REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on June 19, 1978 at 9 A.M., in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Continental Oil Company for an order approving a pilot secondary recovery program by the injection of water into a portion of the Pierre "B" reservoir underlying the E/2SW/4 Section 16, Township 9 North, Range 78 West, 6th P.M.

FINDINGS

The Commission finds as follows:

1. Continental Oil Company, as applicant herein, 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. Evidence presented at the hearing indicates that the proposed pilot program for secondary recovery by injection of water into a portion of the Pierre "B" Sand by the use of Well No. 16-1, E/2SW/4 Section 16, Township 9 North, Range 78 West, 6th P.M., is necessary in order to determine the feasibility of such a program on a larger scale in the South McCallum Field, and that the project will not adversely affect the correlative rights of any owner in the area.

5. The only other lease owner of record in the area affected by the project is the Federal government.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the pilot program as presented for secondary recovery by the injection of water into the Pierre "B" formation by the use of Well No. 16-1 Conoco State, located in the E/2SW/4 Section 16, Township 9 North, Range 78 West, 6th P.M., South McCallurn Field, Jackson County, Colorado, is hereby approved.

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

ORDERED this 19th day or June, 1978.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary