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 IGNACIO‑BLANCO FIELD,  LA PLATA, COUNTY, COLORADO	) ) ) )	CAUSE NO.   112 ORDER NO.   112-131

REPORT OF THE COMMISSION

                        This cause came on for hearing before the Commission on March 17, 1997 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 MarkWest Resources for an order allowing the drilling of a well at an exception location in the NW¼ of Section 12, Township 32 North, Range 7 West, N.M.P.M., South of the Ute Line, to be completed for production from the Fruitland coal seams for the 320-acre drilling and spacing unit consisting of the N½ of said Section 12.

FINDINGS

                        The Commission finds as follows:

                        1.  MarkWest Resources, 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.  On June 15, 1988, the Commission issued Order No. 112-60 which established 320-acre drilling and spacing units for the production of gas and associated hydrocarbons from the Fruitland coal seams, underlying certain lands in the Ignacio-Blanco Field including the E½ of Section 12, Township 32 North, Range 7 West, South of the Ute Line, N.M.P.M., which has been established as a drilling and spacing unit.

                        5.  In Order No. 112-127, issued as of January 6, 1997, the Commission allowed the Tiffany No. 4-12 Well to be recompleted at an exception location in the SE¼ of Section 12 for production from the Fruitland Coal seams.  In order to maintain the well location pattern, MarkWest wishes to drill the T.H. No. 12-1 Well in the NW¼ of Section 12, 990 feet from the boundaries of the unit.

                        6.  Testimony presented at the administrative hearing showed that predicted production from the new well will be similar to other Fruitland Coal seam wells in the area.  The exception location is requested to maintain the well location pattern.

                        7.  Based on the facts stated in the application, having received no protests, and having been heard by the Hearing Officers who recommended approval, the Commission should enter an order allowing the T.H. No. 12-1 Well to be drilled at an exception location in the NW¼ of Section 12, Township 32 North, Range 7 West, N.M.P.M., South of the Ute Line, for production from the Fruitland coal seams for the 320-acre drilling and spacing unit consisting of the N½ of said Section 12.

O R D E R

                        NOW, THEREFORE IT IS ORDERED, that the T.H. No. 12-1 Well is hereby approved to be drilled at an exception location in the NW¼ of Section 12, Township 32 North, Range 7 West, N.M.P.M., South of the Ute Line, for production from the Fruitland coal seams for the 320-acre drilling and spacing unit consisting of the N½ of said Section 12.

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

                        ENTERED this  day of       March                  , 1997, as of March 17, 1997.

                                                                        OIL AND GAS CONSERVATION COMMISSION

                                                                               OF THE STATE OF COLORADO

                                                                        By

                                                                            Patricia C. Beaver, Secretary

Dated at Suite 801

1120 Lincoln Street

Denver, Colorado  80203

July 3, 2018