BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
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IN THE MATTER OF ALLEGED VIOLATIONS OF THE RULES AND REGULATIONS OF THE COLORADO OIL AND GAS CONSERVATION COMMISSION BY ENERVEST OPERATING, LLC, WELD COUNTY, COLORADO |
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CAUSE NO. 1V
ORDER
NO. 1V-472 |
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. Enervest Operating, LLC (“Enervest”) (Operator No. 10098) is the operator of the Oskarson #2 Well (API # 05-123-09105) (“Well”) located in Weld County, Colorado.
2. Based on a review of COGCC’s records, the Well was shut-in in June of 2010. A mechanical integrity test (“MIT”) has never been performed on this Well.
3. On January 22, 2014, Commission Staff issued a Notice of Alleged Violation (“NOAV”) (No. 200393587) to Enervest citing violations of COGCC Rules of Practice and Procedure, 2 CCR 404-1 (“Rule”), Rule 326.b.1 (Mechanical Integrity Testing Shut-In Wells).
4. On March 11, 2014, Enervest filed a Form 6, Well Abandonment Report, indicating that the Well was plugged and abandoned on December 2, 2013. Rule 311 (Well Abandonment Report) requires operators to file Form 6’s within 30 days of well abandonment. Here, the Form 6 was due by January 1, 2014.
5. Following factual investigation and legal review of the violations alleged in the NOAV, Hearings Staff now asserts Enervest has committed one, one-day violation of Rule 311 for failing to file the Form 6 on time.
6. Pursuant to Rule 523 and the Commission’s Enforcement and Penalty Policy, Hearings Staff calculated a penalty of $1,000 for this violation. 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 Enervest agrees to settle the NOAV on the following terms and conditions:
II. Enervest will pay $1,000 within 30 days after the Commission mails the Order approving this AOC.
III. Payment of the penalty pursuant to this AOC does not relieve Enervest of its obligations to complete corrective actions set forth in the NOAV, as may be amended or modified by COGCC Staff.
IV. Enervest agrees to the findings of this AOC only for the purpose of expeditiously resolving the matter without a contested hearing.
RECOMMENDED this 23rd day of June, 2014.
OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
By
Jeremy I. Ferrin, Enforcement Officer
AGREED TO AND ACCEPTED this ______day of , 2014.
ENERVEST OPERATING, LLC
By
Signature of Authorized Company Representative
Print Signatory Name
Title
ORDER
HAVING CONSIDERED the Agreement between the Director and Enervest and to resolve the NOAV, the COMMISSION ORDERS:
1. Enervest is found in violation of Rules 311 as described above.
2. Enervest is assessed a total penalty of $1,000 for the rule violations described above.
3. Enervest will pay $1,000 within 30 days after the Commission mails the Order approving this AOC.
4. Payment of the penalty pursuant to this AOC does not relieve Enervest from its obligations to complete corrective actions set forth in the NOAV, as may be amended or modified by COGCC Staff.
5. 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.
6. 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