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Anadarko plans more west side Cook Inlet wells Two additional Lone Creek wells, plus re-entry of old Moquawkie well, in permitting stage Kristen Nelson PNA News Editor
Anadarko Petroleum Corp. has begun permitting for two wells on the west side of Cook Inlet, the 3 Lone Creek and a re-entry of the 1 Mobil Moquawkie well. Permitting for a third well, the 2 Lone Creek, was begun in 1998.
The wells are on Tyonek Land, Cook Inlet Region Inc. subsurface, on the western side of Cook Inlet. Site access for the locations originates at the existing Tyonek Village Road system and uses the proposed access road to the 2 Lone Creek site. No more than 1,000 feet of new road to each location will be required.
Anadarko and partner ARCO Alaska Inc. (now Phillips Alaska) announced a discovery at the 1 Lone Creek in October 1998. The well flowed 10.6 million cubic feet of natural gas per day from 53 feet of perforations at approximately 2,400 feet.
“This represents one of the best shallow gas tests in the vicinity for a reservoir of this age and type,” Anadarko said. The company said several other possible gas zones, approximately 180 feet, were encountered during drilling but had not been tested.
Anadarko said in 1998 that plans were being made to develop the discovery which “may include additional drilling and installation of facilities necessary to produce this and subsequent wells. The well is located within five miles of a 16-inch natural gas pipeline.”
Anadarko and Phillips Alaska each hold 50 percent working interests in the discovery. Anadarko said it and Phillips jointly hold approximately 56,000 leasehold acres in the Moquawkie area and 178,000 acres in the Cook Inlet area.
In applications for this year’s work, Anadarko said it would begin at the 2 Lone Creek, the most northerly location, then move to the 3 Lone Creek and then to the 1 Mobil Moquawkie.
The rig, equipment and supply materials required for drilling operations will be transported to the site by barge and truck. Barge material will be landed on commercial landing sites on west side of upper Cook Inlet. Air support — personnel, fuel, food and other supplies — will use the Beluga and Tyonek airstrips. Moquawkie well dates from the 1960s The 1 Moquawkie, the well which will be re-entered, produced some 985 million cubic feet of gas from the Tyonek formation between 1967 and 1970. It was plugged and abandoned at the end of 1970. The gas was used as fuel for the generator that supplied electric power to the Village of Tyonek and was drilled on a 640-acre tract for which Mobil Oil Corp. and Atlantic Richfield paid a bonus of $1,175,000 to Tyonek. Mobil was the operator.
The well was spud in May of 1965 and completed in November of that year. Drilling began May 2. On May 4, when drilling had reached 1,525 feet, there was a gas explosion under the derrick floor followed by an emission of gas and fire in the under-floor area. Four workers were burned. Mobil said that two of the men had returned to work by May 7. The other two were described as still in the hospital but not in serious condition. Moquawkie well abandoned in 1970 The fire was put out when mud was pumped into the hole May 7. Replacements for the draw works and rotary table had to be ordered from the Lower 48; there was no heat damage to the mast. New draw works were installed and equipment repaired in June and drilling resumed. The well was declared a gas discovery in November 1965.
The well was abandoned in 1970. Mobil said in abandonment documentation that the well was shut-in due to excessive produced water. The well had been, Mobil said, producing some 1.1 to 1.5 million cubic feet a day to the Moquawkie generator plant. The gas had been delivered free for use of Tyonek. Royalty was paid only on the gas used for commercial sale by Tyonek.
“Because of this contract,” Mobil said, “the gas produced and delivered to the Moquawkie generator plant was worth a net of approximately $0.01/Mcf. The cost of a workover in an attempt to reestablish production is estimated at $135,000 over the cost of abandonment. A reserve of 13.5 BCF would have to be developed to pay out this expenditure at the same rate of revenue.” At the previous delivery rate of 1,100-1,500 thousand cubic feet a day, Mobil said, this represented a 22-year payout. In addition, “proven reserves in the upper section of the hole were estimated at 2 BCF and approximately 1 BCF had been produced.”
Mobil also said that the 1 West Moquawkie well about three-quarters of a mile from the 1 Moquawkie “did not have productive sands in this equivalent interval and therefore establishes that the reservoir is very limited as previously estimated.”
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