BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS IN THE ROGGEN-SOUTHWEST FIELD, WELD COUNTY, COLORADO	) ) ) )	CAUSE NO. 111 ORDER NO. 111-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on June 26, 1962, at 10 a.m., in Room 320E, State Capitol, Denver, Colorado, after publication of Notice of Hearing as required, by law, on the Commission's own motion to consider measures to prevent the waste of oil and gas in the "D" sand underlying certain lands in Weld County, Colorado.  All interested parties were requested to appear at the hearing, and to show cause why the Commission should not issue an order restricting the production of oil and gas, either or both, so as to insure the prevention of waste and protection of correlative rights, and the operation of the Roggen-Southwest Field in the most efficient manner.

FINDINGS

The Commission finds as follows:

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

2.      That 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.

3.      That there are now ten wells producing from the "D" sand reservoir un-derlying the following described lands in Weld County, Colorado, to-wit:

Township 2 North, Range 63 West, 6th P.M.
Section 23:  SE¼	Section 26:  E½
Section 24:  SW¼	Section 35:  E½
Section 25:  W½	Section 36:  W½

and that the limits of the "D" sand reservoir underlying such lands have not as yet been fully defined; and that the owners of interest are currently engaged in the further development of said reservoir.

4,      That the production of gas from wells producing from the "D" sand reservoir underlying the area described herein is resulting in physical waste of gas in an excessive amount; and that at this time, all things considered, any production of gas in excess of 75,000 cubic feet per well, per day constitutes physical waste of gas, as defined in the Colorado Oil and Gas Conservation Act.

5.      That in order to prevent waste and to protect correlative rights, and to prevent the escaping, blowing, and releasing of gas in an excessive or unreasonable amount from wells capable of producing both oil and gas, the maximum daily average production of gas from any one well producing from said "D" sand reservoir should be limited to a volume of 75,000 cubic feet.

6.      That, monthly gas-oil ratio tests should be conducted, and that a bottom-hole pressure survey should be made in the very near future.

7.      That the Commission should be informed periodically as to the progress being made by the operators toward securing a beneficial use of gas produced.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the following rules and regulations shall apply hereafter to a well drilled, completed or recompleted in the "D" sand reservoir underlying the following described lands in Weld County, Colorado, in addition to other applicable rules and regulations and orders of the Commission, if any, heretofore adopted and not in conflict herewith:

Township 2 North, Range 63 West, 6th P.M.
Section 23:  SE¼	Section 26:  E½
Section 24:  SW¼	Section 35:  E½
Section 25:  W½	Section 36:  W½

Rule 1.	LIMITATION OF GAS PRODUCTION.
a.	No well shall produce in excess of a daily average of 75,000 cubic feet of gas, and such gas restriction shall be enforced by utilizing the following formula:
		Barrels of oil production
		per well per day             =	75,000 cu. ft. of gas
			Gas-oil ratio of res-
			pective well, as deter-
			mined by Rule 2 hereof
b.	In order that operators may produce any one lease in the most efficient manner possible, the gas allowable for any one well or combination of wells on any given lease may be transferred and produced by any other well or combination of wells on the same lease.
c.	Under and over production shall be adjusted on a monthly basis.  Underproduction during any one (1) month may be made up only during the month immediately following, and any overproduction obtained during any one (1) month shall be made up during the month immediately following the month of overproduction.
Rule 2.	GAS-OIL RATIO TESTS.
a.	A gas-oil ratio test shall be taken during the month of July 1962 of each producible well, the results of which test shall be submitted to the Commission on or before August 1, 1962, and such tests shall be utilized to enforce the limitation of gas production, as set forth in Rule 1 hereof, for the months of August and September 1962.
b.	Beginning with the month of September 1962, and each consecutive month thereafter, a gas-oil ratio test shall be taken of each producible well during the first fifteen (15) days of each such month; and such tests shall be utilized to enforce the limitation of gas production for the next consecutive month, as set forth in Rule 1 hereof.
c.	The results of all such gas-oil ratio tests, except those required by Rule 2a hereof, shall be submitted to the office of the Commission on OGCC Form 9, on or before the 25th day of the testing month; and the volume of gas measured shall be reported in units of cubic feet at a base pressure of 15.025 psia, and a base temperature of 60° Fahrenheit.
d.	Each well shall be produced at be normal stabilized rate for a period of forty-eight (48) consecutive hours, and the gas-oil ratio shall be computed on the basis of the measurement of oil and gas produced during the last twenty-four (24) hours of such 48-hour period.
e.	A schedule shall be submitted to the Commission and to offset operators prior to such testing, showing the well names with respective dates of tests.
f.	The requirements of this rule may be revised upon approval of the Director of the Commission.
Rule 3.	BOTTOM-HOLE PRESSURE SURVEY.
a.	A determination of datum reservoir pressure of all producible wells shall be made during the first fifteen (15) days of August 1962, the exact day to be determined by the operators.  After the operators have conferred with each other and have decided on a testing date, such date shall be reported to the office of the Commission at least forty-eight (48) hours prior to the time of shutting in.
b.	All such wells shall remain shut in until the completion of the survey.  Datum reservoir pressure shall be determined after the entire field has been shut in for a period of at least twenty-four (24) hours, and such pressure shall be mea-sured with a bomb at a datum of 2230 feet below sea level.  The results of such survey shall be reported to the Commission on or before August 25, 1962.
Rule 4.	A FURTHER REPORT.

The operators and each of them are hereby directed to submit to the Commission on or before 9:30 a.m., July 27, 1962, a report which shall show what progress has been made for the disposal of gas that may be produced from all of the wells, and what progress has been made or can be made to establish a beneficial use of the gas produced.

This meeting of the Commission shall be and it is hereby adjourned until July 27, 1962, at 10 a.m., in Room 312, State Services Building, 1525 Sherman Street, Denver, Colorado, when further consideration will be given to all the matters now before the Commission in this cause.  It is recited that this order is temporary only, and the purpose is to conserve the reservoir gas of the field until the Commission may have before it such facts as will enable it to make a permanent order.

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, rules and regulations.

ORDERED this 19th day of' July 1962.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By  D.V. Rogers, Secretary