REPORT OF THE COMMISSION

TO ALL INTERESTED PERSONS AND TO WHOM IT MAY CONCERN:

This cause came on for hearing before the Commission on October 20, 1986 at 9:00 A.M. in Room 110, State Centennial Building, 1313 Sherman Street, Denver, Colorado, after giving Notice of Hearing as required by law on the verified application of Amoco Production Company for an Order to amend Order No. 250-12 and allow an additional well to be drilled on certain 40 acre tracts for production from the Sussex and Shannon formations underlying such tracts.

FINDINGS

The Commission finds as follows:

1. Amoco Production Company as applicant is an interested party in the subject matter of the above-referenced hearing.

2. Due notice of the time, place and purpose of the hearing has been given in all respects as required by law.

3. The Commission has jurisdiction over the subject matter embraced in said Notice, and of the parties interested therein, and jurisdiction to promulgate the hereinafter prescribed order.

4. On May 18, 1976, The Commission authorized Order No. 250-12, 262-4 and 266-4 to be issued, which combined the Spindle, Surrey and Singletree Fields into one field, Spindle Field, Cause No. 250, and allowed an additional well to be drilled on each 80 acre drilling and spacing unit The order was amended by Order No. 250-13 by which undeveloped 80 acre units in which interests have not been previously consolidated by pooling agreements, communization or otherwise, may be developed as 40 acre units.

5. Based on the facts stated in the verified application and receiving no objections and having received testimony and exhibits by representatives of Amoco Production Company at a hearing before the Director as Hearing Officer on October 17, 1986, the Director recommended to the Commission to enter an order amending Order No. 250-12 and allow an additional well to be drilled on certain 40 acre tracts for production from the Sussex and Shannon formations. The additional well locations are described as follows: 1) Well No. 5 Eugene Doversberger 1278' FNL and 1357' FEL Section 14, Township 1 North Range 67 West, 6th P.M. 2) Well No. 5 David Howard 'B' 1355' FSL and 1354' FEL Section 28, Township 1 North Range 67 West, 6th P.M. 3) Well No. 9 Maria Berhardt 'B' 1355' FNL and 1278' FEL Section 23, Township 2 North Range 67 West, 6th P.M. 4) Well No. 5 Longmont Farms 1104' FSL and 1290' FWL Section 27, Town ship 2 North Range 68 West, 6th P.M.

6. Approval for the drilling and production of the four wells described herein should expire at such time that sufficient reservoir performance data is obtained not to exceed 3 years from the date of approval of the permit to drill. The Director may approve additional time if necessary and a report should be submitted to the Director upon completion of the program.

ORDER

NOW, THEREFORE, IT IS ORDERED that Order No. 250-12 is hereby amended and an additional well is hereby allowed to be drilled on certain 40 acre tracts for the production from the Sussex and Shannon formations underlying such tracts. The additional well locations are described as follows:

1) Well No. 5 Eugene Doversberger 1278' FNL and 1357' FEL Section 14, Township 1 North Range 67 West, 6th P.M.

2) Well No. 5 David Howard 'B' 1355' FSL and 1354' FEL Section 28, Township 1 North Range 67 West, 6th P.M.

3) Well No. 9 Maria Berhardt 'B' 1355' FNL and 1278' FEL Section 23, Township 2 North Range 67 West, 6th P.M.

4) Well No. 5 Longmont Farms 1104' FSL and 1290' FWL Section 27, Township 2 North Range 68 West, 6th P.M.

IT IS FURTHER ORDERED that approval for the drilling and production of the four wells described herein shall expire at such time that sufficient reservoir performance data is obtained not to exceed 3 years from the date of approval of the permit to drill. The Director may approve additional time if necessary and a report shall be submitted to the Director upon completion of the program.

IT IS FURTHER ORDERED that the above order shall become effective forthwith. Entered this 17th day 1986, as of October 20, 1986.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO By Frank J. Piro, Secretary

(250-32)

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