BEFORE THE OIL AND GAS CONSERVATION COMMISSION

                                                                OF THE STATE OF COLORADO

 

IN THE MATTER OF ALLEGED VIOLATIONS OF THE RULES              )                    CAUSE NO. 1V

AND REGULATIONS OF THE COLORADO OIL AND GAS                     )

CONSERVATION COMMISSION BY ENCANA OIL & GAS (USA) INC.,  )                    DOCKET NO. 0408-OV-29

GARFIELD COUNTY, COLORADO                                                         )

                                                                                                                                                                                    

                                                NOTICE OF ADMINISTRATIVE ORDER BY CONSENT

 

TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN:

 

            On February 13, 2003, a Colorado Oil and Gas Conservation Commission (“COGCC”) Application for Permit-to-Drill (“APD”), Form 2, was approved for EnCana Oil & Gas (USA) Inc. (“EnCana”) to drill the Shaeffer No. 12-6B (F12) Well (“Well”) located in the SE¼ NW¼ of Section 12, Township 7 South, Range 93 West, 6th P.M.  The APD for the Well specified the objective as the William Fork Formation. The APD was approved by the COGCC Director for the William Fork Formation only.  The Well was completed in the Rollins Formation on November 13, 2003.  EnCana verbally self-reported the Rollins Formation recompletion and on March 29, 2004, the COGCC received an Application for Permit to Recomplete, Form 2, to recomplete the Rollins Formation in the Well.

 

            On April 29, 2004, a Notice of Alleged Violation (“NOAV”) was issued to EnCana for violation of Rule 303.b., recompletion to the Rollins Formation without a permit.  The NOAV required EnCana to submit a letter detailing the reason for not complying with Rule 303.b.  The abatement date for the NOAV was June 1, 2004.  On June 1, 2004, COGCC staff received a letter from EnCana explaining its actions.  The letter stated that EnCana “did not intentionally violate the rule”.

 

On June 21, 2004, COGCC staff issued an Administrative Order by Consent (“AOC”) to EnCana Oil & Gas (USA) Inc. for the violation of COGCC Rule 303.b., failure to obtain an approved Application for Permit to Recomplete to the Rollins Formation for the Shaeffer No. 12-6B (F12) Well located in the SE¼ NW¼ of Section 12, Township 7 South, Range 93 West, 6th P.M.  On June 22, 2004, EnCana Oil & Gas (USA) Inc. agreed to and accepted the AOC, including a fine of Five Thousand Dollars ($5,000).

 

NOTICE IS HEREBY GIVEN, that the Oil and Gas Conservation Commission of the State of Colorado, pursuant to the above, has scheduled the above-entitled matter for hearing on:

     

Date:                            Monday, August 16, 2004

 

Time:                           10:00 a.m.

 

Place:                          Ramada Inn, Aspen and Birch Rooms

                                                      124 W. 6th Street

                                                      Glenwood Springs, CO 81601

            In accordance with the Americans with Disabilities Act, if any party requires special accommodations for this hearing as a result of a disability, please contact Audra Serlet at (303) 894-2100, extension 114, prior to the hearing and arrangements will be made.

 

Pursuant to said hearing in the above-entitled matter at the time and place aforesaid, or at any adjourned meeting, the Commission will enter such orders as it deems appropriate and necessary to protect public health, safety and welfare and to prevent the waste of oil and gas, either or both, in the operations of said field, and carry out the purposes of the statute.

 

In accordance with Rule 509., any interested party desiring to protest or to intervene should file with the Commission a written protest or a notice to intervene no later than August 2, 2004 briefly stating the basis of the protest or intervention.  Such interested party shall, at the same time, serve a copy of the protest or notice to intervene to the person filing the application.  An original and nine (9) copies shall be filed with the Commission. Anyone who files a protest or intervention must be available to participate in a prehearing conference during the week of August 2, 2004. 

 

      IN THE NAME OF THE STATE OF COLORADO

 

                                                                  OIL AND GAS CONSERVATION COMMISSION

                               OF THE STATE OF COLORADO

 

 

 

                                     By_________________________________

Dated at Suite 801                                                              Patricia C. Beaver, Secretary

1120 Lincoln Street

Denver, Colorado, 80203

July 13, 2004