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 OMIMEX PETROLEUM INC., PHILLIPS COUNTY, COLORADO

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CAUSE NO. 1V

 

ORDER NO. 1V-528

DOCKET NO. 150900337

TYPE:   ENFORCEMENT

 

ADMINISTRATIVE ORDER BY CONSENT

 (Pursuant to Rule 522.e.(1) of the Rules and Regulations of the

Colorado Oil and Gas Conservation Commission, 2 CCR 404-1)

 

FINDINGS

 

1.            Omimex Petroleum Inc. (“Omimex”) (Operator No. 66190) is the operator of record for the Moss 7-19-7-44 Well (“Well”) (API No. 05-095-06464) in Phillips County, Colorado.        

 

2.            On October 7, 2014, Omimex sampled groundwater as required by Colorado Oil and Gas Conservation Commission (“Commission” or “COGCC”) Rules of Practice and Procedure, 2 CCR 404-1 (“Rule” or “Rules”).

 

3.            On November 28, 2014, Omimex spud the Well.

 

4.            Pursuant to Rule 609.f., Omimex was required to submit the final laboratory analytical results of the groundwater sampling by January 7, 2015. Omimex did not submit the sampling results by this deadline.

 

5.            On March 20, 2015, COGCC Staff issued a Notice of Alleged Violation (“NOAV”) (No. 200427342) to Omimex for a violation related to its failure to timely submit the sampling results. The NOAV cited a violation of the Rule 609.

 

6.            Omimex submitted the sampling results to the COGCC on April 2, 2015.

 

7.            Following factual investigation and legal review of the violations alleged in the NOAV, Hearing Staff now asserts Omimex has committed the following violations:

 

a.    One, 85-day violation of Rule 609.f. (Statewide Groundwater Baseline Sampling and Moitoring/Sampling Results) for the failure to timely submit groundwater sampling results.

 

8.            Pursuant to Rule 523 and the Commission’s Enforcement and Penalty Policy, Hearings Staff calculated a penalty of $2,500 for this violation. The penalty calculation is based on the following:

 

NOAV

Rule No.

Days of Violation

Start Date

End Date

Class

Impact

Daily Base Penalty

Total Penalty

200427342

609.f.

85

1/7/2015

4/2/2015

1

Minor

$30

$2,500

TOTAL PENALTY:

$2,500

 

a.    The violation occurred after the June 6, 2014 effective date of HB 14-1356;

b.    Pursuant to his authority to reclassify discrete sub-parts of a Rule and modify daily penalty amounts, as stated in the COGCC Enforcement Guidance and Penalty Policy – January 2015, the Director of the COGCC reclassified the violation of Rule 609.f. and modified the daily penalty amount;

c.    No aggravating factors;

d.    No mitigating factors;

e.    No pattern of violation; and

f.     No gross negligence or knowing and willful misconduct

 

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 Omimex Petroleum Inc. agrees to settle the NOAV on the following terms and conditions:

 

  1. Omimex is found in violation of Rule 609.f.

 

    II.        Omimex will be assessed a penalty of $2,500.

 

   III.        Omimex will pay $2,500 within 30 days after the approved AOC is mailed by the Commission. 

 

RECOMMENDED this 5 day of August, 2015.

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

 

By                                                                                  

      Kyle W. Davenport, Assistant Attorney General

 

 

 

 

 

 

 

 

 

AGREED TO AND ACCEPTED this ___day of August, 2015.                                                                                                     

OMIMEX PETROLEUM INC.

 

                             

 

By                                                                                          

                             Signature of Authorized Company Representative

                       

                                                                                                                       

                                    Print Signatory Name

                      

                                                                                                                                                                        Title

 

ORDER

 

HAVING CONSIDERED the Agreement between the Director and Omimex Petroleum Inc. to resolve the NOAV, the COMMISSION ORDERS:

 

            1.         Omimex is found in violation of Rule 609.f. as described above.

 

2.         Omimex will be assessed a total penalty of $2,500 for the rule violations described above.

 

3.         Omimex will pay $2,500 within 30 days after the approved 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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ENTERED this ___ day of September, 2015 as of the 14 day of September, 2015.
           

                                                            OIL AND GAS CONSERVATION COMMISSION

            OF THE STATE OF COLORADO

 

 

            By                                                                                          

                                                                                      Julie Murphy, Secretary