BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

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

RULES AND REGULATIONS OF THE COLORADO OIL                                                )

AND GAS CONSERVATION COMMISSION BY                                                           )                              DOCKET NO. 0501-OV-01

LIFESTYLE ENERGY CORP., ELBERT COUNTY, COLORADO                                     )

NOTICE OF HEARING

TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN:

        The Leischuck #1 Well, located in the NW¼ SE¼ of Section 22, Township 8 South, Range 61 West, 6th P.M., was drilled by Lifestyle Energy Corporation and completed as a dry hole in June 1980. Inspection of the well site by Colorado Oil and Gas Conservation Commission ("COGCC") staff on October 5, 2004 showed the well site to be improperly reclaimed. The reserve pits remain open and were breached to allow the bentonitic drilling mud to drain into an adjacent pasture which has been impacted. Service rig anchors and miscellaneous trash (thread protectors, 5 gallon metal buckets, etc.) have not been removed as required by Rule 1004.a.

        Lifestyle Energy Corporation filed for Chapter 11 bankruptcy on May 28, 1982. Correspondence received from the St. Paul Insurance Company on October 25, 1985 stated that "Lifestyle Energy Corporation was purchased by Shanley Oil Corporation." An Internet search for Shanley Oil Corporation in Texas provided no information and this company also appears to be out of business.

        Lifestyle Energy Corporation should be found in violation of Rule 1004.a., failure to reclaim the Leischuck #1 well site, and the COGCC staff should be authorized to make a claim on the Thirty Thousand dollar ($30,000) blanket plugging bond posted by Lifestyle Energy Corporation in order to reclaim the Leischuck #1 well site.

        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, January 10, 2005

Time: 9:00 a.m.

Place: Suite 801, The Chancery Building

                    1120 Lincoln Street

                    Denver, CO 80203

        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 Angie Gipson at (303) 894-2100 ext. 113, 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 December 27, 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 intervention to the person filing the application. An original and nine (9) copies shall be filed with the Commission (Rule 503.f.). Anyone who files a protest or intervention must be available to participate in a prehearing conference during the week of December 27, 2004. Pursuant to Rule 503.e., if a party who has received notice under Rule 503.b. wishes to receive further pleadings in the above-referenced matter, that party must file a protest or intervention in accordance with these rules. In accordance with the practices of the Commission, should no protests or interventions be filed in this matter by December 27, 2004, the Applicant may request that an administrative hearing be scheduled for the week of December 27, 2004.

                            IN THE NAME OF THE STATE OF COLORADO

                                                                            OIL AND GAS CONSERVATION COMMISSION

                                                                            OF THE STATE OF COLORADO

                                                                            By

                                                                            Patricia C. Beaver, Secretary

Dated at Suite 801

1120 Lincoln Street

Denver, Colorado 80203

December 7, 2004