BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

IN THE MATTER OF THE PROMULGATION )

AND ESTABLISHMENT OF FIELD RULES ) CAUSE NO. 112

TO GOVERN OPERATIONS IN THE ) DOCKET NO. 0210-UP-07

IGNACIO-BLANCO FIELD, LA PLATA )

COUNTY, COLORADO )

VERIFIED APPLICATION

COMES NOW, the Applicant, Chevron U.S.A. Inc., a Pennsylvania corporation, by and through its attorneys, Gorsuch Kirgis LLP, and respectfully petitions the Oil and Gas Conservation Commission of the State of Colorado as follows:

I.

Applicant is the operator and/or working interest owner of one or more oil and gas leases covering all or a portion of the following described lands within the Ignacio Blanco Field, LaPlata County, Colorado:

Township 34 North, Range 9 West, N.M.P.M.

Section 8U: N/2

Section 5U: Lots 1, 2, 3, & 4

(hereinafter "Application Lands")

II.

Under its order in Order No. 112-60, the Commission designated the Application Lands as a 425.80 acre drilling and spacing unit for the production of gas from the Fruitland coal seams. Under its Order No. 112-57, the Commission allowed an optional second well to be drilled upon the Application Lands for the production of gas from the Fruitland coal seams.

III.

Applicant has plans to drill the Koshak BA-A well as an optional second well on the Application Lands for the production of gas from the Fruitland coal seams. In preparation for the drilling of such well, Applicant made reasonable efforts to allow each owner within the Application Lands the opportunity to lease or participate in the drilling of this well. Notwithstanding such efforts, one unleased owner, James R. Sinton, elected not to so lease or participate in the drilling of the well.

IV.

Applicant requests that such nonconsenting owner be force pooled under the applicable provisions of C.R.S. § 34-60-116 and the rules of the Commission. Without prejudice to the generality of the foregoing, Applicant requests that such unleased owner be deemed leased under the applicable provisions of C.R.S. § 34‑60‑116(7)(c) and that consenting owners be entitled to recover costs from the consenting owner's share of production to the maximum degree provided for under C.R.S. §34-60-116(7)(b)(l)and(ll).

V.

Applicant states to the best of its information and belief that the "interested party" and the owner as defined in the Oil and Gas Conservation Act of the State of Colorado and the Rules and Regulations of this Commission is listed on Exhibit A attached hereto by name and address.

WHEREFORE, Applicant respectfully requests that this matter be set for hearing by the Commission; that notice thereof be given as required by law; and that upon such hearing this Commission issue its Order force pooling James R. Sinton in respect of the drilling of such well. Applicant further requests that the Commission in its Order grant such other provisions as the Commission may find to be necessary or desirable in the cause.

DATED this 9th day of September, 2002.

Respectfully submitted,

GORSUCH KIRGIS LLP

By: William A. Keefe

Tower I, Suite 1000

1515 Arapahoe Street

Denver, Colorado 802020

303/376-5000

Applicant's Address

ChevronTexaco

Mid-Continent Business Unit

Attn: Matthew D. Hutchison

11111 So. Wilcrest, Rm.S-1219A

Houston, TX 77009

VERIFICATION

STATE OF TEXAS )

) ss.

COUNTY OF HARRIS )

Matthew D. Hutchison, as Landman of Chevron U.S.A. Inc., upon oath, deposes and says that he has read the foregoing Verified Application before the Oil and Gas Conservation Commission of the State of Colorado, and states that the matters contained therein are true to the best of his knowledge and belief.

Subscribed to and sworn to before me this _____ day of September, 2002, by Matthew D. Hutchison, as Landman of Chevron U.S.A, Inc.

My commission expires:

Notary Public