BEFORE
THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
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IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF A BRADENHEAD MONITORING AREA IN THE DENVER JULESBURG BASIN FOR ADAMS, ARAPAHOE, BOULDER, BROOMFIELD, DENVER, JEFFERSON, LARIMER, AND WELD COUNTIES, COLORADO |
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CAUSE NO. 1
DOCKET NO. 181201058
TYPE: GENERAL ADMINISTRATIVE
ORDER NO. 1-232
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REPORT OF THE COMMISSION
The Commission heard this matter on December 17, 2018, at the Colorado Oil and Gas Conservation Commission, 1120 Lincoln Street, Suite 801, Denver, Colorado, upon application for an order to establish a bradenhead monitoring area for wells drilled in the Denver Julesburg Basin (“DJ Basin”) in the following counties: Adams, Arapahoe, Boulder, Broomfield, Denver, Jefferson, Larimer and Weld.
FINDINGS
The Commission finds as follows:
1. Due notice of the time, place and purpose of the hearing has been given in all respects as required by law.
2. 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 pursuant to the Oil and Gas Conservation Act.
3. Rule 207.b. of the Rules and Regulations of the Colorado Oil and Gas Conservation Commission (“COGCC”) gives the Director the authority to designate specific fields or portions of fields as bradenhead test areas within which, on any well, the bradenhead access to the annulus between the production and surface casing, as well as any intermediate casing, shall be equipped with fittings to allow safe and convenient determinations of pressure and fluid flow. Any such proposed designation shall occur by notice describing the proposed bradenhead test area.
4. On or about November 9, 2018, Notice of Hearing was sent to all oil and gas operators with wells located in Adams, Arapahoe, Boulder, Broomfield, Denver, Jefferson, Larimer and Weld counties, proposing the establishment of a bradenhead monitoring area.
5. No protests to the proposed bradenhead testing and reporting requirements were filed with the Commission and the proposal was placed on the Commission’s consent agenda for adoption at its December 17, 2018 hearing.
ORDER
IT IS HEREBY ORDERED:
1. Effective January 1, 2019, operators are to begin bradenhead monitoring on all wells in Adams, Arapahoe, Boulder, Broomfield, Denver, Jefferson, Larimer and Weld counties of the DJ Basin.
2. BRADENHEAD ACCESS: Upon completion of any well, and on wells presently completed, the operator will equip the bradenhead access to the annulus between the production and surface casing, as well as any intermediate casing annulus. The bradenhead valve is to be accessible from above the ground level with approved fittings to allow safe and convenient determination of pressure and fluid flow. This rule will apply to all wells in the field defined by the stated counties of this Order.
3. EXISTING WELLS: Operators are to perform an annual bradenhead test on existing wells. The results of the annual bradenhead test will be provided to the COGCC staff through the Form 17 Bradenhead Test Report, or on the Form 17 spreadsheet upload no later than December 31 of each calendar year.
4. NEWLY DRILLED WELLS: For newly drilled wells, operators are to perform a bradenhead test and report according to the following schedule with a Form 17 submitted within ten (10) days of each test:
a. An initial test, within sixty (60) days of rig release, and prior to stimulation. For those wells with 200 psig or greater during pre-stimulation test, contact area engineer with mitigation plan prior to beginning hydraulic stimulation.
b. If delayed completion, a second test within six (6) months of rig release and prior to stimulation must be completed. For those wells with 200 psig or greater during pre-stimulation test, contact area engineer with mitigation plan prior to beginning hydraulic stimulation.
c. A post production test within sixty (60) days after first production as reported on Form 5A, Completed Interval Report.
5. The test will be performed by verifying the tubing and casing pressures and flow characteristics of the annular space of the well. A pressure gauge with an appropriate range will be used to measure the bradenhead (surface and intermediate casing) pressure(s).
6. For all tests with bradenhead pressures less than fifty (50) psig and no liquid present, those results will be reported on the Form 17 spreadsheet upload. The spreadsheet upload will be submitted for any and all tests performed by the fifteenth (15) of the following month.
7. If a bradenhead pressure greater than fifty (50) psig, well has surface casing set above the known bedrock aquifer, or a continuous flow or surging of gas or liquid at any pressure is observed, a Bradenhead Test Report, Form 17 will be submitted electronically to the COGCC within ten (10) days of the test. . A Sundry Notice, Form 4 containing the bradenhead monitoring results and proposed mitigation or remediation procedure will be submitted electronically to the COGCC within sixty (60) days of the test.
8. Remedial requirements and additional subsequent monitoring will be determined through coordination with COGCC staff based on the results of the annual tests.
IT IS FURTHER ORDERED:
1. The provisions contained in the above order shall become effective immediately.
2. The Commission expressly reserves its right, after notice and hearing, to alter, amend or repeal any and/or all of the above orders.
3. Under the State Administrative Procedure Act, the Commission considers this Order to be final agency action for purposes of judicial review within 35 days after the date this Order is mailed by the Commission.
4. An application for reconsideration by the Commission of this Order is not required prior to the filing for judicial review.
ENTERED this 16th day of January, 2019, as of December 17, 2018.
OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
By___________________________________
Mimi Larsen, Secretary