BEFORE THE OIL AND GAS CONSERVATION COMMISSION

                                                             OF THE STATE OF COLORADO

 

IN THE MATTER OF THE PROMULGATION AND                      )                    CAUSE NO. 84

ESTABLISHMENT OF FIELD RULES TO GOVERN                   )

OPERATIONS IN THE FORT COLLINS FIELD,                           )                    ORDER NO. 84-5

LARIMER COUNTY, COLORADO                                                  )

 

                                                             REPORT OF THE COMMISSION

 

                        This cause came on for hearing before the Commission on April 15, 1996 at 8:30 a.m., in Suite 801, The Chancery Building, 1120 Lincoln Street, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Whiting Petroleum Corporation for an order to expand the unit agreement and operating agreement for the Fort Collins Muddy Formation Unit to include additional lands in the Fort Collins Field.

 

                                                                                 FINDINGS

 

                        The Commission finds as follows:

 

                        1.  Whiting Petroleum Corporation, 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 in said Notice, and of the parties interested therein, and jurisdiction to promulgate the hereinafter prescribed order.

 

                        4.  On February 17, 1978, the Commission issued Order No. 84-2 which approved a Unit Agreement for the Fort Collins Muddy Formation Unit area consisting of the following described lands in Larimer County, Colorado:

 

                                                   Township 8 North, Range 68 West, 6th P.M.

                                                                           Section 7:  SE¼

                                                            Section 8:  SW¼NW¼, W½SW¼

                                                                       Section 17:  W½W½

                                                                 Section 18:  E½, SE¼SW¼

                                                            Section 19:  Lot 1, 2, E½, E½W½

                                                                      Section 20:  W½NW¼

                                                            Section 30:  Lot 1, 2, E½, E½W½

                                                           Section 31:  Lot 1, E½NW¼, NE¼

 

                                                       containing 2,361.31 acres, more or less

 

                        5.  Based upon the testimony presented at the administrative hearing showing that adjacent lands may contain hydrocarbons, the Unit boundary should be expanded to include these additional lands:

 

                                                   Township 8 North, Range 68 West, 6th P.M.

                                                                       Section 8:  E½ SW¼

                                    Section 17:  E½ NW¼ and all that part of the W½ NE¼ lying

                                         west of the outlet ditch of N. Poudre Irrigation Company

                                              Reservoir #6, described in W.D. at B 1058, p. 543

                                                                                NE¼ SW¼

 

                        6.  Testimony presented at the administrative hearing stated that one hundred percent (100%) of the working interest owners have approved the expansion of the unit, and that the surface owners have been notified of the proposed expansion with an updated chain of title to be prepared to ensure proper payout upon expansion and proper notification for approval of the unit expansion.

 

                        7.  That the effective date of the unit should be the first day of the first month after approval by at least 80% of the non cost-bearing interest owners, and upon notification of such to the Commission by Whiting Petroleum Corporation.

 


                        8.  Based upon the facts stated in the application, receiving no objections to the application, and having been heard by the Hearing Officers who recommended approval, the Commission should enter an order to expand the unit agreement and operating agreement for the Fort Collins Muddy Formation Unit to include the above-described lands.

 

                                                                                 O R D E R

 

                        NOW THEREFORE IT IS ORDERED, that the Fort Collins Muddy Formation Unit hereby includes the below-listed lands:

 

                                                   Township 8 North, Range 68 West, 6th P.M.

                                                                           Section 7:  SE¼

                                                   Section 8:  SW¼NW¼, W½SW¼, E½ SW¼

                                                            Section 17:  W½W½, NE¼ SW¼

                                                E½ NW¼ and all that part of the W½ NE¼ lying

                                         west of the outlet ditch of N. Poudre Irrigation Company

                                              Reservoir #6, described in W.D. at B 1058, p. 543

                                                                 Section 18:  E½, SE¼SW¼

                                                            Section 19:  Lot 1, 2, E½, E½W½

                                                                      Section 20:  W½NW¼

                                                            Section 30:  Lot 1, 2, E½, E½W½

                                                           Section 31:  Lot 1, E½NW¼, NE¼

 

                                                    containing 2,581 gross acres, more or less

 

                        IT IS FURTHER ORDERED, that the unit shall become effective on the first day of the first month after approval by at least eighty-percent (80%) of the non cost-bearing interest owners, upon notification of such to the Commission.

 

                        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 rights, after notice and hearing, to alter, amend, or repeal any and/or all of the above orders.

 

                        ENTERED this                    day of                               , 1996, as of April 15, 1996.

 

                                                                        OIL AND GAS CONSERVATION COMMISSION

                                                                           OF THE STATE OF COLORADO

 

 

 

                                                                        By                                                              

                                                                                  Patricia C. Beaver, Secretary

 

Dated at Suite 801

1120 Lincoln Street

Denver, Colorado

April 25, 1996