BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
|
IN THE MATTER OF ALLEGED VIOLATIONS OF THE RULES AND REGULATIONS OF THE COLORADO OIL AND GAS CONSERVATION COMMISSION BY RENEGADE OIL & GAS COMPANY LLC, ADAMS COUNTY, COLORADO |
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CAUSE NO. 1V
ORDER
NO. 1V-466 |
ADMINISTRATIVE ORDER BY CONSENT
(Pursuant to Rule 522.b.(3) of the Rules and Regulations of the
Colorado Oil and Gas Conservation Commission, 2 CCR 404-1)
FINDINGS
1. Renegade Oil & Gas Company LLC (“Renegade”) (Operator No. 74165) is the operator of the UPRR-MARRS #1-3 Well (API # 05-001-06566) (“Well) located in Adams County, Colorado.
2. Based on a review of COGCC’s records, the Well is shut-in. Renegade has not reported production from this Well since May 2010.
3. On January 10, 2014, Commission Staff issued a Notice of Alleged Violation (“NOAV”) (No. 200393417) to Renegade citing a violation of Rule 326.b.1 (Mechanical Integrity Testing Shut-In Wells) of the COGCC Rules of Practice and Procedure, 2 CCR 404-1 (“Rule” or “Rules”). A mechanical integrity test (“MIT”) had not performed on this Well as of the date of the NOAV.
4. Following factual investigation and legal review of the violations alleged in the NOAV, Hearings Staff now asserts Renegade has committed the following violation:
One 10-day violation of Rule 326.b.1 (Mechanical Integrity Testing Shut-In Wells) for the failure to perform a Mechanical Integrity Test on the Well while Shut-In.
5. On April 1, 2014, Renegade performed a MIT on the Well. The Well failed to maintain mechanical integrity. Renegade subsequently made repairs to the Well. On April 24, 2014, Renegade completed a successful MIT on the Well (Doc. No. 200402935).
6. Pursuant to Rule 523 and the Commission’s Enforcement and Penalty Policy, Hearings Staff calculated a penalty of $7,500 for these violations. Staff does not recommend any adjustments based on aggravating or mitigating factors.
AGREEMENT
NOW, THEREFORE, based on the Findings and pursuant to Rule 522.b.(3) and the Commission’s Enforcement and Penalty Policy, the Director proposes and Renegade agrees to settle the NOAV on the following terms and conditions:
II. Renegade will pay $7,500 within 30 days after this AOC is mailed by the Commission.
III. Renegade agrees to the findings of this AOC only for the purpose of expeditiously resolving the matter without a contested hearing.
RECOMMENDED this 7th day of May, 2014.
OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
By
Peter Gowen, Enforcement Officer
AGREED TO AND ACCEPTED this ______day of May, 2014.
RENEGADE OIL & GAS COMPANY, LLC
By
Signature of Authorized Company Representative
Print Signatory Name
Title
ORDER
HAVING CONSIDERED the Agreement between the Director and Renegade to resolve the NOAV, the COMMISSION ORDERS:
1. Renegade is found in violation of Rules 326.b.1 as described above.
2. Renegade is assessed a total penalty of $7,500 for the rule violations described above.
3. Renegade will pay $7,500 within 30 days after this AOC is mailed by the Commission.
4. Entry of this Order constitutes final agency action for purposes of judicial review as of the date this order is mailed by the Commission. For all other purposes, this Order is effective as of the date of approval by the Commission.
5. The Commission expressly reserves its right after notice and hearing, to alter, amend, or repeal any and/or all of the above orders.
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OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
By
Robert J. Frick, Secretary