A04-SOW.pdf

SECTION C – DESCRIPTION AND SPECIFICATIONS

STATEMENT OF WORK (SOW)

PRODUCTION EQUIPMENT AND PIPELINE REMOVAL OF ORPHAN WELLS

USA MIDWEST 1 (API 05-081-05265), LEASE COC020303

DESCRIPTION/SPECIFICATIONS: PLUGGING AND ABANDONMENT

1.0 BACKGROUND

1.1 LEASE HISTORY

1.2 WELL HISTORY

1.3 LOCATION

Work under this Contract is located within Rio Blanco County, Colorado. The project sites are located approximately 10 miles northwest of Rangely Colorado

1.4 EXISTING EQUIPMENT DETAILS

2.0 OBJECTIVE

3.0 PROCEDURE

3.1 REMOVAL AND DISPOSAL PLAN

3.1.1 GENERAL

3.1.2 EXECUTION

4.0 APPENDICES

4.1 SITE SPECIFIC WELL PLUGGING AND ABANDONMENT SPECIFICATIONS

4.1.1. MANHATTAN FED 1A

4.1.1.1. WELL SITE LOCATION MAP

4.1.2. WOLF FED 1 ............................................................................ Error! Bookmark not defined.

4.1.2.1. WELL SITE LOCATION MAP ................................................ Error! Bookmark not defined.

4.1.3. PIPELINE OVERVIEW MAP ..................................................... Error! Bookmark not defined.

4.1.3.1. PIPELINE LOCATION MAP .................................................. Error! Bookmark not defined.

............................................................................................................... Error! Bookmark not defined.

1.0 BACKGROUND

1.1 LEASE HISTORY

The involved oil and gas leases were issued under the Mineral Leasing Act of 1920, as amended, and have expired due to cessation of production. The BLM have both surface and mineral responsibilities for the involved wells.

1.2 WELL HISTORY

The involved wells were drilled on valid oil and gas leases. These wells did establish oil and gas production but have not been commercial in the recent years. The involved lessee/operator failed to properly plug and abandon the wells. The BLM contracted to have the wells plugged in 2018 but the surface facilities and existing pipeline are to be removed under a separate contract. Because of this, the BLM is now responsible for proper removal of the facilities.

1.3 LOCATION

Work under this Contract is located within Moffat County, Colorado. The project sites are located approximately 10 miles southwest of Craig, Colorado.

1.4 EXISTING EQUIPMENT DETAILS

A. USA MIDWEST 1 (API 05-081-05265), LEASE COC020303

Site contains two 400 bbl tanks located within secondary containment battery, with a stairway and double landing. Both tanks are currently empty but may contain small amounts (20bbls) of produced water sediment and water (BSW).

B. PIPELINE AND PIPELINE EQUIPMENT

The well pad contains two short surface pipelines the first extends from the well and the tank battery. This pipeline consists of a 3” poly line a small portion of which is buried beneath the access road crossing. The second pipe is approximately 200 feet of 4” steel line from the tank battery to the loadout located to the south of the well location.

2.0 OBJECTIVE

The contractor shall properly remove and dispose of all the orphan well production equipment and surface pipeline in a manner, which prevents environmental damage.

This involves purging the pipeline and collecting and disposing of any materials gathered during this purging process. All above ground pipe connections will be removed from each of the two well site locations and any remaining buried pipes will purge and buried in place or pulled up and removed with other portions of the surface pipeline.

Work must be completed by September 30, 2024

Surface reclamation is not part of these requirements.

3.0 PROCEDURE

The contractor shall analyze the existing well data, investigate, and visit the job site, and provide plans for removal of production equipment from the site. The BLM will attend site visits as requested by the contractor. The contractor shall implement the plan per the Statement of Work.

All BLM or State of Colorado wildlife and seasonal restrictions will be adhered to by the contractor.

The BLM may restrict access to the sites during periods of inclement weather to minimize road damage.

3.1 REMOVAL AND DISPOSAL PLAN

3.1.1 GENERAL

A. Description: The plan submitted by the Contractor shall provide for the removal of all of the equipment and pipeline from the orphaned oil and gas well situated on land in a semi-arid environment.

B. Submittals: All submittals shall be signed and dated by the Contractor, furnished in sets of three, and be identified by the project number. Submittals requiring BLM approval will be returned (one set) to the Contractor within three days of receipt. Submittals by the contractor to the BLM shall include:

1. Records: A daily tour sheet shall be kept on the work site. This sheet must keep a current description of all activities conducted during each 24-hour period. All service company's reports must also be kept at the work site. All records shall be available for inspection during the job and shall be submitted to the Contacting Officer’s Representative (COR) at the conclusion of the job.

2. Operational Plan: The Contractor shall provide a work schedule with any updated changes daily. The BLM Project Inspector (PI) will be on the work site during the plugging operation to ensure that needed approvals for changed conditions can be expedited.

3.1.2 EXECUTION

A. TANKS

All of the tanks will need to be hot oiled and cleaned prior to dismantling and removing from the location. Materials will be hauled to a facility approve for the disposal of the materials collected. Contractor will need to provide documentation of the disposal location, facility disposal permits, and receipts of materials disposed.

B. PIPELINE

Pipeline and equipment will need to be flushed and materials will be hauled to a facility approve for the disposal of the materials collected. Contractor will need to provide documentation of the disposal location, facility disposal permits, and receipts of materials disposed.

Once the pipeline has been flushed the portion between the Wolf Federal #1 and the Manhattan Federal #1 will need to be slid from either location dismantled a hauled off the location. Pipeline and associated equipment may be sold or disposed of after it has been removed from the location.

4.0 APPENDICES

The well has been previously plugged have a well bore diagram indicating the BLM’s knowledge of the status. Please note that the records may not be complete or correct.

4.1 SITE SPECIFIC WELL PLUGGING AND ABANDONMENT

SPECIFICATIONS

Well API Number Lease Twp Rng Sec. Aliquot

USA Midwest #1 05-081-05265 COC0127962 5N 91W 29 NWSE

4.1.1. MANHATTAN FED 1A

4.1.1.1. WELL SITE LOCATION MAP

Technical Proposal Evaluation Committee (TPEC) Evaluation Criteria for

White River Field Office Equipment Removal - 2024

Basis of Award: Lowest Price Technically Acceptable

Past Performance/Similar Project Experience:

1. List 3 comparable projects you have performed in the past 3 years. Indicate location, scope of work and dollar amount of each project. Indicate key employee’s role on these projects.

2. Provide a reference or contact name and phone number from each project listed above.

Price

1. Once the past performance/technical evaluations are complete, bid price will be considered.

Progress Schedule

1. Provide a detailed progress schedule demonstrating an organized and efficient plan for completing the work within the Performance Time requirements.