company is scheduled to drill this winter some 29 miles west of the Franklin Bluffs pad on the North Slope.

Accumulate is a local operating subsidiary of 88 Energy Ltd., a West Perth-based ASX and AIM listed firm. The company’s Alaska arm has three fully owned subsidiaries - Accumulate, Captivate Energy Alaska and Regenerate Energy Alaska.

88E’s top executive in Alaska for Captivate and Accumulate is Anchorage-based general manager of operations Erik Opstad, a state of Alaska certified professional geologist, who has worked the North Slope for more than 34 years, including a stint with BP in various roles and as a principal and general manager of Savant Alaska.

On Aug. 8, Accumulate filed its proposed lease plan of operations for Charlie No. 1. After the division conducted an internal review that included consulting other agencies, a public notice of the plan and opportunity to comment was conducted from Oct. 1 to Oct. 31.

Public notice of the plan and opportunity to comment, per AS 38.05.035, was published in privately owned general circulation newspapers on the North Slope and Anchorage. Additionally, a copy of the notice was posted on state of Alaska and division websites and faxes of the public notice were sent to the Nuiqsut, Deadhorse and Utqiagvik post offices.

No comments were received.

Scope of decision, operations

Accumulate will drill the Charlie No. 1 exploration well on state oil and gas lease ADL 393380, in which the mineral estate lessees are listed as Accumulate Energy Alaska and Burgundy Exploration.

Thirty-four miles of ice roads will be built along with two ice pads, one drill pad and one staging pad.

All operations will be conducted from the ice pads.

Facilities used for the operation will include a satellite office camp, storage and laydown areas, a communication tower, maintenance shops and a 60-80 bed camp.

All facilities will be temporary.

The staging pad will be built one mile west of the Dalton Highway at Milepost 386.

The primary drilling objective is testing and evaluating the Seabee formation for oil, a target found in surrounding exploration wells, including Malguk No. 1, drilled by BP in 1991. However, the Charlie No. 1 will intersect seven stacked prospects, four of which are interpreted as oil bearing.

Using the Nordic 3 drilling rig, the Charlie well will be drilled to an approximate depth of 11,000 feet.

Electrical, natural gas, sewer and water utilities will not be on the ice pads. Rig operations will be self-contained, powered by generators. Smaller dual generator sets will provide power to camps, offices and other facilities.

Project road activities include the following:

* Constructing the 32-mile long main TWR (tundra winter road) starting at MP 386.7 Dalton Highway.

* Constructing a 300 by 300-foot ice staging pad within one mile of the start of the main TWR.

* Constructing the 500 by 500-foot Charlie No. 1 ice drill pad.

Accumulate has identified two locations for potential ice airstrips and plans to build a single airstrip in one of the locations as needed. The airstrip may be used to transport crew members and materials required for the operation.

The company’s preferred location is on Lake A28 with an alternate plan for Lake A23. Both lakes are within the MTRS U004N011E Sec 7.

The airstrip will be designed to accommodate up to a 30-passenger aircraft and may be up to 300 feet wide and 5,000 feet in length.

Per the division’s approval decision, “an eligible person affected” by the decision may appeal it, in accordance with 11 AAC 02.

Any appeal must be received within 20 calendar days after the date of issuance of this decision (Nov. 22), as defined in 11 AAC 02.040(c) and (d), and may be mailed or delivered to the commissioner, Alaska Department of Natural Resources, 550 W. 7th Avenue, Suite 1400, Anchorage, Alaska 99501; faxed to 907-269-8918; or emailed to [email protected].

“An eligible person must first appeal this decision in accordance with 11 AAC 02 before appealing this decision to Superior Court.

A copy of 11 AAC 02” may be obtained from any regional information DNR office.






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