BEFORE THE OIL AND GAS CONSERVATION
COMMISSION
OF THE STATE OF
IN THE MATTER OF THE PROMULGATION AND ) CAUSE NO. 112
ESTABLISHMENT OF FIELD RULES TO
GOVERN )
OPERATIONS IN THE IGNACIO-BLANCO
FIELD, ) DOCKET NO. 0407-GA-04
TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN:
On July 11, 1988, the
Commission issued Order No. 112-60, which established 320-acre drilling and
spacing units for the production of gas and associated hydrocarbons from the Fruitland
coal seams underlying certain lands, including certain sections in Townships 33 and 34 North, Ranges 8 and 9 West, N.M.P.M.,
with the permitted well to be located in the center of the NW¼ and the SE¼ of
the section and no closer than 900 feet from the boundaries of the quarter
section upon which it is located, nor closer than 130 feet to any interior
quarter section line.
On February 21, 1989, June 16, 1989, and
August 21, 1989, the Commission issued Order Nos. 112-63 through 112-67 and 112-69
through 112-72 to set production caps for the Fruitland coal seams for nine
wells and provided that the production cap is subject to review and
redetermination in the event that the spacing unit size of 320-acres
established by Order No. 112-60 was amended or changed for the Simon Land and
Cattle Company 27-1 Well, the Bellino Gas Unit No.1 Well, the Simon Land &
Cattle Company 22-1 No.1 Well, the Barnes Gas Unit/B/Pla-6 No.1 Well, the
Turner Securities Gas Unit/A/No. 1 Well, the Clovis Gas Unit/B/No.1 Well, the
Clovis Gas Unit/A/No. 1 Well, the Mason, Arthur, Gas Unit/B/No. 1 Well and the
Weaselskin Gas Unit No. 1 Well. None of
these wells have yet reached the production cap established in said Orders.
On May 15, 2000, the Commission issued Order
No. 112-157, which allowed an optional additional well to be drilled for
production of gas from the Fruitland Coal seams for certain lands, including
certain sections in Townships 33 and 34 North, Ranges 8 and 9 West, N.M.P.M.,
with the permitted well when north of the north line of Township 32 North to be
located in the NW¼ and the SE¼ of each section and when south of the north line
of Township 32 North to be located in the NE¼ and SW¼ of each section, no
closer than 990 feet from the boundaries of the quarter section, nor closer
than 130 feet to any interior quarter section line.
On May 24, 2004, BP America Production
Company (“BP”), by its attorney, filed with
the Commission a verified application for an order to eliminate the
production caps for the Simon Land and Cattle Company 27-1 Well, the Bellino
Gas Unit No.1 Well, the Simon Land & Cattle Company 22-1 No.1 Well, the
Barnes Gas Unit/B/Pla-6 No.1 Well, the Turner Securities Gas Unit/A/No. 1 Well,
the Clovis Gas Unit/B/No.1 Well, the Clovis Gas Unit/A/No. 1 Well, the Mason,
Arthur, Gas Unit/B/No. 1 Well and the Weaselskin Gas Unit No. 1 Well so that
each well may produce in accordance with its capability. Eliminating the production caps will allow
economic and efficient drainage of the remaining Fruitland coal seam reserves
and will not adversely impact the correlative rights of any parties. The drilling of unnecessary wells will be
prevented and waste will be avoided in accordance with the
NOTICE
IS HEREBY GIVEN, that the Oil and Gas Conservation Commission of the State of
Date:
Time:
Place:
In accordance with
the Americans with Disabilities Act, if any party requires special
accommodations as a result of a disability for this hearing, please contact
Audra Serlet at (303) 894-2100 ext. 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 to protect the health, safety and welfare of the public and to
prevent the waste of oil and gas, either or both, in the operations of said
field, and to carry out the purposes of the statute.
In accordance with Rule 509., any interested party desiring to protest
the granting of the application or to intervene on the application should file
with the Commission a written protest or intervention no later than
IN THE NAME OF THE STATE
OF
OIL
AND GAS CONSERVATION COMMISSION
OF
THE STATE OF
By
Patricia
C. Beaver, Secretary
Dated at
June 4,
(303)
629-3400