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 SABER FIELD, LOGAN AND WELD COUNTIES, COLORADO	) ) ) )	CAUSE NO. 181 ORDER NO. 181-5

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on June 20, 1977 at 9 a.m., in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Bright & Schiff, for itself and the royalty owners, for an order to correct and amend, nunc pro tunc, Order No. 181-3 and 181-4 and approve water injection operations for pressure maintenance in the "D" Sand underlying lands in the Saber Field in accordance with the Correction and Royalty Owners Injection Agreement.

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 on September 16, 1969, the Commission issued its Order No. 181-3 which approved a certain Unit Agreement providing for unit operations in the "D" Sand underlying certain lands in the Saber Field, Logan and Weld Counties, Colorado, and approved a plan for injection of water into said "D" Sand.  Order No. 181-4, issued May 18, 1971, authorized the operator of the Saber "D" Sand Unit to convert certain wells to water injection wells.

4.      That the applicant, Bright & Schiff, as sole working interest owner, and the owners of all the royalty interest, have executed an instrument entitled, "Correction and Royalty Owners [sic] Injection Agreement", dated April 11, 1977, covering the following described lands in the Saber Field, Logan and Weld Counties, Colorado:

Logan County
Township 10 North, Range 55 West, 6th P.M.
Section	6:	All
Section	7:	N½NE¼, SE¼NE¼, NW¼, N½SW¼

Weld County
Township 10 North, Range 56 West, 6th P.M
Section	1:	SE¼NE¼, SE¼
Section	12:	All
Section	13:	NE¼, W½, NW¼SE¼

5.      That the application and testimony shows that the Unit Agreement, dated July 22, 1968, and entered into by the working and royalty interests and approved by the Commission by said Order No. 181-3, was not correct in that the true intent and purpose of said interests were not correctly set forth and that by execution of said Correction and Royalty Owners [sic] Injection Agreement, such corrections of intent were made.

6.      That said Correction and Royalty Owners [sic] Injection Agreement completely supersedes and takes the place of said Unit Agreement.  Therefore, Order No. 181-3 should be rescinded and said Correction and Royalty Owners [sic] Injection Agreement for operations of the "D" Sand underlying the area described herein should be approved.

7.      That Order No. 181-4 should be amended to allow water injection operations to continue with additional injection wells.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the provisions of Order No. 181-3 are hereby rescinded and Order No. 181-4 is hereby amended and the following rules and regulations shall apply hereafter to the lands set forth herein.

Rule 1.    The area, as set forth in subject Correction and Royalty Owners [sic] Injection Agreement, is comprised of the following described lands in the Saber Field, Logan and Weld Counties, Colorado, to-wit:

Logan County
Township 10 North, Range 55 West, 6th P.M.
Section	6:	All
Section	7:	N½NE¼, SE¼NE¼, NW¼, N½SW¼
Weld County
Township 10 North, Range 56 West, 6th P.M
Section	1:	SE¼NE¼, SE¼
Section	12:	All
Section	13:	NE¼, W½, NW¼SE¼

Rule 2.    Said Correction and Royalty Owners [sic] Injection Agreement, providing for operations of the "D" Sand underlying said area, is hereby approved.

Rule 3.    Applicant's plan for injection of water into the "D" Sand underlying said area is hereby approved, and the operator is authorized to inject water into said "D" Sand through the following described wells in such quantities as shall be reasonably determined by the operator to best achieve the maximum recovery of oil without waste:  Well No. 1 Reagan, SE¼SW¼ Section 13, Well No. 2 Reagan, SW¼NE¼ Section 13, Well No. 1 Shellhorn, NW¼NE¼ Section 12, all in Township 10 North, Range 56 West, 6th P.M., and Well No. 4 Cervi, SW¼NW¼ Section 7, Township 10 North, Range 55 West, 6th P.M.

IT IS FURTHER ORDERED, that Rule 1 and Rule 3 of Order No. 181-1, and Order No. 181-2, previously rescinded by Order No. 181-3, hereby remain rescinded.

IT IS FURTHER ORDERED, that the provisions in the above orders are declared to be effective, nunc pro tunc, as of September 16, 1969.

ORDERED this 20th day of June, 1977.

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