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January 2002

Vol. 7, No. 2 Week of January 13, 2002

Corps of Engineers reviewing Colville Delta satellite plans

Construction for Alpine satellites Fiord and Nanuk could begin in February 2003, with first production in third quarter 2004

Kristen Nelson

PNA Editor-in-Chief

Two satellite fields in the Phillips Alaska Inc.-operated Colville Delta unit on the west side of the North Slope could be in production by late 2004.

The most recent schedule available, in a Jan. 3 comment request from the U.S. Army Corps of Engineers, says construction will begin in February 2003, subject to permit approval.

The corps said the schedule supplied by Phillips Alaska in its application to lay gravel for development of the Colville North (Fiord) and Colville South (Nanuq) satellites calls for construction on two pads, a road and an airstrip to begin in February 2003, with first production expected in the third quarter of 2004.

Phillips Alaska spokeswoman Dawn Patience told PNA Jan. 7 that the earliest construction would begin would be 2003.

Phillips has dedicated $47 million to Alpine plant capacity expansion. Both Fiord and Nanuq would be processed through the Alpine facilities and those, she said, are still running full. The facilities were built to handle an expected 80,000 barrels per day and since Alpine production began in November 2000, daily rates have at times exceeded 100,000 barrels.

Two new pads will be built

The proposed CD South (Nanuq) pad is approximately five miles north of the Village of Nuiqsut and four miles south of the Alpine Central Processing Facility. The proposed CD North (Fiord) pad is approximately five miles north of the Alpine processing facility. Phillips’ application is to place 639,000 cubic yards of gravel fill on 71.4 acres. The access road from the CD South satellite to the Alpine processing facility requires the most gravel, 254,000 cubic yards for 30.9 acres. The airstrip at the CD North satellite facility requires 120,000 cubic yards for 14.3 acres. The CD South satellite pad will require 122,000 cubic yards for 9.3 acres and the CD North pad will require 110,000 cubic yards for 12.6 acres. Gravel will also be used to modify the access road to the second drill site at Alpine as part of the CD South satellite work. The CD North satellite work also includes gravel for an access road from the pad to the airstrip and a taxiway and apron at the airstrip.

The corps said the primary gravel source will be the Arctic Slope Regional Corp.’s Kuukpik gravel mine, some six miles southeast of CD South and 13 miles southeast of CD North. Phillips is also proposing to reclaim 16,400 cubic yards of gravel from the Itkilik airstrip some 11 miles south of Nuiqsut.

New road section at Alpine main facility

The gravel road from the CD South satellite to the main Alpine pad will follow a naturally occurring ridge spanning approximately 80 percent of the route; the remaining 20 percent will be on discontinuous sections of the ridge. The road will parallel the Alpine runway at the processing facility.

The corps said that to avoid existing dual use of the Alpine runway as both an airstrip and a roadway, Phillips has proposed 1,050 feet of new roadway to tie the existing second drill site at Alpine to the proposed CD South access road.

The nine-acre drill pad at CD South will be above a 200-year return flood event and will be oriented parallel to prevailing winds to minimize snow accumulation on the pad. The pad site is approximately 130 feet from the nearest water body and more than 1,000 feet from subsistence fish camps on the Nigliq Channel.

Access to the CD North satellite will be by 3,670-foot gravel airstrip and a 0.4 mile access road between the airstrip and the drill pad. The corps said the airstrip will accommodate fixed-wing aircraft or helicopters. Both the airstrip and drill pad will be above a 200-year return flood event.

This drill pad will also be built be parallel to prevail winds to minimize snow accumulation.

Drilling plans vary for the pads

The planned drilling program includes 32 wells at each pad. The CD South wells would be drilled on a year-round basis depending on rig availability.

The CD North wells will be drilled in the winter to avoid impacts to wildlife and subsistence activities during summer months. A minimum of 100 days per season will be required at CD North, and three to five winter drilling seasons will be required to complete the drilling program. The rig would be transported to other sites after each winter drilling season.

New vertical support members will be required for pipelines from the satellite fields. The three-phase (oil, water and gas) pipeline will be 20 inches in diameter; there will also be an eight-inch diameter miscible gas injection line and a 10-inch diameter water line.

The CD North pipeline will also have a two-inch diameter diesel line.

The corps said that all pipelines would be constructed with pipe and vibration dampeners a minimum of seven feet above the tundra.

The CD South pipelines will run east from the drilling pad for approximately 0.4 mile and then north parallel to and 10 feet west of the existing sales oil pipeline to the Alpine central facilities. The CD North pipeline corridor is approximately 5.8 miles. It follows naturally occurring higher ground and avoids some of the larger channels of the Colville River.

Utilities, camps

Electricity will be provided to both satellites from Alpine. All utility lines to CD South will be buried in the road. The electrical lines to CD North will be suspended on the proposed VSMs. The corps said there was no decision yet on how communications would be provided for the satellites.

There will be no permanent camp facilities because processing will be at the Alpine main facility. Construction crews will be housed at Alpine, Kuparuk or at a temporary camp at CD North. The corps said a small temporary camp will probably be used during drilling to support 24-hour operations.

The communications module will be designed to accommodate operators stranded at CD North by bad weather when the pad is operational.

The corps said Phillips has conducted three years of environmental and technical studies in the satellite project areas and has provided a draft environmental evaluation document for the project.






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