IN THE MATTER OF A BOND CLAIM FOR THE

PITTENGER NO. 1 WELL, GARFIELD COUNTY, COLORADO

CAUSE NO. 1

ORDER NO. 1-102

ADMINISTRATIVE ORDER BY CONSENT

FINDINGS

                    1. In December of 1960, the Pittenger No. 1 Well located in the SE1/4 SE1/4 of Section 13, Township 6 South, Range 94 West, 6th P.M. was drilled by Carter & Carter. The well was drilled to a total depth of 5250 feet with surface casing set at 837 feet. No production casing was installed in the well.

                    2. On August 15, 1968, the well was taken over by the landowner, Nicholas P. Pittenger. Mr. Pittenger provided a Two Thousand Five Hundred dollars ($2,500) plugging bond to the Colorado Oil and Gas Conservation Commission ("COGCC").

                    3. On February 7, 1981, Mr. Pittenger sent a letter to the COGCC indicating that Northwest Exploration Company had leased the minerals where the well was located and was going to rework the well in the next five (5) years.

                    4. On May 24, 1986, Mr. Pittenger passed away.

                    5. On May 14, 2001, Mrs. Ruth Pittenger, the widow of Mr. Nicholas Pittenger, sent a letter to COGCC staff indicating that Union Carbide had purchased the surface where the Pittenger No. 1 Well was located, but that the Pittengers had retained the mineral rights. Mrs. Pittenger also requested that the plugging bond be released.

                    6. On June 8, 2001, COGCC staff requested that the plugging bond be increased to Five Thousand dollars ($5,000) in accordance with Rule 706.

                    7. On July 12, 2001, Mrs. Pittenger sent a letter to COGCC staff stating that she did not have the funds to plug and abandon the well and that the insurance company would not increase the bond amount. She asked COGCC staff to claim the plugging bond and properly plug and abandon the well.

                    8. COGCC staff estimates the plugging cost for the Pittenger No. 1 Well to be Twenty Thousand dollars ($20,000).

                    9. The Commission should authorize the COGCC staff to claim Pittenger's Two Thousand Five Hundred dollars ($2,500) plugging bond and plug and abandon the Pittenger No. 1 Well. The Environmental Response Fund should be used to supplement the funds to plug and abandon the well.

ORDER

                    NOW, THEREFORE IT IS ORDERED, that the COGCC staff shall be authorized to make a claim on Pittenger's Two Thousand Five Hundred dollars ($2,500) plugging bond and plug and abandon the Pittenger No. 1 Well. The Environmental Response Fund shall be used to supplement the funds to plug and abandon the well.

                    IT IS FURTHER ORDERED, that the provisions contained in the above order shall become effective forthwith.

                    IT IS FURTHER ORDERED, that the Commission expressly reserves its right after notice and hearing, to alter, amend, or repeal any and/or all of the above orders.

                    RECOMMENDED this day of March, 2003.

                    OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

                    By Morris Bell, Hearing Officer

 

                    Dated at Suite 801

                    1120 Lincoln St.

                    Denver, Colorado 80203

                    March 10, 2003

                    AGREED TO AND ACCEPTED this day of March, 2003.

                    Mrs. Ruth Pittenger

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