The essential news for energy & environment …2010/06/02 · Woodside Energy (USA) Inc. This Initial Exploration Plan provides for the drilling and temporary abandonment of Well

UNITED STATES GOVERNMENTMEMORANDUM

To: Public Information (MS 5030)Plan Coordinator, FO, Plans Section (MS 5231)

Public Information copy of plan

Control # - N-09431

Type - Initial Exploration Plan

Lease(s) - OCS-G24134 Block - 993 Mississippi Canyon Area

Operator - Marathon Oil Company

Wells A, B, C, E, and F

SEMISUBMERSIBLE

Attached is a copy of the subject plan.

It has been deemed submitted as of this date and is under review for approval.

Elmo CooperPlan Coordinator

G24134/MC/993G24134/MC/993G24134/MC/993G24134/MC/993G24134/MC/993

4390 FSL, 4882 FWL3868 FSL, 6796 FWL2940 FSL, 6332 FWL562 FSL, 1750 FWL4161 FNL, 690 FWL

G24134/MC/993G24134/MC/993G24134/MC/993G24134/MC/993G24134/MC/993

WELL/AWELL/BWELL/CWELL/EWELL/F

Botm Lse/Area/Blk Surface Location Surf Lse/Area/BlkSite Type/Name

Description -

Rig Type -

Subject:

From:

September 16, 2009

MARATHON OIL COMPANY 5555 San Felipe

Houston, Texas 77056

Renee Wright [email protected]

INITIAL EXPLORATION PLAN

LEASE OCS-G 24134

MISSISSIPPI CANYON BLOCK 993 “Innsbruck Prospect”

PREPARED BY:

R.E.M. Solutions, Inc. 16290 Katy Freeway, Suite 150

Houston, Texas 77094 281.492.8562 (Phone)

281.492.6117 (Fax) [email protected]

DATED:

September 3, 2009

Plan Contents (30 CFR Part 250.211 and 250.241)

Mississippi Canyon Block 993 (Lease OCS-G 24134) 9/3/2009 Initial Exploration Plan Page 1

A. Plan Contents Lease OCS-G 24134, Mississippi Canyon Block 993 was acquired by Marathon Oil Company and Woodside Energy (USA) Inc. at the Central Gulf of Mexico Lease Sale No. 182 held on March 20, 2002. The lease was issued with an effective date of July 1, 2002 and a primary term ending date of June 30, 20012. The current lease operator and ownership are as follows:

Area/Block Lease No.

Operator Ownership

Mississippi Canyon Block 993 Lease OCS-G 24134

Marathon Oil Company

Marathon Oil Company Woodside Energy (USA) Inc.

This Initial Exploration Plan provides for the drilling and temporary abandonment of Well Locations A, B, C, E, and F in Mississippi Canyon Block 993. B. Location Included are the following attachments:

Attachment A: Form MMS 137 “OCS Plan Information Form” Attachment B: Well Location Plat Attachment C: Bathymetry Map detailing the proposed surface location disturbance

area with the proposed anchor radius of the drilling rig. C. Safety and Pollution Prevention Features Safety of personnel and protection of the environment during the proposed operations is of primary concern with Marathon, and mandates regulatory compliance with the contractors and vendors associated with the proposed operations as follows: Minerals Management Service mandates that the operations in this Plan comply with well control, pollution prevention, construction and welding procedures as described in Title 30 CFR Part 250, Subparts C, D, E, and O; and as further clarified by MMS Notices to Lessees. Minerals Management Service conducts periodic announced and unannounced onsite inspections of offshore facilities to confirm operators are complying with lease stipulations, operating regulations, approved plans, and other conditions; as well as to assure safety and pollution prevention requirements are being met. The National Potential Incident of Noncompliance (PINC) List serves as the baseline for these inspections. U. S. Coast Guard regulations contained in Title 33 CFR mandate the appropriate life rafts, life jackets, ring buoys, etc., be maintained on the facility at all times.

Plan Contents (30 CFR Part 250.211 and 250.241)


U. S. Environmental Protection Agency regulations contained in the NPDES General Permit GMG290000 mandate that supervisory and certain designated personnel on-board the facility be familiar with the effluent limitations and guidelines for overboard discharges into the receiving waters. D. Storage Tanks and Vessels The following table details the storage tanks and/or production vessels that will store oil (capacity greater than 25 bbls. or more) and be used to support the proposed activities (MODU, barges, platform, etc.):

Type of Storage Tank

Type of Facility Tank Capacity(bbls)

Number of Tanks

Total Capacity (bbls)

Fluid Gravity (API)

Diesel MODU 3,450 3 10,350 No. 2 (Diesel) Diesel MODU 90 1 90 No. 2 (Diesel) Diesel MODU 100 1 100 No. 2 (Diesel)

E. Pollution Prevention Measures According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations. F. Additional Measures According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

OCS Plan Information Form

Attachment A (Public Information)

U.S. Department of the Interior OMB Control Number: 1010-0151 Minerals Management Service OMB Approval Expires: July 31, 2008

MMS Form MMS-137 (July 2005– Supersedes all previous editions of form MMS-137, which may not be used.) Page 1 of 6

OCS PLAN INFORMATION FORM

General Information Type of OCS Plan X Exploration Plan (EP) Development Operations Coordination Document (DOCD) Company Name: Marathon Oil Company MMS Operation Number: 00724 Address: 5555 San Felipe Contact Person: Kimberly Hicks / REM Solutions Houston, Texas 77056 Phone Number: 281.492.3241 E-Mail Address: [email protected] Lease(s): OCS-G 24134 Area: MC Block(s): 993 Project Name (If Applicable): Innsbruck Prospect Objective(s): X Oil Gas Sulphur Salt Shorebase: Fourchon, LA Distance to Closest Land (Miles): 73

Description of Proposed Activities (Mark all that apply) X Exploration drilling Development drilling Well completion Installation of production platform Well test flaring (for more than 48 hours) Installation of production facilities Installation of caisson or platform as well protection structure Installation of satellite structure Installation of subsea wellheads and/or manifolds Commence production Installation of lease term pipelines Other (Specify and describe) Have you submitted or do you plan to submit a Conservation Information Document to accompany this plan? Yes X No

Do you propose to use new or unusual technology to conduct your activities? Yes X No

Do you propose any facility that will serve as a host facility for deepwater subsea development? Yes X No

Do you propose any activities that may disturb an MMS-designated high-probability archaeological area? Yes X No

Have all of the surface locations of your proposed activities been previously reviewed and approved by MMS? Yes X No

Tentative Schedule of Proposed Activities Proposed Activity Start Date End Date No. of Days

Drill and temporarily abandon Well Location A 12/15/2009 4/13/2010 120 Drill and temporarily abandon Well Location B 4/14/2010 8/11/2010 120 Drill and temporarily abandon Well Location C 1/1/2011 4/30/2011 120 Drill and temporarily abandon Well Location E 5/1/2011 8/28/2011 120 Drill and temporarily abandon Well Location F 1/1/2012 4/29/2012 120

Description of Drilling Rig Description of Production Platform

Jackup Drillship Caisson Tension Leg Platform Gorilla Jackup Platform rig Well protector Compliant tower X Semi-submersible Submersible Fixed Platform Guyed tower DP Semi-submersible Other (Attach

description) Subsea manifold Floating production

system Drilling Rig Name (if known): Spar Other (Attach Description)

Description of Lease Term Pipelines From (Facility/Area/Block) To (Facility/Area/Block) Diameter (Feet) Length (Feet)



OCS PLAN INFORMATION FORM (CONTINUED) Include one copy of this page for each proposed well/structure

Proposed Well/Structure Location

Well or Structure Name/Number (If renaming well or structure, reference previous name): Well Location A

Subsea Completion

Anchor Radius (if applicable) in feet: 11,500’ X Yes No Surface Location Bottom-Hole Location (For Wells) Lease No. OCS-G 24134 OCS-G 24134 Area Name Mississippi Canyon Mississippi Canyon Block No. 993 993 Blockline Departures (in feet)

N/S Departure 4390’ FSL N/S Departure

(in feet) E/W Departure 4882’ FWL E/W Departure Lambert X-Y coordinates

X: 1,082,002.00 X: Y: 10,157,830.00 Y:

Latitude / Longitude

Latitude 27° 58’ 50.962” Latitude Longitude 88° 43’ 50.168” Longitude

TVD (Feet): MD (Feet): Water Depth (Feet): 6,260’

Anchor Locations for Drilling Rig or Construction Barge (If anchor radius supplied above, not necessary) Anchor Name or No.

Area Block X Coordinate Y Coordinate Length of Anchor Chain on Seafloor

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

Paperwork Reduction Act of 1995 Statement: The Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35) requires us to inform you that MMS collects this information as part of an applicant’s Exploration Plan or Development Operations Coordination Document submitted for MMS approval. We use the information to facilitate our review and data entry for OCS plans. We will protect proprietary data according to the Freedom of Information Act and 30 CFR 250.196. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid Office of Management and Budget Control Number. The use of this form is voluntary. The public reporting burden for this form is included in the burden for preparing Exploration Plans and Development Operations Coordination Documents. We estimate that burden to average 580 hours per response, including the time for reviewing instructions, gathering and maintaining data, and completing and reviewing the form. Direct comments regarding the burden estimate or any other aspect of this form to the Information Collection Clearance Officer, Mail Stop 4230, Minerals Management Service, 1849 C Street, N.W., Washington, DC 20240.





Well or Structure Name/Number (If renaming well or structure, reference previous name): Well Location B

Subsea Completion




X: 1,083,916.00 X: Y: 10,157,308.00 Y:



TVD (Feet): MD (Feet): Water Depth (Feet): 6,300’



X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=






Well or Structure Name/Number (If renaming well or structure, reference previous name): Well Location C

Subsea Completion




X: 1,083,452.00 X: Y: 10,156,380.00 Y:



TVD (Feet): MD (Feet): Water Depth (Feet): 6290’



X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=





Proposed Well/Structure Location Well or Structure Name/Number (If renaming well or structure, reference previous name):

Well Location E Subsea Completion

Anchor Radius (if applicable) in feet: 11,500’ X Yes No Surface Location Bottom-Hole Location (For Wells)

Lease No. OCS-G 24134 OCS-G 24134 Area Name Mississippi Canyon Mississippi Canyon Block No. 993 993 Blockline Departures(in feet)



X: 1,078,870.00 X: Y: 10,154,002.00 Y:






X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

Paperwork Reduction Act of 1995 Statement: The Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35) requires us to inform you that MMS collects this information as part of an applicant’s Exploration Plan or Development Operations Coordination Document submitted for MMS approval. We use the information to facilitate our review and data entry for OCS plans. We will protect proprietary data according to the Freedom of Information Act and 30 CFR 250.196. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid Office of Management and Budget Control Number. The use of this form is voluntary. The public reporting burden for this form is included in the burden for preparing Exploration Plans and Development Operations Coordination Documents. We estimate that burden to average 580 hours per response, including the time forreviewing instructions, gathering and maintaining data, and completing and reviewing the form. Direct comments regarding the burden estimate or any other aspect of this form to the Information Collection Clearance Officer, Mail Stop 4230, Minerals Management Service,1849 C Street, N.W., Washington, DC 20240.



OCS PLAN INFORMATION FORM (CONTINUED)

Include one copy of this page for each proposed well/structure

Proposed Well/Structure Location Well or Structure Name/Number (If renaming well or structure, reference previous name):

Well Location F Subsea Completion


N/S Departure 4161’ FNL N/S Departure


X: 1,077,810.00 X: Y: 10,165,119.00 Y:






X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=

X= Y=


Well Location Plat

Attachment B (Public Information)

Bathymetry Map

Attachment C (Public Information)

General Information (30 CFR Part 250.213 and 250.243)


A. Application and Permits The following Federal/State applications will be submitted for the activities provided for in this Plan (exclusive of MMS permit applications and general permits issued by the EPA and COE).

Application/Permit Issuing Agency

Status

CZM Consistency Certification CMD Pending Rig Move Reports USCG and NGA Pending

B. Drilling Fluids Marathon plans to use the following drilling fluids for the operations proposed under this Plan:

Proposed Well Location

Type of Drilling Fluid Estimated volume of Drilling Fluid to be

used Per Well A, B, C, E, F Water-based (seawater, freshwater, barite) 20,000 A, B, C, E, F Synthetic-based (internal, olefin, ester) 24,000

Below are the major components being used in the synthetic based drilling fluid:

Product Name Amount to Be used

MSDS # or Internet address for product Remarks

SureMul 500 bbls 12243.2 MI Drlg Fluids (Synthetic) SureWet 230 bbls 12245.2 MI Drlg Fluids (Synthetic) V-G Plus 40,000 lbs. 12254.1 MI Drlg Fluids (Synthetic) HRP 100 bbls. 10726.5 MI Drlg Fluids (Synthetic) SureThin 120 bbls. 12253.2 MI Drlg Fluids (Synthetic) Synthetic base 12,000 bbls. 12269.2 MI Drlg Fluids (Synthetic) Calcuim Chloride 5000 bbls. 30474.0 MI Drlg Fluids (Synthetic) Lime 120,000 lbs. 30402.0 MI Drlg Fluids (Synthetic)

C. New or Unusual Technology Marathon does not propose using any new and/or unusual technology for the operations proposed in this Plan.

D. Bonding Statement The bond requirements for the activities and facilities proposed in this EP are satisfied by an areawide bond, furnished and maintained according to 30 CFR Part 256, subpart I; NTL No. 2000-G16, “Guidelines for General Lease Surety Bonds;” and a current MMS-approved deferment from

General Information (30 CFR Part 250.213 and 250.243)


providing additional security under 30 CFR 256.43(d) and National NTL No. 2008-N07 “Supplemental Bonding Procedures.” If, any point, Marathon Oil Company no longer qualifies for a supplemental bonding deferment, Marathon Oil Company will either provide the required additional security or a third party guarantee within 60 days after such disqualification. E. Oil Spill Financial Responsibility (OSFR) Marathon Oil Company (MMS Company No. 00724) has demonstrated oil spill financial responsibility for the facilities proposed in this EP according to 30 CFR Part 253, and NTL 2008-N05, “Guidelines for Oil Spill Financial Responsibility for Covered Facilities.” F. Deepwater Well Control Statement Marathon Oil Company (MMS Company No. 00724) has the financial capability to drill a relief well and conduct other emergency well control operations. G. Blowout Scenario According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Geological and Geophysical Information (30 CFR Part 250.214 and 250.244)


A. Geological Description Included as Attachment D are the geological targets and a narrative of trapping features proposed in this Plan. B. Structure Contour Maps Included as Attachment E are current structure maps (depth base and expressed in feet subsea) depicting the entire lease coverage area; drawn on top of the prospective hydrocarbon sands. The maps depict each proposed bottom hole location and applicable geological cross section.

C. Interpreted Seismic Lines Included as Attachment F is a copy of the migrated and annotated (shot points, time lines, well paths) deep seismic line within 500 feet of the surface location being proposed in the Plan. D. Geological Structure Cross-Sections An interpreted geological cross section depicting the proposed well locations and depth of the proposed wells is included as Attachment G. Such cross section corresponds to each seismic line being submitted. E. Shallow Hazards Report Geoscience Earth and Marine Services conducted a high resolution geophysical survey in Mississippi Canyon Block 993 on behalf of Marathon Oil Company. The purpose of the survey was to evaluate geologic conditions and inspect for potential hazards or constraints to lease development. Copies of these reports have been previously submitted to the Minerals Management Service under separate cover, as shown in Attachment H. F. Shallow Hazards Assessment Utilizing the 3D deep seismic exploration data a shallow hazards analysis was prepared for the proposed surface locations, evaluating seafloor and subsurface geologic and manmade features and conditions, and is included as Attachment I. G. High Resolution Seismic Lines Marathon provided exploration 3-D seismic data for the evaluation of the proposed surface disturbance operations.

Geological and Geophysical Information (30 CFR Part 250.214 and 250.244)


H. Stratigraphic Column A generalized biostratigraphic/lithostratigraphic column from the seafloor to the total depth of the proposed wells is included as Attachment J. I. Time vs. Depth Tables A time versus depth table is included as Attachment K.

Geological Description

Attachment D

(Proprietary Information)

Structure Maps

Attachment E (Proprietary Information)

Deep Seismic Lines

Attachment F (Proprietary Information)

Cross Section Maps

Attachment G (Proprietary Information)

Shallow Hazards Report Transmittal Letter

Attachment H (Public Information)

Shallow Hazards Assessment

Attachment I (Public Information)

Stratigraphic Column

Attachment J (Proprietary Information)

Time vs Depth Table

Attachment K (Proprietary Information)

Hydrogen Sulfide (H2S) Information (30 CFR Part 250.215 and 250.245)


A. Concentration Marathon does not anticipate encountering H2S while conducting the proposed exploratory operations provided for under this Plan. B. Classification In accordance with Title 30 CFR 250.490(c) and NTL No. 2003-G17, Marathon requests that Mississippi Canyon Block 993 (Lease OCS-G-24134) be classified by the Minerals Management Service as an area where the absence of hydrogen sulfide has been confirmed based on the following correlative wells drilled to the stratigraphic equivalent of the wells proposed in this plan. Proprietary Information

C. H2S Contingency Plan According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

D. Modeling Report According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Biological, Physical and Socioeconomic Information (30 CFR Part 250.216 and 250.247)


A. Chemosynthetic Communities Report The proposed seafloor disturbing activities vary in water depths from 5,969 feet to 6,277 feet. MAPS Using 3-D seismic data, GEMS prepared the enclosed maps depicting bathymetry, seafloor and shallow geologic features, surface location of each proposed well, a radius circle of 500 feet around each proposed wellsite, and an anchor radius pattern representing a typical minimum and maximum length of chain and anchor on bottom at approximately 8,000 feet and 11,500 feet from each proposed wellsite. ANALYSIS

Associated Anchors – Undetermined Anchor Pattern with Possible Anchor Disturbances between 250 and 500 feet from Chemosynthetic Communities

Well Locations A, B, C, E, F and associated anchor patterns: Features or areas that could support high-density chemosynthetic communities are not located within 1,500 feet of each proposed mud and cuttings discharge location. Although we do not know the exact anchor pattern to be used, features or areas that could support high-density chemosynthetic communities will not be located within 250 feet of any seafloor disturbances resulting from our use of anchors (including those caused by anchors, anchor chains, and wire ropes.) However, features or areas that could support high-density chemosynthetic communities are located within the maximum area that such proposed disturbances to the seafloor may disturb. Therefore, we will use a state-of-the-art positioning system (e.g., differential global positioning system) on our anchor handling vessel(s) to ensure that any such seafloor disturbances do not occur within 250 feet of such areas (as depicted on enclosed maps). Additionally, we will submit plats, at a scale of 1 inch = 1,000 feet with DGPS accuracy, to the MMS within 60 days after completion of operations which depict the “as-placed” location of all anchors, anchor chains, and wire ropes and demonstrate that the features or areas were not physically impacted by these anchoring activities. B. Topographic Features Map MMS and the National Marine Fisheries Service (NMFS) have entered into a programmatic consultation agreement for Essential Fish Habitat that requires that no bottom disturbing activities (including rig placement, and rig or construction base use of anchors, chains, cables, and wire ropes) within 305 meters (1000 feet) of a “No-Activity Zone” of a topographic feature.



If such proposed bottom disturbing activities are within 500 feet of a no activity zone, the MMS is required to consult with the NMFS. The activities proposed in this Plan are not affected by a topographic feature. C. Topographic Features Statement (Shunting) The activities proposed in this Plan are not affected by a topographic feature; therefore, Marathon is not required to shunt drill cuttings and drill fluids. D. Live Bottoms (Pinnacle Trend) Map Certain leases are located in areas characterized by the existence of live bottoms. Live bottom (Pinnacle trend features) are small, isolated, low to moderate relief carbonate reefal features or outcrops of unknown origin or hard substrates exposed by erosion that provide surface area for the growth of sessile invertebrates and attract large number of fish. Known features occur in an area of topographic relief in the northeastern portion of the western Gulf of Mexico. These leases contain a Live Bottom Stipulation to ensure that impacts from nearby oil and gas activities on these live bottom areas are mitigated to the greatest extent possible. For each affected lease, the Live Bottom Stipulation requires that you prepare a live bottom survey report containing a bathymetry map prepared by using remote sensing techniques. This report must be submitted to the Gulf of Mexico OCS Region (GOMR) before you may conduct any drilling activities or install any structure, including lease term pipelines in accordance with NTL 2004-G05. Mississippi Canyon Block 993 is not located within the vicinity of a proposed live bottom (Pinnacle trend) area.

E. Live Bottoms (Low Relief) Map Certain leases are located in areas characterized by the existence of live bottoms. Live bottom (Low relief features) are seagrass communities; those areas that contain biological assemblages consisting of sessile invertebrates living upon and attached to naturally occurring hard or rocky formations with rough, broken, or smooth topography; and areas where a hard substrate and vertical relief may favor the accumulation of turtles, fishes or other fauna. These features occur in the Eastern Planning Area of the Gulf of Mexico. Mississippi Canyon Block 993 is not located within the vicinity of a proposed live bottom (Low Relief) area. F. Potentially Sensitive Biological Features Oil and gas operations and transportation activities in the vicinity of potentially sensitive biological features may cause deleterious impacts to the sessile and pelagic communities associated with those



habitats. Adverse impacts to the communities could be caused by mechanical damage from drilling rigs, platforms, pipeline and anchor employment. Mississippi Canyon Block 993 is not located within the vicinity of a proposed sensitive biological feature area. G. Remotely Operated Vehicle (ROV) Monitoring Survey Plan Pursuant to NTL No. 2008-G06, operators may be required to conduct remote operated vehicle (ROV) surveys during pre-spudding and post-drilling operations for the purpose of biological and physical observations. The Minerals Management Service has determined there is adequate ROV survey coverage for Grid 16, where Mississippi Canyon Block 993 is located. Therefore, no ROV surveys are required. H. Threatened or Endangered Species, Critical Habitat, and Marine Mammal Information Effective May 14, 2007, Minerals Management Service revised Title 30 CFR Part 250, Subpart B to require lessees/operators to address the federally listed species with designated critical habitat as well as marine mammals which may be impacted by the proposed activities addressed under this Plan. The following listed species under the jurisdiction of NOAA fisheries are known to occur in the Gulf of Mexico and may be affected by the proposed action:

• Endangered: Sperm Whale, Leatherback Turtle, Green Turtle, Hawksbill Turtle, and Kemp’s Ridley Turtle, Smalltooth Sawfish

• Threatened: Loggerhead Turtle and Gulf Sturgeon No critical habitat for listed species under the jurisdiction of NOAA Fisheries has been designated within the Gulf of Mexico. The proposed activities in Mississippi Canyon Block 993 are not located in the presence of federally listed threatened or endangered species and critical habitat designated under the ESA and marine mammals protected under the MMPA. I. Archaeological Report In accordance with NTLs 2005-G07 and 2008-G20, Mississippi Canyon Block 993 is located within an area requiring a 300-meter spacing survey. This requirement provides protection of prehistoric and historic archaeological resources by requiring remote sensing surveys in areas designated to have a high probability for archaeological resources.



Copies of these reports have been previously submitted to the Minerals Management Service under separate cover, as shown in Attachment H. J. Air and Water Quality Information According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

K. Socioeconomic Information According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Waste and Discharge Information (30 CFR Part 250.217 and 250.248)


A. Projected Generated Wastes Marathon proposes the following projected solids and liquid wastes likely to be generated under this Plan.

Type of Waste Composition Projected Amount Spent Drilling fluids Water-based drilling muds 20,000 bbls/wellDrill cuttings associated with water-based fluids

Drill cuttings associated with water-based fluids 2,500 bbls/well

Drill cuttings containing synthetic-based mud

Cuttings coated with synthetic drilling fluids 20,650 bbls/well

Chemical product waste Ethylene Glycol, Methanol 50 bbls/month

Trash Refuse generated during painting operations 25 bbls/month

Marathon does not propose any treating, storing, or downhole disposal of these wastes at the proposed wells/MODU.

B. Projected Ocean Discharges Marathon proposes the following solids and liquid wastes are to be discharged overboard under this Plan.

Type of Waste Total Amount to be Discharged

Discharge Rate Discharge Method

Muds, cuttings and cement at the seafloor

Gel – 5,000 bblWBM – 8,000 bbl

Seawater / caustic – 7,000 bbl

Cuttings – 2,500 bbl

Not applicable Overboard (Seafloor- Riserless)

Spent drilling fluids and cuttings containing synthetic-based mud

20,650 bbl/well 300 bbls/day Overboard

Chemical product wastes 50 bbls 2 bbls/day Add to produced water stream

Sanitary wastes 20 gal/person/day Not applicable Chlorinate and discharge

Domestic wastes 30 gal/person/day Not applicable Remove floating solids and discharge

Deck Drainage 0-4,000 bbl/day dependant upon rainfall

15 bbl per hour (maximum separator

discharge)

Treat for oil and grease and discharge

Well treatment, workover or completion fluids

Workover – 300 bbl/well Treatment – 250 bbl/well

Completion – 300 bbl/well

200 bbls/well/every 4 years

Discharge used fluids overboard, return excess to shore for credit.

Uncontaminated fresh or seawater 37,000 bbl (drilling) Not applicable Discharged overboard

Desalinization Unit water 700 bbl/day Not applicable Discharged overboardUncontaminated bilge 2,000 bbl 260 m3/hr Discharged overboard

Waste and Discharge Information (30 CFR Part 250.217 and 250.248)


water Uncontaminated ballast water 20,000 bbl 2,600 m3/hr Discharged overboard

Misc. discharges to which treatment chemicals have been added

100 bbl/day 10 bbl/hr Discharged overboard

Miscellaneous discharges (permitted under NPDES) (Excess cement with cementing chemicals)

100 bbl Not applicable Discharged at seafloor without treatment

C. Modeling Report According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Air Emissions Information (30 CFR Part 250.218 and 250.249)


The primary air pollutants associated with OCS exploration activities are:

• Carbon Monoxide • Particulate Matter • Sulphur Oxides • Nitrogen Oxides • Volatile Organic Compounds

These offshore air emissions result mainly from the drilling rig operations, helicopters, and support vessels. These emissions occur mainly from combustion or burning of fuels and natural gas and from venting or evaporation of hydrocarbons. The combustion of fuels occurs primarily on diesel-powered generators, pumps or motors and from lighter fuel motors. Other air emissions can result from catastrophic events such as oil spills or blowouts. A. Emissions Worksheets and Screening Questions The Projected Air Quality Emissions Report (Form MMS-138) addresses the proposed drilling and temporary abandonment operations utilizing a typical semi-submersible) drilling unit, with related support vessel information. As evidenced by Attachment L, the proposed operations screened out based on “no” answer to all the screening questions. B. Emissions Reduction Measures The projected air emissions are within the exemption level; therefore, no emission reduction measures are being proposed. C. Verification of Nondefault Emissions Factors Marathon has elected to use the default emission factors as provided in Attachment L. D. Non-Exempt Activities The proposed activities are within the exemption amount as provided in Attachment L. E. Modeling Report According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Air Quality Emissions Report

Attachment L

(Public Information)

EXPLORATION PLAN (EP)AIR QUALITY SCREENING CHECKLIST

OMB Control No. 1010-0049OMB Approval Expires: August 31, 2006

COMPANY Marathon Oil CompanyAREA Mississippi CanyonBLOCK 993LEASE OCS-G 24134PLATFORM N/AWELL A, B, C, E, and F

COMPANY CONTACT Kimberly Hicks / R.E.M. Solutions, Inc.TELEPHONE NO. 281.492.3241REMARKS Drill and temporarily abandon Well Locations A, B, C, E, and F.

Form MMS-138 (August 2003)Page 1 of 8

EMISSIONS FACTORS

Fuel Usage Conversion Factors Natural Gas Turbines Natural Gas Engines Diesel Recip. Engine REF. DATESCF/hp-hr 9.524 SCF/hp-hr 7.143 GAL/hp-hr 0.0483 AP42 3.2-1 4/76 & 8/84

Equipment/Emission Factors units PM SOx NOx VOC CO REF. DATE

NG Turbines gms/hp-hr 0.00247 1.3 0.01 0.83 AP42 3.2-1& 3.1-1 10/96

NG 2-cycle lean gms/hp-hr 0.00185 10.9 0.43 1.5 AP42 3.2-1 10/96

NG 4-cycle lean gms/hp-hr 0.00185 11.8 0.72 1.6 AP42 3.2-1 10/96

NG 4-cycle rich gms/hp-hr 0.00185 10 0.14 8.6 AP42 3.2-1 10/96

Diesel Recip. < 600 hp. gms/hp-hr 1 1.468 14 1.12 3.03 AP42 3.3-1 10/96

Diesel Recip. > 600 hp. gms/hp-hr 0.32 1.468 11 0.33 2.4 AP42 3.4-1 10/96

Diesel Boiler lbs/bbl 0.084 2.42 0.84 0.008 0.21 AP42 1.3-12,14 9/98

NG Heaters/Boilers/Burners lbs/mmscf 7.6 0.593 100 5.5 84 P42 1.4-1, 14-2, & 14 7/98

NG Flares lbs/mmscf 0.593 71.4 60.3 388.5 AP42 11.5-1 9/91

Liquid Flaring lbs/bbl 0.42 6.83 2 0.01 0.21 AP42 1.3-1 & 1.3-3 9/98

Tank Vapors lbs/bbl 0.03 E&P Forum 1/93

Fugitives lbs/hr/comp. 0.0005 API Study 12/93

Glycol Dehydrator Vent lbs/mmscf 6.6 La. DEQ 1991

Gas Venting lbs/scf 0.0034

Sulfur Content Source Value UnitsFuel Gas 3.33 ppm

Diesel Fuel 0.4 % weightProduced Gas( Flares) 3.33 ppm

Produced Oil (Liquid Flaring) 1 % weight


Yes No

X

X

1 For activities proposed in your EP or DOCD, list the projected emissions calculated from the worksheets.2 List the exemption amounts in your proposed activities calculated using the formulas in 30 CFR 250.303(d).3 List the complex total emissions associated with your proposed activities calculated from the worksheets.

Screening Questions for EP'sIs any calculated Complex Total (CT) Emission amount (in tons associated with

Xyour proposed exploration activities more than 90% of the amounts calculatedusing the following formulas: CT = 3400D2/3 for CO, and CT = 33.3D for theother air pollutants (where D = distance to shore in miles)?

Do you expect to encounter H2S at concentrations greater than 20 parts per millionX

(ppm)?Do you propose to flare or vent natural gas for more than 48 continuous hours X

Does your emission calculations include any emission reduction measures or Xmodified emission factors?Are your proposed exploration activities located east of 87.5° W longitude?

from any proposed well?Do you propose to burn produced hydrocarbon liquids?

Emission Exemption Complex TotalAir Pollutant Plan Calculated Calculated

Amounts1 Amounts2 Emission(tons) (tons) Amounts3

(tons)Carbon monoxide (CO) 416.42 59387.38 NAParticulate matter (PM) 55.52 2430.90 NA

Volatile organic compounds (VOC) 57.26 2430.90 NA

Sulphur dioxide (SO2) 254.71 2430.90 NANitrogen oxides (NOx) 1908.57 2430.90 NA

EMISSIONS CALCULATIONS 1ST YEAR

COMPANY AREA BLOCK LEASE PLATFORM WELL CONTACT PHONE REMARKSMarathon Oil Company Mississippi Canyon 993 OCS-G 24134 N/A A, B, C, E, and F Kimberly Hicks / R.E.M. Solution281.492.3241

OPERATIONS EQUIPMENT RATING MAX. FUEL ACT. FUEL RUN TIME MAXIMUM POUNDS PER HOUR ESTIMATED TONSDiesel Engines HP GAL/HR GAL/D

Nat. Gas Engines HP SCF/HR SCF/DBurners MMBTU/HR SCF/HR SCF/D HR/D DAYS PM SOx NOx VOC CO PM SOx NOx VOC CO

DRILLING PRIME MOVER>600hp diesel 26400 1275.12 30602.88 24 17 18.61 85.36 639.65 19.19 139.56 3.80 17.41 130.49 3.91 28.47PRIME MOVER>600hp diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00PRIME MOVER>600hp diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00PRIME MOVER>600hp diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00BURNER diesel 0 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00AUXILIARY EQUIP<600hp diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00VESSELS>600hp diesel(crew) 2600 125.58 3013.92 10 8 1.83 8.41 63.00 1.89 13.74 0.07 0.34 2.52 0.08 0.55VESSELS>600hp diesel(supply) 2600 125.58 3013.92 10 5 1.83 8.41 63.00 1.89 13.74 0.05 0.21 1.57 0.05 0.34VESSELS>600hp diesel(tugs) 4200 202.86 4868.64 12 5 2.96 13.58 101.76 3.05 22.20 0.09 0.41 3.05 0.09 0.67

FACILITY DERRICK BARGE diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00INSTALLATION MATERIAL TUG diesel 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

VESSELS>600hp diesel(crew) 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00VESSELS>600hp diesel(supply) 0 0 0.00 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

MISC. BPD SCF/HR COUNTTANK- 0 0 0 0.00 0.00

DRILLING OIL BURN 0 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00WELL TEST GAS FLARE 0 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

2009 YEAR TOTAL 25.23 115.76 867.40 26.02 189.25 4.00 18.37 137.64 4.13 30.03

EXEMPTION CALCULATION

DISTANCE FROM LAND IN MILES 2430.90 2430.90 2430.90 2430.90 59387.38

73.0


EMISSIONS CALCULATIONS 2ND YEAR






VESSELS>600hp diesel(crew) 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00VESSELS>600hp diesel(supply) 0 0 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

MISC. BPD SCF/HR COUNTTANK- 0 0 0 0.00 0.00


2010 YEAR TOTAL 25.23 115.76 867.40 26.02 189.25 51.53 236.38 1771.25 53.14 386.45



73.0


EMISSIONS CALCULATIONS 3RD YEAR







MISC. BPD SCF/HR COUNT TANK- 0 0 0 0.00 0.00


2011 YEAR TOTAL 25.23 115.76 867.40 26.02 189.25 55.52 254.71 1908.57 57.26 416.42



73.0


EMISSIONS CALCULATIONS 3RD YEAR







MISC. BPD SCF/HR COUNT TANK- 0 0 0 0.00 0.00


2012 YEAR TOTAL 25.23 115.76 867.40 26.02 189.25 27.77 127.40 954.60 28.64 208.28



73.0


SUMMARY

COMPANY AREA BLOCK LEASE PLATFORM WELL

Marathon Oil Company Mississippi Canyon 993 OCS-G 24134 N/A A, B, C, E, and F

Emitted SubstanceYear

PM SOx NOx VOC CO2009 4.00 18.37 137.64 4.13 30.03

2010 51.53 236.38 1771.25 53.14 386.45

2011 55.52 254.71 1908.57 57.26 416.42

2012 27.77 127.40 954.60 28.64 208.28

Allowable 2430.90 2430.90 2430.90 2430.90 59387.38


Oil Spill Information (30 CFR Part 250.219 and 250.250)


A. Oil Spill Response Planning All the proposed activities and facilities in this EP will be covered by the Oil Spill Response Plan filed by Marathon Oil Company (MMS Operator Number 00724) in accordance with 30 CFR 254 and approved on January 13, 2009 B. Spill Response Sites The following locations will be used in the event and oil spill occurs as a result of the proposed activities.

Primary Response Equipment Location Pre-Planned Staging Location(s) Intracoastal City, Louisiana Houma, Louisiana

C. OSRO Information Marathon utilizes Clean Gulf Associates (CGA) as its primary provider for equipment, which is an industry cooperative owning an inventory of oil spill clean-up equipment. CGA is supported by the Marine Spill Response Corporation’s (MSRC), which is responsible for storing, inspecting, maintaining and dispatching CGA’s equipment. The MSRC STARS network provides for the closest available personnel, as well as an MSRC supervisor to operate the equipment. D. Worst-Case Scenario Determination

Category Regional OSRP Exploration Plan Type of Activity

Exploratory MODU

Exploratory MODU

Facility Surface Location Green Canyon Block 996 OCS-G-31775

Mississippi Canyon Block 993 OCS-G-24134

Facility Description Well Location A Well Location A Distance to Nearest Shoreline (Miles) 143 miles 73 miles

Volume: Storage Tanks (total) Flowline (On Facility) Lease Term Pipeline Uncontrolled Blowout (day) Potential 24 Hour Volume (Bbls.)

99,000

99,000

Type of Liquid Hydrocarbon Crude Oil Crude Oil API Gravity 25° 33°

Oil Spill Information (30 CFR Part 250.219 and 250.250)


Since Marathon has the capability to respond to the appropriate worst-case spill scenario included in its Regional OSRP approved on January 13, 2009, and since the worst-case scenario determined for our EP does not replace the worst-case scenario in our Regional OSRP, I hereby certify that Marathon has the capability to respond, to the maximum extent practicable, to a worst-case discharge, or a substantial threat of such a discharge, resulting from the activities proposed in our EP. E. Oil Spill Response Discussion According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations. F. Modeling Report According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Environmental Monitoring Information (30 CFR Part 250.221 and 250.252)


A. Monitoring Systems Marathon subscribes to Impact Weather Service which provides access to real-time weather conditions, and provides periodic updates on impending inclement weather conditions such as tropical depressions, storms and/or hurricanes entering the Gulf of Mexico. Marathon also relies on the National Weather Service to support the aforementioned subscribed service. During impending inclement weather conditions, Marathon closely coordinates the activity with our contractors and field personnel to ensure the safety of people for evacuation; measures to prepare the facility for evacuation to ensure protection of the environment and the facility/equipment. Mississippi Canyon Block 993 is in water depths greater than 400 meters (1312 feet); therefore, Marathon will follow the guidelines of the applicable Notice to Lessees NTL 2009-G02 by monitoring and gathering ocean current data using Acoustic Doppler Current Profile (ADCP) while the MODU is on location. B. Incidental Takes Effective May 14, 2007, Minerals Management Service revised regulations in Title 30 CFR Part 250, Subpart B to require lessees/operators to provide for monitoring systems if the activities provided for in this Plan have the potential to result in an incidental take of any federally listed species and/or marine mammals. Marathon does not anticipate the incidental taking of any species as a result of the proposed activities based on the implementation of, and adherence to, the NTL 2007-G03 “Marine Trash and Debris Awareness Training and Elimination” and “NTL 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protected Species Reporting”. C. Flower Garden Banks National Marine Sanctuary According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Lease Stipulations/Special Conditions Information (30 CFR Part 250.222 and 250.253)


A. Lease Stipulations Under the Outer Continental Shelf Lands Act, the Minerals Management Service is charged with the responsibility of managing and regulating the exploration and development on the OCS. As part of the regulatory process, an Environmental Impact Statement (EIS) is prepared for each lease sale, at which time mitigation measures are addressed in the form of lease stipulations, which then become part of the oil and gas lease terms and are therefore enforceable as part of that lease. As part of this process, the designated operator proposing to conduct related exploratory and development activities, must review the applicable lease stipulations, as well as other special conditions, which may be imposed by the Minerals Management Service, and other governing agencies. Lease OCS-G 24134, Mississippi Canyon Block 993 is subject to the following lease stipulation and special conditions: • Evacuation Lease Stipulation No. 4 requires operators to recognize and agree that the United States reserves and has the right to temporarily suspend operations and/or require evacuation of the lease in the interest of national security. Additionally, it provides guidelines in the event of an evacuation, notification requirements, and non-reimbursement in the event of an evacuation. • Coordination Lease Stipulation No. 5 requires coordination of the proposed activities with the Minerals Management Service to minimize conflicts with Department of Defense activities. It allows for the conditional approval of proposed operations in the interest of national security or defense, or to minimize the effects of conflicts with potentially hazardous military operations. • Marine Protected Species Lease Stipulation No. 8 is to reference measures to minimize or avoid potential adverse impacts to protected species (sea turtles, marine mammals, gulf sturgeon, and other federally protected species). MMS has issued Notice to Lessees NTL 2007-G02 “Implementation of Seismic Mitigation Measures and Protected Species Observer Program”, NTL 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protected Species Reporting” and NTL 2007-G03 “Marine Trash and Debris Awareness and Elimination”.

Lease Stipulations/Special Conditions Information (30 CFR Part 250.222 and 250.253)


B. Special Conditions • Subsea Completions Marathon may potentially complete Well Locations A, B, C, E, and F as subsea completions. Therefore, Marathon will follow the regulations in Title 30 CFR Parts 250.288 through 250.290, which mandates the submittal and approval of separate regulatory filings entitled as a “Conservation Information Document” and a “Deepwater Operations Plan”, respectively. • Breton Sound Area Mississippi Canyon Block 993 is located within the 200 km zone of the Breton National Wildlife Refuge, and will consider the use of best available control technology as required as Notice to Lessees 98-10 if the projected air emissions are determined to significantly affect the air quality of an onshore area. • Ocean Current Monitoring The proposed operations under this Plan are in water depths greater than 400 meters (1312 feet); therefore, Marathon will follow the guidelines of the applicable regulations and NTL 2009-G02 by monitoring and gathering ocean current data using Acoustic Doppler Current Profile (ADCP) while the MODU is on location.

Environmental Mitigation Measures Information (30 CFR Part 250.223 and 250.254)


Effective May 14, 2007, Minerals Management Service revised regulations in Title 30 CFR Part 250, Subpart B to require lessees/operators to provide for monitoring systems if the activities provided for in this Plan have the potential to result in an incidental take of any federally listed species and/or marine mammals. Marathon does not anticipate the incidental taking of any species as a result of the proposed activities based on the implementation of, and adherence to, the NTL 2007-G03 “Marine Trash and Debris Awareness Training and Elimination” and “NTL 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protected Species Reporting”.

Related Facilities and Operations Information (30 CFR Part 250.256)


A. Produced Liquid Hydrocarbons Transportation Vessels According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

Support Vessels and Aircraft Information (30 CFR Part 250.224 and 250.257)


A. General Personnel involved in the proposed operations will typically use their own vehicles as transportation to and from the selected onshore base; whereas the selected vendors will transport the equipment by a combination of trucks, boats and/or helicopters to the onshore base. The personnel and equipment will then be transported to the drilling rig via the transportation methods and frequencies shown below, taking the most direct route feasible as mandated by weather and traffic conditions:

Type

Maximum Fuel Tank Storage

Capacity

Maximum No. in Area at Any Time

Trip Frequency or Duration

Tug Boats 3,000 bbls 1 10 trips per wellSupply Boats 500 bbls 1 2 trips per week Crew Boats 500 bbls 1 3 trips per week

Aircraft 1,900 lbs 1 1 trip per day

B. Diesel Oil Supply Vessels According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

C. Drilling Fluids Transportation According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations. D. Solid and Liquid Wastes Transportation According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations.

E. Vicinity Map A Vicinity Plat showing the surface location in Mississippi Canyon Block 993 relative to the shoreline and onshore base is included as Attachment M.

Vicinity Map

Attachment M (Public Information)

Onshore Support Facilities Information (30 CFR Part 250.225 and 250.258)


A. General The proposed surface disturbances in Mississippi Canyon Block 993 will be located approximately 73 miles from the nearest Louisiana shoreline, and approximately 118 miles from the onshore support base.

Name Location Existing/New/Modified MI Drilling Fluids Fourchon, Louisiana Existing

Marathon will use an existing onshore base to accomplish the following routine operations:

• Loading/Offloading point for equipment supporting the offshore operations, • Dispatching personnel and equipment, and does not anticipate the need for any expansion

of the selected facilities as a result of the activities proposed in this Plan, • Temporary storage for materials and equipment • 24-Hour Dispatcher

B. Support Base Construction or Expansion The proposed operations are temporary in nature and do not require any immediate action to acquire additional land, expand existing base facilities. C. Support Base Construction or Expansion Timetable According to NTL 2008-G04, this section of the Plan is not applicable to the proposed operations. D. Waste Disposal The wastes detailed below are those generated by our proposed activities that are stored and disposed at this location:

Name/Location of Facility

Type of Waste Amount Rate Disposal Method

Newpark Environmental

Fourchon, Louisiana

Hazardous liquid: Waste Oil 50 bbls 0.5 bbls/day Incinerator

Coastal Zone Management Act (CZMA) Information (30 CFR Part 250.226 and 250.260)


Under direction of the Coastal Zone Management Act (CZMA), the States of Alabama, Florida, Louisiana, Mississippi and Texas developed Coastal Zone Management Programs (CZMP) to allow for the supervision of significant land and water use activities that take place within or that could significantly impact their respective coastal zones. A. Consistency Certification A certificate of Coastal Zone Management Consistency for the States of Louisiana and Mississippi are enclosed as Attachment N. B. Other Information

Included as Attachment O are the enforceable policies from the State of Mississippi that are related to OCS Plan Filings.

Marathon has considered all of Louisiana’s enforceable policies and certifies the consistency for the proposed operations.

Coastal Zone Management Consistency Statement for

the States of Louisiana and Mississippi

Attachment N (Public Information)

Enforceable Policies for the State of Mississippi

Attachment O

(Public Information)

Marathon Oil Company Attachment O Mississippi Coastal Management Program Page 1

COASTAL ZONE MANAGEMENT

STATE OF MISSISSIPPI ENFORCEABLE POLICIES


State of Mississippi

Coastal Zone Consistency Policies Goal 1 To Provide for Reasonable Industrial Expansion in the Coastal Area and to

Insure the Efficient Utilization of Waterfront Industrial Sites so that Suitable Sites are Conserved for the Water Dependent Industry.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon Oil Company (Marathon) will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s coastal area.

Goal 2 To Favor the Preservation of the Coastal Wetlands and Ecosystems, Except

Where a Specific Alternation of Specific Coastal Wetlands Would Serve a Higher Public Interest in Compliance with the Public Purposes of the Public Trust in which the Coastal Wetlands are Held.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s coastal wetlands and ecosystems.

Goal 3 To Protect, Propagate, and Conserve the State’s Seafood and Aquatic Life in

Connection with the Revitalization, and Conserve the State’s Seafood and Aquatic Life in Connection with the Revitalization of the Seafloor Industry of The State of Mississippi.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s seafood and aquatic life.

Goal 4 To Conserve the Air and Waters of the State, and to Protect, Maintain, and

Improve the Quality thereof for Public Use, for the Prorogation of Wildlife, Fish, and Aquatic Life, and for Domestic, Agricultural, Industrial, Recreational, and Other Legitimate Beneficial Uses.


The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline.

Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s air and water quality.

Goal 5 To Put to Benefit Use to the Fullest Extent of which they are Capable to Water

Resources of the State, and to Prevent the Waste, Unreasonable Use, or Unreasonable Method of Use of Water.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s water resources.

Goal 6 To Preserve the State’s Historical and Archaeological Resources, to Prevent

their Destruction, and to Enhance these Resources Whenever Possible.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s historical and archaeological resources.

Goal 7 To Encourage the Preservation of Natural Scenic Qualities in the Coastal Area.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s natural scenic qualities in the coastal area.

Goal 8 To Assist Local Governments in the Provision of Public Facilities Services in a Manner Consistent with the Coastal Program.

The proposed activities are located in OCS Federal Waters, Gulf of Mexico, approximately 150 miles from the Mississippi coastline, and 73 miles from the nearest Louisiana shoreline. Marathon will utilize existing facilities in Fourchon, Louisiana. Therefore, there should not be any adverse impacts to Mississippi’s public facilities.

Environmental Impact Analysis (30 CFR Part 250.227 and 250.261)


A. Impact Producing Factors (IPF’s) From Proposed Activities

The following matrix is utilized to identify the affected environments that could be impacted by these IPF’s. An “x” has been marked for each IPF category that Marathon has determined may impact a particular environment as a result of the proposed activities. For those cells which are footnoted, a statement is provided as to the applicability of the proposed activities, and where there may be an effect, an analysis of the effect is provided.

Environmental Resources

Impact Producing Factors (IPFs)

Emissions (air, noise, light, etc.)

Effluents (muds, cuttings, other discharges

to the water column

or seafloor)

Physical disturbances

to the seafloor (rig or anchor emplacement,

etc.)

Wastes sent to

shore for treatment or disposal

Accidents (e.g. oil spills,

chemical spills, H2S releases)

Other IPFs you

identify

Site Specific at Offshore Location

Designated topographic features

(1) (1) (1)

Pinnacle Trend area live bottoms

(2) (2) (2)

Eastern Gulf live bottoms (3) (3) (3) Chemosynthetic communities

(4)

Water quality Fisheries X Marine mammals (8) (8) X Sea turtles (8) (8) X Air quality (9) Shipwreck sites (known or potential)

(7) X

Prehistoric archaeological sites

(7)

Vicinity of Offshore Location

Essential fish habitat (6) Marine and pelagic birds Public health and safety (5)

Coastal and Onshore Beaches (6) X Wetlands (6) Shorebirds and coastal nesting birds

(6) X

Coastal wildlife refuges Wilderness areas



Footnotes for Environmental Impact Analysis Matrix 1. Activities that may affect a marine sanctuary or topographic feature. Specifically, if the well or platform

site or any anchors will be on the seafloor within the: (a) 4-mile zone of the Flower Gardens Banks, or the 3-mile zone of Stetson Bank; (b) 1000-m, 1-mile or 3-mile zone of any topographic feature (submarine bank) protected by the

Topographic Features Stipulation attached to an OCS lease; (c) Essential Fish Habitat (EFH) criteria of 500 ft from any no-activity zone; or (d) Proximity of any submarine bank (500 ft buffer zone) with relief greater than 2 meters that is not

protected by the Topographic Stipulation attached to an OCS lease. 2. Activities with any bottom disturbance within an OCS lease block protected through the Live Bottom

(Pinnacle Trend) Stipulation attached to an OCS lease. 3. Activities within any Eastern Gulf OCS block where seafloor habitats are protected by the Live Bottom

(Low-Relief) Stipulation attached to an OCS lease. 4. Activities on blocks designated by the MMS as being in water depths 400 meters or greater. 5. Exploration or production activities where H2S concentrations greater than 500 ppm might be

encountered. 6. All activities that could result in an accidental spill of produced liquid hydrocarbons or diesel fuel that

you determine would impact these environmental resources. If the proposed action is located a sufficient distance from a resource that no impact would occur, the EIA can note that in a sentence or two.

7. All activities that involve seafloor disturbances, including anchor emplacements, in any OCS block designated by the MMS as having high-probability for the occurrence of shipwrecks or prehistoric sites, including such blocks that will be affected that are adjacent to the lease block in which your planned activity will occur. If the proposed activities are located a sufficient distance from a shipwreck or prehistoric site that no impact would occur, the EIA can note that in a sentence or two.

8. All activities that you determine might have an adverse effect on endangered or threatened marine mammals or sea turtles or their critical habitats.

9. Production activities that involve transportation of produced fluids to shore using shuttle tankers or barges.



B. Impact Analysis Site Specific at Offshore Location

• Designation Topographic Features

There are no anticipated emissions, effluents, physical disturbances to the seafloor, wastes transported to shore, and/or accidents from the proposed activities that could cause impacts to topographic features. The proposed surface disturbances within Mississippi Canyon Block 993 are located a significant distance (>100 miles) from the closest designated topographic feature (Sackett Bank). The crests of designated topographic features in the northern Gulf are found below 10 m. In the event of an accidental oil spill from the proposed activities, the gravity of such oil (high gravity condensate and/or diesel fuel) would rise to the surface, quickly dissipate, and/or be swept clear by the currents moving around the bank; thereby avoiding the sessile biota.

• Pinnacle Trend Area Live Bottoms

There are no anticipated emissions, effluents, physical disturbances to the seafloor, wastes sent to shore, and/or accidents from the proposed activities that could cause impacts to a pinnacle trend area. The proposed surface disturbances within Mississippi Canyon Block 993 are located a significant distance (>100 miles) from the closest pinnacle trend live bottom stipulated block. The crests of the pinnacle trend area are much deeper than 20 m. In the event of an accidental oil spill from the proposed activities, the gravity of such oil (high gravity condensate and/or diesel fuel) would rise to the surface, quickly dissipate, and/or be swept clear by currents moving around the bank; and thus not impacting the pinnacles.

• Eastern Gulf Live Bottoms

There are no anticipated emissions, effluents, emissions physical disturbances to the seafloor, wastes sent to shore, and/or accidents from the proposed activities that could cause impacts to Eastern Gulf live bottoms. The proposed surface disturbances within Mississippi Canyon Block 993 are located a significant distance (>100 miles) from the closest pinnacle Eastern Gulf live bottom stipulated block. In the event of an accidental oil spill from the proposed activities, the gravity of such oil (high gravity condensate and/or diesel fuel) would rise to the surface, quickly dissipate, and/or be swept clear by currents moving around the bank; and would not be expected to cause adverse impacts to Eastern Gulf live bottoms because of the depth of the features and dilutions of spills.



• Chemosynthetic Communities

Water depths in Mississippi Canyon Block 993 range from 5,969 feet to 6,277 feet. No features or areas that could support high-density chemosynthetic communities were detected in the survey area at the exploratory locations in Mississippi Canyon Block 993. Based on the water depth, there are no anticipated emissions, effluents, emissions physical disturbances to seafloor, wastes sent to shore, and/or accidents from the proposed activities that could impact these types of communities.

• Water Quality

Routine operational discharges authorized by EPA’s Region VI NPDES General Permit GMG290000 are regulated based on volume discharge rate limitations, and certain testing requirements for oil and grease and toxicity limitations. As such, it is not anticipated these discharges will cause significant adverse impacts to water quality. Accidental oil spill releases from the proposed activities, and cumulative similar discharge activity within the vicinity could potentially cause impacts to water quality. It is unlikely that an accidental oil spill release would occur from the proposed activities. In the event of such a release, the water quality would be temporarily affected by the dissolved components and small droplets. Currents and microbial degradation would remove the oil from the water column or dilute the constituents to background levels. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.

• Fisheries

Accidental oil spill releases from the proposed activities, and cumulative similar discharge activity within the vicinity may potentially cause some detrimental effects on fisheries. It is unlikely a spill would occur; however, such a release in open waters closed to mobile adult finfish or shellfish would likely be sub-lethal and the extent of damage would be reduced to the capability of adult fish and shellfish to avoid a spill, to metabolize hydrocarbons, and to excrete both metabolites and parent compounds. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.



Marathon will conduct the proposed activities under EPA’s Region VI NPDES General Permit GMG290000 which authorizes the discharge of certain effluents, subject to certain limitations, prohibitions and recordkeeping requirements. As such, it is not anticipated these discharges will cause significant adverse impacts to water quality.

• Marine Mammals

As a result of the proposed activities, marine mammals may be adversely impacted by emissions, effluents, waste sent to shore, and/or accidents. Chronic and sporadic sub-lethal effects could occur that may stress and/or weaken individuals of a local group or population and make them more susceptible to infection from natural or anthropogenic sources. Few lethal effects are expected from accidental oil spill, chance collisions with service vessels and ingestion of plastic material.

The net results of any disturbance would depend on the size and percentage of the population affected, ecological importance of the disturbed area, environmental and biological parameters that influence an animal’s sensitivity to disturbance and stress, and the accommodation time in response to prolonged disturbance (Geraci and St. Aubin, 1980). Collisions between cetaceans and ship could cause serious injury or death (Laist et al., 2001). Sperm whales are one of 11 whale species that are hit commonly by ships (Laist et al., 2001). Collisions between OCS vessels and cetaceans within the project area are expected to be unusual events. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill. Marathon will conduct the proposed activities under EPA’s Region VI NPDES General Permit GMG290000 which authorizes the discharge of certain effluents, subject to certain limitations, prohibitions and recordkeeping requirements. As such, it is not anticipated these discharges will cause significant adverse impacts to water quality. Additionally, Marathon does not anticipate the incidental taking of any marine mammals as the result of the proposed activities. The proposed activities will be conducted by our company and its contractors under the additional criteria addressed by MMS in Notice to Lessee’s (NTLs) 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protective Species” and NTL 2007-G03 “Marine Trash & Debris Awareness & Elimination”.



• Sea Turtles

As a result of the proposed activities, sea turtles may be adversely impacted by emissions, effluents, waste sent to shore, and/or accidents. Small numbers of turtles could be killed or injured by chance collision with service vessels or by eating indigestible trash, particularly plastic items accidentally lost from drilling rigs, production facilities and service vessels. Drilling rigs and project vessels (construction barges) produce noise that could disrupt normal behavior patterns and create some stress to sea turtles, making them more susceptible to disease. Accidental oil spill releases are potential threats which could have lethal effects on turtles. Contact and/or consumption of this released material could seriously affect individual sea turtles. Most OCS related impacts on sea turtles are expected to be sub-lethal. Chronic and/or avoidance of effected areas could cause declines in survival or productivity, resulting in gradual population declines.

In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill. Marathon will conduct the proposed activities under EPA’s Region VI NPDES General Permit GMG290000 which authorizes the discharge of certain effluents, subject to certain limitations, prohibitions and recordkeeping requirements. As such, it is not anticipated these discharges will cause significant adverse impacts to water quality. Additionally, Marathon does not anticipate the incidental taking of any sea turtles as the result of the proposed activities. The proposed activities will be conducted by our company and its contractors under the additional criteria addressed by MMS in Notice to Lessee’s (NTL’s) 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protective Species” and NTL 2007-G03 “Marine Trash & Debris Awareness & Elimination”.

• Air Quality

The proposed activities are located approximately 73 miles to the nearest shoreline. There would be a limited degree of air quality degradation in the immediate vicinity of the proposed activities. Air quality analyses of the proposed activities are below the MMS exemption level. As such, Marathon does not anticipate any IPF’s as a result of the proposed activities.

• Ship Wreck Sites (Known or Potential)

There are no physical disturbances to the seafloor which could impact known or potential shipwreck sites, as the review of high resolution shallow hazards data indicate there are no



known or potential shipwreck sites located within the surveyed area. As such, Marathon does not anticipate any IPF’s as a result of the proposed activities.

• Prehistoric Archaeological Sites

There are no physical disturbances to the seafloor which could cause impacts to prehistoric archaeological sites, as the review of high resolution shallow hazards data and supporting studies did not reflect the occurrence of prehistoric archaeological sites. As such, Marathon does not anticipate any IPF’s as a result of the proposed activities.

Vicinity of Offshore Location

• Essential Fish Habitat

As a result of the proposed activities, essential fish habitat may be adversely impacted by effluents and/or accidents. An accidental oil spill that may occur as a result of the proposed activities has potential to cause some detrimental effects on essential fish habitat. It is unlikely that an accidental oil spill release would occur; however, if a spill were to occur in close proximity to finfish or shellfish, the effects would likely be sub-lethal and the extent of damage would be reduced to the capability of adult fish and shellfish to avoid a spill, to metabolize hydrocarbons, and to excrete both metabolites and parent compounds. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.

• Marine and Pelagic Birds

As a result of the proposed activities, marine and pelagic birds may be adversely impacted by an accidental oil spill, by the birds coming into contact with the released oil. It is unlikely that an accidental oil spill release would occur. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.



• Public Health and Safety

There are no anticipated emissions, effluents, wastes sent to shore, and/or accidents from the proposed activities that could cause impacts to the public health and safety. Marathon has requested MMS approval to classify the proposed objective area as absent of hydrogen sulfide.

Coastal and Onshore

• Beaches

As a result of the proposed activities, beaches may be adversely impacted by an accidental oil spill. However, due to the distance from shore (approximately 73 miles), and the response capabilities that would be implemented, no significant adverse impacts are expected. Both historical spill data and the combined trajectory/risk calculations referenced in the publication of OCS EIA /EA MMS 2002-052 indicate there is little risk of contact or impact to the coastline and associated environmental resources. In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.

• Wetlands As a result of the proposed activities, wetlands may be adversely impacted by an accidental oil spill. However, due to the distance from shore (approximately 73 miles) and the response capabilities that would be implemented, no significant adverse impacts are expected. Both historical spill data and the combined trajectory/risk calculations referenced in the publication of OCS EIA /EA MMS 2002-052 indicate there is little risk of contact or impact to the coastline and associated environmental resources.

In the event of an unanticipated blowout resulting in an oil spill, it is unlikely to have an impact based on the industry wide standards for using proven equipment and technology for such responses, implementation of Marathon’s Regional Oil Spill Response Plan which addresses available equipment and personnel, techniques for containment and recovery, and removal of the oil spill.

• Shore Birds and Coastal Nesting Birds

As a result of the proposed activities, shore birds and coastal nesting birds may be adversely impacted by an accidental oil spill. However, due to the distance from shore (approximately 73 miles) and the response capabilities that would be implemented, no significant adverse



impacts are expected. Both historical spill data and the combined trajectory/risk calculations referenced in the publication of OCS EIA /EA MMS 2002-052 indicate there is little risk of contact or impact to the coastline and associated environmental resources.


• Coastal Wildlife Refuges

As a result of the proposed activities, coastal wildlife refuges may be adversely impacted by an accidental oil spill. However, due to the distance from shore (approximately 73 miles) and the response capabilities that would be implemented, no significant adverse impacts are expected. Both historical spill data and the combined trajectory/risk calculations referenced in the publication of OCS EIA /EA MMS 2002-052 indicate there is little risk of contact or impact to the coastline and associated environmental resources.


• Wilderness Areas

As a result of the proposed activities, wilderness areas may be adversely impacted by an accidental oil spill. However, due to the distance to the nearest area (approximately 73 miles) and the response capabilities that would be implemented, no significant adverse impacts are expected. Both historical spill data and the combined trajectory/risk calculations referenced in the publication of OCS EIA /EA MMS 2002-052 indicate there is little risk of contact or impact to the coastline and associated environmental resources.


Other Resources Identified

Marathon has not identified any other environmental resources other than those addressed above.



C. Impacts on Proposed Activities Marathon does not anticipate any impacts on the offshore site specific locations, offshore vicinity, and/or coastal and onshore environmental conditions.

D. Environmental Hazards Mississippi Canyon Block 993 is not located within a geographic area impacted by strong environmental phenomena, other than potential hurricanes in the Gulf of Mexico. Additionally, this block has the potential to be affected by the "Loop Current" which is a warm ocean current in the Gulf of Mexico that flows northward between Cuba and the Yucatan peninsula, moves northward into the Gulf of Mexico, then loops east and south before existing to the east through the Florida Straits. While the loop current is present approximately 95% of the time, it is most active in the summer and fall seasons. The subsea facilities have been designed to meet the current regulations and API RP 95J design criteria for these hurricane events. To mitigate potential impacts to the well during impending hurricanes or loop currents, Marathon will take precautionary measures to shutting in the well prior to full evacuation.

E. Alternatives

According to NTL 2008-G04 this section does not apply to exploratory activities.

F. Mitigation Measures Marathon will not implement any mitigation measures to avoid, diminish, or eliminate potential environmental resources, other than those required by regulation and policy.

G. Consultation Marathon has not contacted any agencies or persons for consultation regarding potential impacts associated with the proposed activities. Therefore, a list of such entities is not being provided.

H. Preparers Questions or requests for additional information should be made to Marathon’s authorized representative/preparer of this Plan: Kimberly Hicks R.E.M. Solutions, Inc. 16290 Katy Freeway, Suite 150 Houston, Texas 77094



281.492.3241 (Phone) 281.492.6117 (Fax) [email protected]

I. References The following documents were utilized in preparing the Environmental Impact Assessment:

Document Author Dated

Shallow Hazards Survey

Geoscience Earth & Marine Services

2009

MMS Environmental Impact Statement Report No. 2007-003

Minerals Management Service

2007

Title 30 CFR Part 250 Subpart B (250.216/250.221/250.223/250.227)


2006

NTL 2006-N06 “Flaring and Venting Regulations”


2006

NTL 2004-G05 “Biologically Sensitive Areas of the Gulf of Mexico”


2004

NTL 2007-G04 “Vessel Strike Avoidance and Injured/Dead Protective Species”


2007

NTL 2007-G03 “Marine Trash & Debris Awareness & Elimination”


2007

NTL 2008-G05 “Shallow Hazards Program”


2008

NTL 2005-G07 “Archaeological Resource Surveys and Reports”


2005

NTL 2008-G20 “Revisions to the List of OCS Lease Blocks Requiring Archaeological Resource Surveys and Reports”


2008 NTL 2000-G20 “Chemosynthetic Communities


2000

NPDES General Permit GMG290000

EPA – Region VI

2007

Regional Oil Spill Response Plan


2009

Administrative Information (30 CFR Part 250.228 and 250.262)


A. Exempted Information Description (Public Information Copies Only)

Excluded from the Public Information copies are the following:

• Proposed bottomhole location information • Proposed total well depths (measured and true vertical depth) • New and Unusual Technology • Geological and Geophysical Attachments

B. Bibliography The following documents were utilized in preparing the Plan:

Document Author Dated

Shallow Hazards Survey

Geoscience Earth & Marine Services

2009

MMS Environmental Impact Statement Report No. 2007-003


2007

Regional Oil Spill Response Plan


2009