In Reply Refer To: RP-2-1 FEB 221985

Anadarko Production Company Attention: Mr. Ronald A. Bain IbBQl Greensaaint Park Orive Houston, Tt*as 77Pfi0

Gentlemen:

Reference is made to your Initial Plan of Exploration received February 8, 1985, for Lease OCS-G 7153, Block 765, Mustang Island Area. This plan includes the activities proposed for Well A.

In accordance v/ith 30 CFR 250.34, revised December 13, 1979, and our letter dated January 29, 1979, this plan has been determined to be coraplete as of February 22, 1985, and is now being considered for approval.

Your plan control number is N-2020 and should be referenced in yoor communica­tion and correspondence concerning this plan.

Sincerely yours.

OHo. Sod. A_ Donald C M

.3* B. W. Snlanas f ik Renion;''' Supervisor Region;-1 Supervisor Rules < Production

occ: Lease OCS-G 7163 (OPS-3-2) (FILC ROOM) [OPS-: v.'/pi.ihVSc liWo. Cur:- tr.c Pi.-=r. \?\inUC • ?!:;•;)

1=3 DO-7

MJTo1bert:gti:2/11/85:Disk ia

_ OtReeef Frogram Servfcey

FEB 2 6 1985

MINERALS WAXAGEM5MT SEWttB

FEB 0 8

RULES pacua *1

A N A D A R K O P R O D U C T I O N C O M P A N Y 1«aOI O M C C N t P O I N T PARK O f f - v . H O U S T O N . T f R A I 7 7 0 4 0

R O N A L D A B A I N

W f M M

February 7, 1985

Mr. Don Solanas Regional 011 & Gas Supervisor Minerals Management Service P. 0. Box 7944 Metair ie, LA 70010

Re: Plan of Exploration 0CS-G-71o3 Block 765 Mustang Island

Gentlemen:

Block 7** was a t rac t purchased in the Federal OCS Sale Kc. 84 held on July I i - , 1984, for a lease bonus of $5,035,000.

The part ic ipants 1n th i s purchase are:

Block 765 Anadarko Production Company 33.75? Sonat Exploration Company 33.75? Pioneer Production Corp. 20.00-Energy Development Corp. 12.50"

Anadarko Production Coinpany is the designated operator for the block. Consequently, we are submitting the enclosed Plan of Exploration for your approval so that we may evaluate th is lease expedit iously.

One well locat ion is proposed 1n the Plan of Exploration and described in Section One, accompanied by:

(a) A location map showing the lease block re la t ive to the shoreline and onshore support-base f a c i l i t i e s .

(b) A map showing the location of the proposed we l l .

(c) One seismic structure map (Marg A) .

A f ina l construction hazards and archeological report from John E. Chance and Asso tes, I nc . , is enclosed under separate cover.

Plan of Exploration OCS-G-7163 Block 765 Mustang Island 2 February 7, 1985

nadarko Production Company's base of operations will be located 1n Port o'Conner, Texas. As an active member of the Clean Gulf Association. Anadarko has immediate access capability to the C.G.A. oil spill containment equipment stockpiled in Corpus Christi, Texas. The C.G.A. base 1s located approximately 36 miles from Mustang Island Block 765. Therefore, the oil spill equipment could be on site within 4 hours of notification. Anadarko Production Company has an 011 Spill Contingency Plan currently 1n your files. Also included, please f1.*H a l i s t of mud additives and components that could be used in the drilling program.

Exploration and any future production activity within the Mustang Island 765 area will be conducted 1n a manner consistent with state ar.d Federal requirements for coastal zone operations. The activities associated with this plan will be executed in compliance with all OCS orders and memoranda, and any required permits will be filed in a timely manner.

Anadarko, as an operator in the Gulf of Mexico and a member of the Clean Gulf Associates with the approved Oil Spill Contingency Plan on f i l e with the U.S.G.S., intends to exercise all diligence towards protection of the environment while implementing this Plan of Exploration.

Very truly yours,

ANADARKO PRODUCTION COMPANY

Ronald A. Bain Exploration Manager Offshore Division

JBH:jg

Enclosures

PLAN OF EXPLORATION - MUSTANG ISLAND BLOCK 765

SCHEDULE OF DRILLING ACTIVITY AND SITE SPECIFIC SHALLOW HAZARDS & ARCHEOLOGICAL REPORT

MUSTANG ISLAND BLOCK 765 OFFSHORE TEXAS

Block 765 #. - Surfact Location 300' FNL and 5550' FEL

Tht only txp lora tory w t l l (765 #A) w i l l be spudded as soon as permits ar t approvtd and a jack-up r i g is ava i lab le , which should bt in th t f i r s t quar t t r of 1985. I t is t xp tc t td to tokt an avtragt of approxi­mately 45 days to d r i l l and complttt a w e l l . Upon d r i l l i n g and evaluating the r t s u l t s of our f i r s t w t l l , a dtc is lon would bt made concerning future development.

Tht "A" locat ion could bt completed and suspended with a template s t t ovtr t h t w t l l fo r l a t t r developmtnt in to a platform locat ion.

On December 18, 1984, John Chance and Associates conducted a high resolut ion geophysical survty of a portion of Block 765 for Anadarko Production Company. Instrumentation Includtd magnetometer, side scan sonar, sub-bottom p r o f i l e r , and 16 KJ sparktr single t rac t and mu l t i f o ld recordings.

No t v l d tnc t of cu l tu ra l r tsourcts is nottd on th t gtophysical data ga th t r td . Furthermort, th t archtological assessment implies that chances for damagt to such r t sources is t x t r tm t l y remote.

Hater dtpth at t h t s i te included in t h t POE is 118 f t t t with th t s taf loor dipping to t h t southtast at about 5 f t t t p t r mi le.

Sidescan sonar indicates a nearly featureless seafloor, the exception bt lng th t Imprint of th t Tenneco #1 w e l l . S imi la r ly , the only magnetic anomaly recorded re la t t s to that w e l l .

Sub-bottom p r o f i l e r and good qual i ty sparker recordings suggest th t ntar surfact to bt f r e t of fau l t ing and shallow gas.

In conclusion, t h t location in Anadarko's Plan of Exploration is found to be f r t t of any unusually hazardous conditions and chanco for damagt to cu l tura l r tsourcts

Robtrt L. Sims ANADARKO PRODUCTION COMPANY Geophysical Advisor Offshore Division

O'Conner.

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MUSTANG ISLAND BLOCK 765 OCS TEXAS

INDEX PLAT

S C A L E : 1*« 18 MILES OCTOBER. 1984

'u . . ' . : i . i . . . ..• • • • • . . . n ' - : . . . . . . . . . . . i . - . I 'iv ' . j . ' . . . i l attUia. • • . • -. '

764 755

766

sooo'

NP 765

•o. , •I.M0CW 14,768' STS

ANADARKO OCS-G-7 763

756

764

780 781 782

V ^ - V 1 1 ^".^TPi Product kxi Company

MUSTANG ISLAND BLOCK 765 OCS TEXAS

EXPLORATION PLAN WELL LOCATIONS

SCALE. I'm 4000* OCTOBER. 1984

PLAN OF EXPLORATION

MUSTANG ISLAND AREA BLOCK 765

OCS-G-7163

DESCRIPTION OF DRILLING RIG

The attached schematic and s p e c i f i c a t i o n s sheet describe

the type of d r i l l i n g r i g Anadarko a n t i c i p a t e s using to

d r i l l the wells i n the Plan of Exploration. The sp e c i f i c

r i g which w i l l be u t i l i z e d i s s i m i l a r t o the JU-200 MC.

JU-200MC Mat* supported cantilever jack-up drill rig

T.ie JU-200MC in operating position. Conti lever feature con place rotary as far as 45 feet astern of piatform

JU-200MC Nominal Dimensions

PIOHotl 11 Mat 220'x 185'x10*

* 2'Skirt Slot 59'8"x110'w»de Columns (3) t l ' ODx 269 ' long

. Norotnol Copoc Wei Max vonaoie load*

Drilling 2.250 tons Moving (23' Nam. Draft) 1250 tons Moving (11 '6" Draft) 350 tons

Dnlling Waier 5.900 Dbl Fuel Oil 2.000 bol Potatye Water tOOO bol bauKJMua 1.500 Burk Mud 4. Cement 6.000 cu i 3cg Storage 3.000 sacks Pipe Rack Area 3.000 sq ft Quarters 51 pers SkiddaCxe Supstiucture

for 1.390.000-iD Demck

Design Oper j hng Condfltont

Ma .. Muneuvenng Deptn: 11 '6" Non-

Humcane Humcane Max Still water Depth 175 ft €200 f t

Max. Wave Hergnt 60ft 33 ft Wave Penod 15 sec 10 sec Design Wind

velocity «O0KtS 70 kts Mm Air Gap 45 ft 26 ft

Bethlehem's series of cantilever jack-up dril­ling rig designs include tbe mat-supported JU-200MC (to 200' water depths). JU-150MC (150' waters) ana the JU-100MC (100' waters).

Bethlehem Bethlehem Steel-Shipbuilding

P=T=1

Beaumont ward: *0 Box 3031. Beaumont. TX 77704 Carl (713) 838-f52< WWx 77-9441 Cornet BFMSwP N * . t rv Bethlehem Singapore We. Ltd.: PO Box 41. Semoawong Post Office S.ngo&om 9*75 Can 257 4745 W (JS21770 (BETHPOG)- Coomt SFVJNG S^OODC-= txecuttveond controlSome; Momn bwer. Belnmnom, PA 180*0 Con 5 i 5 ) f " J /63

FoWer 3311A ft«erf.a,UJ •

/•*o current o$ ot Morcn 1980 *^M,smwjremet

PLAN OF EXPLORATION

MUSTANG ISLAND AREA BLOCK 765

OCS-G-7163

MUD ADDITIVES

The attached l i s t of mud additives i s anticipated t o be

used i n d r i l l i n g the wells outlined i n t h i s Plan of

Exploration.

Chap ter 23 COMPARABuc MUD PRODUCTS BY Th^DENAMES

IMCO Description SERVICES Baroid Magcobar Miichem Primary Application

WEIGHTING AGENTS AND VISCOSIFIERS Ba me t MCO BAR Baroid Magco t w M il-Bor Fur increasing roud weight up tu

20ppg.

dictum Curhonate IMCO WATE. . . . Lu-Wate W.O. 30 For increasing weight of oii muds W.O. 50 upto 10.8 ppg.

Remorotc 1 MCO GEL A^iu^c Magcogel Milg;l Viscosity and filtration control in water baas muds.

Suh-Bcninmte IMCOKLAY Baraco High Yield Green Band Fof use wlwii larger panicle size a Blended Clay Clay desired for viscosity and filtration

control

Attapulgite IMCO BRINEGEL Zeogel .Salt Get Salt Water Gel Vucowfier in salt *ater muds.

Bencticaicd IMCO HYB Quick-Gei Kwik-Thik Super-Col Quick vtreosity m fresh water upper hole

Benionue muds with minimum chemical treatment.

Asbestos Fibers IMCO BEST Flosal Flosal Rossi Viscosifier for fresn or salt w*ter muds.

Bacterially Produced . . . . IMCO XC XC Polymer Duovis XC Polymer Viscosifier and fluid loss con-rot additive Polymer for low solids muds.

DISPERSANTS Sodium I MCO PHOS Barafos Magco-Phos Oil Ftn nnnner for low pH fresh water muds. Tetraphospiute

S.xiium Acid SAPP SAPP SAPP SAPP For mating cement contamination. Pyrophospf M

Quebracho IMCOQBT Tannex M-C Quebracho ..Tanco Thinner for fresh wnter and limc Compound muds.

-mloci Extract IMCO FLO Rayllo Rayllo Thinner for fresh wan- muds . ' in muds containing salt 11 L.OOO tc j.000 ppm).

OESCO Oesco Oesco Desco Thinner for fresn and salt water muds alkalized for pH control.

^ 'tfnne IMCO UG Carbonox Tann A i hin Ligco Dispersant. emubifier snd supplemen­tary additive for iiuid loss control.

Causticucd l.igmte IMCO THIN CC-lo Caustilig Ligcon 1-6 ratio cauwc-lignue dispersant. emulsifier an-" supplementary fluid tc«s«dditt-.v

Cateium IMCOCAL Kern break Tr»,.:jer.'-irSCB snd lime mud*. LignnMiHtmate

Modified IMCOVC-10 Q-Bmain Spersene Um-Cat Dispersant and fluid loss control additive Lisnmulionntc for water base muds.

Blended I tgnoMil- IMCO RD-1 I I Blended multi-purpose dispersant. fluid loss i onate Compound a gem and inhibitor for IMCO RD-1 I I mud

systems.

FLUID LOSS REDUCERS Prepclatini/cd IMCO LOID Impermex My-Lo-Jel Milstarch Controls fluid loss in saturated salt

s , a r c n water. Iune and SCR muds.

Sodium Coramv- IMCO CMC Ceilex Magco CMC Miichem CMC For fluid loss control and bante methvl Ccuuhne (Regular) (Regular) (Regular) (Mcd-Vixt suspension in water base muds.

Sodium Carhnsv- IMCO CMC Ceilex Magco-CMC Miichem CMC For fluid loss control and vucustrv building metnvl Cellulose (Hi-Vis) (Hi-Vis) <Hi-Vui ( H . - V I M m lnw solids muds.

Sodium Carho-.v- IMCOCMC Ceilex MagcoCMC MilchcmCMC For fluid loss control in gyp.sea water and methvl Cclluiivoe (Tech Grade) (TechGradel iTech Grade) (Tech Grade) fresh water fluids

;>anionic Celiuiootc . . DRISPAC Dnspac Drispac Dnspac Ruid loss control additive and * iscositier .ilymer s in salt muds.

Sodium CYPAN Cypan Cypan Cypan Fluid loss control in calcium-tree low solids Potvacrytatc and non-dispersed muds.

Sodium WL-100 WL-100 WL-100 WI.-IOU Ruid loss control in calcium-tree low solsdi Polyacrylate and nan-dispersed muds

X o i

••—

COMPAR*r" ** MUD PRODUCTS BY TRADENAME — Continued IMCO

Description SERVICES Ceroid Magcobar Miichem Prtmary Application > U Z# tCANTS, DETERGENTS, EMULSIFIERS

Extreme Pressure IMCO EP EP Mud Lube Bit Lube Lubn-RJm Uted tn water base muds to impart extre-Lubncsnt LUBE pressure lubnctiy

Processed SOLTEX " oltes Soltex Soltex Used tn water base mudl to lower down-H ydrc-- rbons Hole fluid lou and minimize b r ' * .j« shale

W .u. L'is,*, (tiblc IMCO STABIL- ITI-WD lubncant and fluid loss reducer for water «sp.ki u HOLECOAT HOLE base mudt that contain no diesel or crude oil.

Oil Lni| i - ..b»- IMCO Baroid Pave-A -Hole Carbo-Scal Lubncant and fluid lou reducer for water Axpha i i MUU OIL Asphalt base fluids that contain dieael or crude oil.

Ci l Soluble IMCO . Shot-Free Pipe Las fc • fwrut Non-weigiued fluid for spotting lo free Mirfsctams FREEPIPE differentully stuck ptpe.

OnttnMM I M C O M D Con Det D-D M «hem MD Used in wster base mudl 10 aid tn dropping sand. Emulsifies oil. reduces torque snd -minimizes bn-balling.

Sort-Ionic EmutstTier . . DME Aktaflo-E S ..Fak-E DME Emulsifier for surfactant muds.

Blend of Anionic I MCO SWS T -muiac Salu»v« A t l oso l * Erausifier foi mM and fresh water muds Surfactants Atlosol S

An Organic Entity I M C O . . . i i i m '.OS-) Mil-Plate 2 Sapplies ita lubricating propenies at oil* Neutralized with Amines L L BP I i t ' . EEV without environmental pollution.

Bl; «d — ratty Acids. . lUCOSPO- . . S r " Xr Inven emulsion which may be weighted to 51.ifonate*.* Asphaltic desired densuy (or spotting tn free Matenals d fferenttally stuck ptpe.

DFFOrVs^RS, FLOCCULANTS, BACTERICIDES Aluminum Aluminum .-.mtnum Aluminum Aluminum Defo-.iner inr Itgncsulionate muds Stearate Stearate Strarate Stearate Stearate

Sodium Alkyl Aryl I M C O D E F O / v Magconol Difoamer ior u l t saturated muds. Sulfonate Defoamer

Surface Active IMCO W200 LD-7 « l l o « r p . .fcamer. Dispersible Liquid FOAMBAN W300 Detoamer.

Rocculatmg Agent IMCOFLOC Bara floe Moat! . . S-psran Used to drop drtlstu -"'-ds where dear wa ter is desirable lo< a dnllmg fluid.

Paralormaldeh' .MCO AlOcsde My-Lo-Jel Preservative.. . .' revenu starch tio n fermo.unt'Khen used PRESERVALOID Preservative in muds of loa thaa atrsirzwa or H i * unity

less tnan i.O a .

LOST CUMULATION MATERIALS Fibrous Mrtenal IMCO FYBER R benex Mud Fiber Mil-Fibs Rllet as weu as ms"ing ial.

' ibrous Mineral IMCO WOOL MagcoWool Mil-Wiool Often used in •<cat w ? w _ » » ire later Wool cm, .^ycdto<'.«ircythemc.ii<uti.

Walnut UHMK

IMCO PLUG W»i|-Nut Nui-Plug I ii-Plug M . -. oft at used to prevent lost cirrula.. n.

Medium I .v!CO PLUC WaU-Nu* Nm -Plug Mi-Plug Used sr t ^.-.;«nction with fibers or (lakes to regain I * i c . i t i o n .

Coarse IMCO PI , 0 Wall-Nui Nut-Rug Mil-Plug Used wbtv? ar te d evices or trarvurrs sre encounteed.

Ground Mica.

Fine IMCOMYCA Micatex .Magco-Mica M.lmica U.-aforfreventionof lost circulation.

Coarse IMCOMYCA Mieate.' Mag tv-Mica Milmica Furms a good mat st fare of well bore

Cellophane IMCO FLAKES Jel Flake Cell-O-Seal Mil luke Osed to retain lusi circulation.

Com^mtfonnf IMCO Kwik-Seal Kwik-Seal Kwik-Seal . . . . Us-d when large erevices or tract ure* > sranv:!*.. flake-.. KWIKSEAL encounterel.

4 fibrous ma­ns U " f vanous res m ine

biermed high 'hud DIASEAL M Dtaseal M Dtaseal M Dtaseal M One sack mixtu-e .or preparing »oft plugs loss soil plugging for ievert .osi circulation, material.

COMPARABLE MU. PROnUETS BY TRADtNA ES — Continued

Ascription

•rta«c Control — Rea gem

Bentonite ExteraJ'.r.

Non-Ionic Suricctant

Filming tow

S hale InkibMor

IMCO SERVICES

IMCOSCR.. .

I MCO GELEX.

DMS

F>&fotd Mepcober Miichem Primerv A piicailon SPECIALTY PRODUCTS

T-« Caltrol Cat; a.» aal tail mud lor inhtbuing the iweiung of bentomiK shakes.

.Benea .Benea. -Benea i yield J bentonite to orm very ow solids drill-it", dual.

Akufioi 1 SurF»k-M DMS Primary lurfactaru fc 'ormuicting surfactant muda. May n ust, • it not holes for viscosity subility.

Specially Blended . Zinc Compounds

Sodium Chroma .

Sodiur .ydro>-de

Sodium Carbonate..

Sndium Bicarbonate

urr rj.-fconate

Calc. r '•sslkVta . . . .

.'alct <n NydroxMt

'T-dium Chlonde

.IMCO rr- i t i i . .

. Dtamroomum • Phospbat*

.IMCO ST LF X

.Coa«-CI8l) Co««4!'»

. Dutmsvontum. Ph —>tt

. .Migeo inhibitor .. Amt-Tes Corrosion inhibitor. No. 6

3ianmonium f nospi'ite

. Duunmondim For uaa in specially prepared DAP muds. Phoapttale

.Mil-Guard For use as a hydrogen luifiae avenger in water ease muds

Sodium Chromate

Caustic -o*-

.Soda/Oh .

Sodium Bicarbonate

. Banum — Carbonate

COMMERCIAL CHEMICALS Sodium Sodium Sodium Used tn water base muds to pu< ent high Chromate Chromate Chromate emeerj'.ure gelation and as a o-Tosion

•thibttor

Rustic Soda .. ...CausticSoda Caustic foda , Jor pH control in water bate muds.

.SodaAsh ScdaAth SodaAsh f sr treating out catium sulfate in low pH muds.

. Sodium . . . Bicarboe/'

.Sodium Sodiur t. . . . c ot treating out calcium sulfate or cement Bicarbonate nse.- KXUM . >tg» M mads.

Banum tyuvf l ror trea. | cat calcium sulfate tpH thouid Carbonate Caruonace be above . i lot Scat results I

ChromeAlum . . . . icnromKcnlondei

Invett £nulsion System

Gypsum-.

. Lime

Salt

. Chrome Mum .

Gypsum Gypsum Source of calcium for formuleiires,¥i muds.

.urne

OIL

. . . Anhydros . . .

. . . Gypsum —

. . . Lime Lime

.. .Salt

. . . Chrome Alum Chrome Alum

BASE AND INVERT EMULSI

. . .Source of calcium lor formulating I tie muds.

Sal: Salt For saturated salt muds and resistivity control

.ChromeAlum F*t 'tx in cross-linking Xx. r 5' rmer systems

IMCO KENOL-S invermul Venotl Carbo-Tec Drilling Kiuda ' ec wtu•»extremely high and lei-i.-^raiuTr. air ra i t ntered also a IMCO KEN-X dmling. completion nr workover fluid

applicable where only oil contact with formations is desired.

Low Cost Invert . Emulsion System

•Oil Base Mud

IMCOOIL-X . LoCOM Inexpensive invei. uaeu whet low density muds are used ac*t 'ow wmp n turn are eneonmered.

Oilfate For dnlling water sensitive formattens.

Gelaimnus... Oil Base Fluid

Pnmary Emulstfie'

Viscosifier and.. Gelling Agent

High Temperature Stabilizer

vtabiure> Borehole. Cuiv*:iuini

.IMCOKEN SUPREME

IMCO KEN-PAK SF-100 A time setting gelatinous oil pack for easing recovery and corrosion control.

OIL MUD ADDITIVES «ii,OKs,' ,.' f M -S(D) Invermul Vertoil Carbo-TedDl Pnmary additives to form stable watertn-anu and ou emulsion.

IMCO KEtl-X Con-- «I(L) Car!-*-fectL)

. IMCO KEN-GEL Gel-Tone VG-49 Carbo-Gel. and and

IMCO KEN-X Conc «2 Petro-Tone

. Provides viscosity, weight suspension, and filtration control.

.IMCOKEN-X D-ratoneHT Conc. #3

. DV-22 and improves emulsion under hign temperaiun DV-33 conditions.

. IMCO VR Stabilises running shale, improves emulsion. weight suspension, and fluid loss under high temperaiure conditions

Dispersant

Calcium Oxide ..

• t l t k M>»X>uM*rO<ll

IMCO KEN- OMC and THIN Dnlt trst

. Venhin ana Dispersant for reducing rteologtcai SE-11 propenies.

IMCO KENOX Calcium source for saponification

183

COMPARABLE M > P R O D U C T S BY T R A D E * V8ES — Continued

Description

Flt!> Acid EmulMi:«r

Emulsion Stabibwf

IMCO SERVICE^ Baroid Magcobar Milnhem

OIL MUD ADDITIVES — Continued

Speejfi Saponified Fatty Aad Chemical*

Finely Divided IMCOKEN-. Silicate THERM

IMCOKEN- Oilfare SUPREME Coe . A

IMCOKEN- OG-JS SUPREME Conc. 8

IMCOKEN- SF-100 PAK

*i1mary Appite»*i

. Primary cmulsif ier and stabilizer lor oil-ba drilling fluids

. Ira,ans geis. contributes 10 vwciwity for weight suspension, and provides filtration con' -ol

Geilii g agent for formulating high gelb-.ion casing packs.

Contributes to thmotropic properties and reduces hernial conductivity in Hi-Temp Ken-Pak

NOTES

>

184