BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT FIELD RULES TO GOVERN OPERATIONS IN THE RULISON FIELD, GARFIELD COUNTY, COLORADO	) ) ) )	CAUSE NO. 139 ORDER NO. 139-9

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on September 20, 1982, at 9:00 a.m. in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing, as required by law, on the application of The Superior Oil Company for an order allowing the drilling of an additional well on the unit consisting of Section 30, Township 7 South, Range 95 West, 6th P.M.

FINDINGS

The Commission finds as follows:

1.      The Superior Oil Company, 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 December 10, 1959, the Commission issued Order No. 139-1 which, among other things, established 640-acre drilling and spacing units consisting of a governmental section, for the production of gas from the Mesaverde formation underlying certain lands in the Rulison Field.  The permitted well location is in either the NW1/4 or the SE1/4 of the section and no closer than 990 feet to the boundaries of the quarter section.  Subsequent orders added and deleted certain lands from the spaced area.

5.      A well, the No. 30-95 Govt., located in the permitted well location in the SE1/4 Section 30, Township 7 South, Range 95 West, has been producing gas from the Mesaverde formation and is now in a depletion stage and will not adequately drain the gas underlying the 640-acre unit; therefore, an additional well should be allowed to be drilled at a location 1320 feet from the north line and 1320 feet from the west line of said Section 30.  However, if a commercial well is completed at the location as set forth above, the Commission should, upon application of any interested person, take such action as will offset any advantage which the person securing the additional well may have over other producers by reason of drilling the additional well, including suitable provisions to prevent the production from the drilling unit of more than its just and equitable share of gas from the reservoir.

ORDER

NOW, THEREFORE, IT IS ORDERED, that an additional well for the production of gas from the Mesaverde formation underlying the 640-acre drilling and spacing unit consisting of Section 30, Township 7 South, Range 95 West, 6th P.M., Rulison Field, Garfield County, Colorado, is hereby allowed to be drilled at a location 1320 feet from the north line and 1320 feet from the west line of said section.

IT IS FURTHER ORDERED, that if a commercial well [sic] at the location as set forth above, the Commission shall, upon application of any interested person, take such action as will offset any advantage which the person securing the additional well may have over other producers by reason of drilling the additional well, including suitable provisions to prevent the production from the drilling unit of more than its just and equitable share of gas from the reservoir.

IT IS FURTHER ORDERED, that the provisions contained in the above orders [sic] shall become effective forthwith.

ENTERED this 15th day of October, 1982, as of September 20, 1982.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By	Frank J. Piro, Secretary