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Directive 065 - Energy Resources Conservation Board

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Requirements Comments<br />

wellbore(s), with dates,<br />

iv) cumulative production,<br />

v) finished drilling date and kelly<br />

bushing (KB) elevation, and<br />

vi) the scale of the log readings, and<br />

d) a tabulation of the interpreted net pay,<br />

porosity, and water saturation for each<br />

well in the pool, along with the cutoffs,<br />

methodology, formulas, and constants<br />

used.<br />

10) An evaluation of the oil and gas reserves for<br />

the pool and for your lands, including<br />

a) an estimate of the initial oil volume and<br />

gas volume in place,<br />

b) an estimate of the oil and gas recovery<br />

factors,<br />

c) a description of the methods used in<br />

determining (a) and (b) above (e.g.,<br />

material balance, volumetric analysis,<br />

model study, a comparison of analog<br />

pools), and<br />

d) the supporting data used in determining<br />

(a) and (b) above and the sources of the<br />

data (e.g., pressure/volume/temperature<br />

[PVT] properties and source, pressure<br />

data and source).<br />

11) A discussion of drainage, including<br />

a) evidence showing that the reserves<br />

underlying your lands have been drained<br />

subsequent to the completion of your<br />

well in the pool, and<br />

b) an estimate of the total amount of<br />

inequitable drainage that has occurred<br />

from your lands since your well was<br />

completed in the pool, together with<br />

details of how the drainage was<br />

calculated.<br />

These data assist the ERCB to assess your<br />

mapping and reserves calculations requested<br />

in the following item. In addition, the data<br />

may be used to allocate production (see<br />

item 14).<br />

The reserve estimates confirm that there are<br />

reserves available for production.<br />

You should provide all data used in obtaining<br />

the reserves estimates so that your analysis<br />

can be duplicated.<br />

Drainage is not a prerequisite for the issuance<br />

of a common processor order but could be<br />

one factor in determining the need for an<br />

order. In addition, the ERCB considers the<br />

extent to which drainage has occurred in<br />

evaluating what the effective date of the<br />

order should be.<br />

In cases where a well has remained shut in,<br />

you can confirm drainage by summarizing a<br />

minimum of two pressure tests taken on the<br />

well. If you are arguing that your currently<br />

producing well is not producing at sufficient<br />

rates to recover an equitable share of<br />

ERCB <strong>Directive</strong> <strong>065</strong>: <strong>Resources</strong> Applications / Common Processor (March 2012) • 1-25

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