Atlantic No. 3 1948

Abstract

Abstract Atlantic 3 was to be the signal for the world to really understand the fury of the new hitherto unknown Devonian reef which catapulted Alberta into the oil age. The above date marked the "point of no return" for what should have been the completion of this otherwise ordinary development well. That was the day Atlantic No. 3, just one mile east of Imperial's 1947 discovery well, blew out of control. It would continue its wild caper until Labour Day 1948 when the well caught fire sending media shock waves literally around the world. The drama of Atlantic No. 3 - 1948 began shortly after Imperial's Devonian discovery in the spring of 1947 when Frank McMahon, a down and out promoter, somehow or other detected a flaw in a quarter section freehold title leased to Imperial Oil. Imperial's drilling of their step-outs No. 3 and No. 4 virtually proved up this parcel (NW 23-50-26-W4M). Frank with his optimistic stance paid the Rebus family over #x0024;200,000 bonus (where he obtained the funds is a mystery). His company, Atlantic Oils, then hired a contractor (Cody Spencer, also on the edge of bankruptcy) to drill up the lease with an old steam rig. Atlantic No. 1 and No. 2 were completed as D-3 oil wells without incident, providing Frank with much needed revenue. The rig then moved over to No. 3 wellsite, spudding in, January 21, 1948. Only 300 feet of surface casing were set. When the hole reached the D-3, severe loss of circulation prevented the deepening to the production casing point. Many cement plugs later (none of them successful), the decision (not unanimous) was to "drill dry" (using water) hoping to make a run for the casing point. The bottom dropped out of the water column and No. 3 blew out March 8, 1948, spewing 15,000 bbls/day over the frozen ground. The next two months were spent trying to kill the well. Finally with pressure from Imperial Oil (they owned 80% of the reservoir) the Conservation Board bit the bullet, seized the well on May 12 and retained V.J. "Tip" Moroney to take complete charge over the project. Tip was a veteran of hole problems in South America. In January 1948, he had just been transferred (providently!) to Imperial's Calgary office. Quoting Tip: "I said I would take the job if I was to be absolutely in charge." He immediately contracted two more steam rigs with a remote boiler location and drilled two directional holes to intersect Atlantic No. 3 pay zone. After many trials and tribulations (much of it self-inflicted) the two relief wells whipstocked their way to near their D-3 targets. West Relief ran casing and started pumping 36,000 b/d of water from the North Saskatchewan. This watered out the formation. The wild well caught fire Labour Day, September 6, and only burnt three days-but it was a spectacular fire, the word travelling around the world.