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 WALSH FIELD, BACA COUNTY, COLORADO

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CAUSE NO. 171

 

ORDER NO. 171-5         (Corrected)

 

REPORT OF THE COMMISSION

 

This cause came on for hearing before the Commission on April 19, 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 Michigan Wisconsin Pipe Line Company, for an order pooling all interested in the drilling and spacing unit consisting of Section 12, Township 33 South, Range 43 West, 6th P.M., Walsh Field, Baca County, Colorado, for the development of the gas from the Virgilian Series (Pennsylvanian) underlying said unit, in accordance with C.R.S. 34-60-116 (1973), as amended.

 

FINDINGS

 

The Commission finds as follows:

 

1.      Michigan Wisconsin Pipe Line 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 March 19, 1963, the Commission issued Order No. 171-1 which established 640-acre drilling and spacing units for the production of gas from the Virgilian Series (Pennsylvanian), common source of supply underlying lands in the Walsh Field.  The area was extended by Order No. 171-2 and further extended by Order No. 171-4 to include Section 12, Township 33 South, Range 43 West, 6th P.M.

 

5.      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 all owners of interests in said unit for the voluntary pooling thereof.

 

6.      Applicant is an "interested person" within the meaning of 34-60-116 (6), C.R.S. 1973, as amended, of the Oil and Gas Conservation Act of the State of Colorado.

 

7.      In order to insure proper and efficient development of said drilling unit and to promote conservation of the gas resources of the State, an order should be made pooling all interests in the drilling and spacing unit described herein.

 

8.      An order of the Commission pooling all interests in said drilling and spacing unit is necessary in order to afford each owner of interest in said drilling and spacing unit the opportunity to recover and receive his just and equitable share of the gas from the common source of supply underlying said unit.

 

9.      Production obtained from said drilling and spacing unit should be allocated to each tract therein on the basis of the proportion that the number of acres in each tract bears to the total number of acres within said unit.

 

ORDER

 

NOW, THEREFORE, IT IS ORDERED, that pursuant to the provisions of 34-60-116, C.R.S. 1973, As [sic] amended, of the Oil and Gas Conservation Act of the State of Colorado, all interests in the drilling and spacing unit consisting of Section 12, Township 33 South, Range 43 West, 6th P.M., Walsh Field, Baca County, Colorado, are hereby pooled for the development and operations of said drilling unit of the gas from the Virgilian Series (Pennsylvanian) underlying said unit.

 

IT IS FURTHER ORDERED, that the production obtained from 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 on said drilling unit, applicable to his interest in said drilling unit.

 

IT IS FURTHER ORDERED, that the provisions contained in the above order shall become effective forthwith.

 

ENTERED this 14th day of May, 1982, as of April 19, 1982

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

By 

Frank J. Piro, Secretary