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Mr. Travis Marshall <br />Mr. Kent Walter <br />Ms. Wendy Cheung <br />Page 2 of 4 <br />general completion information for the test well, a description of the test procedure, summary of test <br />results, tabulation of recorded down -hole pressure data, and graphical representations of down -hole <br />pressures. <br />The step rate test was conducted within well TM -1, an Area of Review well located approximately 75 feet <br />(ft) from the well T1 -P (the injection well). The test interval in the well extended from the casing point <br />(1,976 ft below ground surface [bgs]) to the bottom of the well bore (2,255 ft bgs). As shown in the cross <br />section, the test interval includes each of the injection intervals specified in the UIC Program permit: <br />lithologic zones R1, LO, and R0. <br />The test was designed to not exceed a bottom -hole pressure of 1,170 pounds per square inch (psi); the <br />surface pressure required to achieve the maximum bottom -hole pressure was calculated to be 138 psi. <br />Beginning at an initial surface pressure of 0 psi, the surface pressure was incrementally increased by 25 <br />psi to complete each step, to a maximum surface pressure of 140 psi. During each step, the well was shut - <br />in, and pressure- recording devices were used to continuously monitor the surface and down -hole <br />pressures for a period of 15 minutes. The final step to 140 psi was monitored and recorded for 60 minutes <br />Test results are summarized in Tables 1 and 2 of the step rate test report presented in Attachment A. Table <br />1 presents the surface pressure readings for each step, the equivalent (calculated) down -hole pressures, <br />and the final surface pressure at the end of each step. Table 2 presents the recorded maximum down -hole <br />pressure after each step was initiated and the final recorded down -hole pressure at the end of each step. <br />Test results are graphically depicted in Chart 1 of the step rate test report. As shown, each incremental <br />surface pressure increase resulted in a proportionate increase in the down -hole pressure. The results <br />further show that no abrupt deviations in the increasing trends were observed which otherwise would <br />have indicated that the fracture pressure had been exceeded. These results demonstrate that the MAID <br />established in the UIC permit does not exceed the fracture pressure of the injection zone, and in fact, the <br />fracture pressure of the injection zone is greater than 1,068 psi. <br />Well BH -1 Resistivity and Porosity Logs <br />In accordance with Appendix B of the UIC permit, a porosity log and a resistivity log were run in well <br />BH -1, instead of well T -1P. Well BH -1 was completed and logged as shown on the stratigraphic cross <br />section presented in Attachment B. The well was drilled to a total depth of 2,400 ft bgs on May 4, 2009. <br />The well was completed with surface casing to a depth of 40 ft bgs, below which the hole was uncased to <br />the bottom of the well bore. The well was logged on May 30 — 31, 2009. <br />Well BH -1 porosity and resistivity measurements were obtained by Schlumberger using the Platform <br />ExpressTM integrated wireline logging tool. Measurement results are presented on the two logs provided <br />in Attachment B. Both logs present the same measurements for porosity, but the logs utilize different <br />logging configurations for resistivity measurement; 1) High- Resolution Laterlog and 2) Array Induction. <br />The logs presented in Attachment B show the results of caliper, gamma ray, SP, and multiple resistivity <br />and porosity measurements for well BH -1. On the induction log, resistivity is presented in multiple depths <br />of investigation using lateral spacings of 10, 20, 30, 60 and 90 inches. The logs for the various depths of <br />investigation are generally similar within the scale presented. Porosity is presented as a density log <br />(DPHZ) and a neutron log (NPOR). It is important to note that in the Parachute Creek Member of the <br />Green River Formation where kerogen content is common, the DPHZ and NPOR logs represent both <br />water and kerogen porosity. <br />