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 BRANDON FIELD, KIOWA COUNTY, COLORADO

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CAUSE NO. 188

 

ORDER NO. 188-9

 

REPORT OF THE COMMISSION

 

This cause came on for hearing before the Commission on January 19, 1971, at 10 a.m., in the Consul Room, Quality Motel, 1840 Sherman Street, Denver, Colorado, after giving Notice of Hearing, as required by law, on the application of Inexco Oil Company, for an order rescinding the provisions of Order No. 188-3 and permitting the wells in the Brandon Field, Kiowa County, Colorado to be produced with an unlimited allowable.

 

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 the Commission issued its Order No. 188-3, effective June 1, 1967, which placed a limitation on oil production of 150 barrels per well per day in the Brandon Field.  This limitation of production has been effective in controlling the water encroachment in the Mississippian formation by maintaining a reasonable rate of withdrawal of fluids from the reservoir.

 

4.      That the testimony presented by the applicant did not support the proposal that the time had arrived to lift all restrictions on production from all wells producing from the Mississippian formation in the Brandon Field and did not set out a plan of operations to accomplish the orderly transition to unlimited production.

 

5.      That in order to provide for the proper depletion of oil from the Mississippian formation, to prevent waste, to secure the greatest ultimate recovery of hydrocarbons and to protect the correlative rights of all interested parties in the Brandon Field, a fieldwide plan of operations should be presented to the Commission.  Said plan should include, but not be limited to the following:


 

 

(a)

The wells that initially are to be equipped with high capacity lift equipment and the method of determining the wells to be so equipped in the future.

 

 

(b)

An estimate of the amount of additional oil to be recovered by unrestricted production of oil and water.

 

 

(c)

How the correlative rights of all owners will be protected.  This either by agreement or unitization. [sic]

 

 

(d)

A plan of disposal of produced water.

 

 

(e)

Other pertinent information that will show that the over all [sic] plan of operation will result in the recovery of additional oil and will prevent waste as defined in the Oil and Gas Conservation Act.

 

 

(f)

That based on the findings of the Commission, the application should be denied.  However, the Commission will set a hearing at it's [sic] next hearing date if the applicant files an acceptable plan as outlined above.

 

ORDER

 

NOW, THEREFORE, IT IS ORDERED, that the application filed December 31, 1970, to rescind the provisions of Order No. 188-3 permitting the wells in the Brandon Field, Kiowa County, Colorado, to be produced with an unlimited allowable, is hereby denied.

 

ORDERED this 1st day of February 1971.

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

By 

Frank J. Piro, Secretary