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 IGNACIOBLANCO FIELD, LA PLATA AND ARCHULETA COUNTlES, COLORADO	) ) ) )	CAUSE NO. 112 ORDER NO. 112-23

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on September 15, 1964, at 10 a.m., in Room 132, State Services Building, Denver, Colorado, after publication and proper service of Notice of Hearing or appropriate waiver thereof, all as required by law, on the application of El Paso Natural Gas Company requesting an order requiring the pooling of tracts of land lying within a 320-acre drilling unit established by Order No. 112-6 and comprised of the S½ of Section 33, Township 33 North, Range 7 West, N.M.P.M., La Plata County, Colorado, for development of the Mesaverde formation underlying the above described lands.

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 by its Order No. 112-6, the Commission established a drilling unit of approximately 320 acres for the production of gas and the development of the Mesaverde formation underlying the unit comprised of the S½ of Section 33, Township 33 North, Range 7 West, N.M.P.M., La Plata County, Colorado.

4.      That reasonable effort has been made to obtain the voluntary pooling of all interests in said drilling unit for the development and operation thereof, but that it has not been possible to secure the agreement of certain owners of interest in said unit for the voluntary pooling thereof.

5.      That Applicant is an "interested person" within the meaning of 100-6-4(6) of the Oil and Gas Conservation Act of the State of Colorado.

6.      That in order to insure proper and efficient development of the Mesaverde formation underlying said drilling unit, and to promote conservation of the gas resources of the State, an order should be made pooling all interests in the 320-acre drilling unit described herein.

7.      That an order of the Commission pooling all interests in said drilling unit is necessary, just and reasonable in order to afford each owner of interest in the drilling unit the opportunity to recover and receive his just and equitable share of the gas from the Mesaverde formation underlying said drilling unit.

8.      That production obtained from said drilling unit should be allocated to each tract therein on the basis of the proportion that the number of acres in such tract bears to the total number of acres within said drilling unit.

ORDER

NOW, THEREFORE, IT IS ORDERED, that pursuant to the provisions of 100-8-4 of the Oil and Gas Conservation Act of the State of Colorado, all interests in the drilling unit described as the S½ of Section 38, Township 33 North, Range 7 West, N.M.P.M., La Plata County, Colorado, are hereby pooled for the development and operation of said drilling unit.

IT IS FURTHER ORDERED, that the production obtained from the Mesaverde formation underlying said drilling unit shall be allocated to each tract therein on the basis of the proportion that the number of acres in such tract bears to the total number of acres within said drilling unit, and each owner of interest in said tracts in said drilling unit shall be entitled to receive his share of the production of the well located or to be located on said drilling unit applicable to his interest in said drilling unit.

ORDERED this 15th day of September 1964.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By  William R. Smith, Secretary