Directive 065: Resources Applications for Oil and Gas Reservoirs ...
Directive 065: Resources Applications for Oil and Gas Reservoirs ...
Directive 065: Resources Applications for Oil and Gas Reservoirs ...
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Requirements<br />
Comments<br />
8) If there is not a well on the DSU drilled to<br />
the <strong>for</strong>mation(s) referred to in item 3, a<br />
statement that if an order is made by the<br />
ERCB, you are prepared to drill a well to the<br />
<strong>for</strong>mation(s) in question, <strong>and</strong> in the event<br />
that no production of gas or oil is obtained,<br />
you will pay all costs incurred in the drilling<br />
<strong>and</strong> ab<strong>and</strong>onment of the well in accordance<br />
with Section 80(2)(f) of the OGCA.<br />
9) If there is not a well drilled on the DSU, an<br />
indication of whether you would see any<br />
difficulty in drilling the well within six<br />
months of the date of the proposed order if<br />
issued, <strong>and</strong> if so, an indication of what<br />
would be a more appropriate time limit to<br />
drill.<br />
Section 82(2)(b) of the OGCA implies that a<br />
well should be drilled within six months of<br />
the date of the order.<br />
10) A statement of the operator to be appointed<br />
<strong>for</strong> the well of interest in the proposed<br />
pooling order.<br />
All pooling orders normally include a clause<br />
that names the operator of the well subject to<br />
the pooling order.<br />
11) A statement that the allocation of costs <strong>and</strong><br />
revenues under the pooling order would be<br />
on a tract area basis, or if allocation is<br />
proposed to be on a basis other than an area<br />
basis, the proposed allocation <strong>and</strong> the details<br />
of how the allocation was determined,<br />
including<br />
a) a net pay isopach map of the pool,<br />
including both oil <strong>and</strong> gas if there is an<br />
associated pool,<br />
Section 80(4)(c) of the OGCA indicates that<br />
allocation shall be on an area basis unless it<br />
can be shown to the ERCB that this is<br />
inequitable. Thus, allocation on an area basis<br />
is the normal provision of a pooling order,<br />
<strong>and</strong> an applicant would not need to justify<br />
why it has chosen to request an area-based<br />
allocation.<br />
b) if pool delineation or fluid interfaces<br />
are based on structural interpretation, a<br />
structure contour map of the pool <strong>and</strong><br />
offsetting area,<br />
c) an interpreted <strong>and</strong> annotated log crosssection<br />
or representative well log(s)<br />
showing<br />
i) stratigraphic interpretation of the<br />
zone(s) of interest,<br />
If there is a dispute among the parties<br />
involved regarding the delineation of the<br />
pool(s) in question, you should include an<br />
annotated cross-section in the application; if<br />
there is no dispute respecting this issue, an<br />
annotated representative well log is<br />
sufficient.<br />
1-32 • ERCB <strong>Directive</strong> <strong>065</strong>: <strong>Resources</strong> <strong>Applications</strong> / Compulsory Pooling (October 2011)