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Second Alpine satellite discovery announced Nanuq, south of Alpine, estimated to contain more than 40 million barrels of recoverable reserves Kristen Nelson PNA Editor-in-Chief
Phillips Alaska Inc. and Anadarko Petroleum Corp. announced July 25 the discovery of and test production from a satellite oil field near the newly developed Alpine oil field.
The Nanuq accumulation is estimated to contain more than 40 million barrels of gross recoverable reserves.
The companies said that the Nanuq accumulation was discovered in April 2000 with the 2 Nanuq exploration well, which encountered 50 feet of vertical oil-bearing sandstone in a Cretaceous-age reservoir and nine feet in the Kuparuk reservoir. A combined zone production test recorded a production rate of 1,750 barrels per day of 40 degree API gravity oil and 1.2 million standard cubic feet of gas per day.
A delineation well was drilled from the Alpine CD1 drill site during the 2001 winter drilling season. The Nanuq CD1-229 well encountered 19 feet of vertical oil-bearing sand in the Cretaceous-age Nanuq reservoir. The initial production test from the Nanuq interval recorded a production rate of 460 barrels per day of 41 degree API gravity oil and 6.5 million standard cubic feet of gas per day from a horizontal completion.
The Nanuq CD1-229 well was placed on long-term test production through the Alpine facilities during the 2000-2001 winter season. Production has since been suspended. Plans for further delineation and development of the Nanuq field are under evaluation. Permitting to go in any day Mark Ireland, Phillips Alaska’s western North Slope subsurface development manager, told PNA July 25 that Phillips plans to permit a Nanuq well to drill this winter before production begins from the satellite.
Permit applications for development of the Nanuq accumulation will be submitted any day, he said, and then Phillips will wait to get those permits back.
Ireland said Phillips isn’t ready to say when Nanuq construction or production would begin.
“It will really depend on when we have the capacity at the Alpine facility to produce Nanuq,” he said. Alpine has been producing right around or above 100,000 bopd several days this month.
“That’s the maximum we can put through the facility,” Ireland said. Phillips doesn’t expect to average 100,000 barrels for a month. Nanuq second Alpine satellite The Nanuq accumulation is the second satellite field to be discovered near Alpine. The previously announced Fiord satellite accumulation is estimated to contain more than 50 million barrels of gross recoverable reserves.
Phillips is operator of and holds a 78 percent interest in the Alpine field and its satellites, while Anadarko holds a 22 percent interest.
PNA reported Nanuq production in April when the Alaska Department of Revenue included Nanuk production in its numbers. The Alaska Oil and Gas Conservation Commission reports 18,572 barrels of oil and 290,772 Mcf of gas produced from Nanuq through May.
Phillips began environmental evaluation for a pad at Nanuq and another north of Alpine in February. At that time the company said the two satellites “have not been deemed commercial and are dependent on future delineation drilling to confirm commerciality” but could be in production by the end of 2003. The company estimated that each satellite might contain 50 million barrels of reserves. Tagged “Colville Delta South” Phillips described the Nanuq-area development as “Colville Delta South” and said it would be approximately four miles south of the Alpine central processing facility. The “Colville Delta North” pad would be approximately five miles north of Alpine.
Phillips said the Nanuq accumulation was described in Alpine development plans as a possible find directly to the south between Alpine and Nuiqsut. Phillips Alaska predecessor ARCO Alaska Inc. and Anadarko started drilling at Fiord (Colville Delta North) in 1992 and announced a discovery there in 1999 after the 5 Fiord tested 2,500 barrels of oil per day in two formations. The companies said then that Fiord could be the first Alpine satellite.
In its environmental evaluation plans, Phillips told the state that construction could begin in the winter of 2002 and that a gravel drill site would be built at each prospect with three-phase (oil, water and gas) hydrocarbon production to the Alpine central processing facility. The company would connect Colville Delta South (Nanuq) to Alpine with a 3.8-mile gravel all-weather road. Access to Colville Delta North (Fiord) would be via a 6,000-foot airstrip.
The Colville Delta South pad would be west of the Alpine sales oil pipeline corridor and east of the Nigliq channel of the Colville River. Pipe from this pad would proceed east on new vertical support members for a short distance and then consolidate with the Alpine sales oil pipeline for four miles to the Alpine pad. The Colville Delta South road, pad and pipelines would be built in the winter of 2001-2002. Construction would be completed in 2002. Final installation of facilities, pipeline and utilities would be in 2003 and production would begin in late 2003.
The Colville Delta North pad and airstrip would be between the west and east Ulamnigiaq channels. The pad, airstrip and pipeline would be built in the winter of 2001-2002 and development drilling would begin after completion of the pad. Final airstrip grading would be done in 2002. Final facilities, pipeline and utilities installation would be in 2003 and production would start in late 2003.
Phillips said Colville Delta North airstrip is sized to handle a C130 Hercules but normal access would be by smaller aircraft.
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