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 SOONER FIELD, WELD COUNTY, COLORADO	) ) ) )	CAUSE NO. 230 ORDER NO. 230-6

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on November 15, 1982 at 9:00 a.m. in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, and was continued for further hearing on January 17, 1983 at 9:00 a.m. in Room 110, State Centennial Building, Denver, Colorado, on the application of TXO Production Corporation requesting the application filed with the Commission on June 17, 1981 be withdrawn, and that Order No. 230-4, issued on November 16, 1981, be rescinded and the Commission re-affirm the provisions of Order No. 230-1 for operations in the field.

FINDINGS

The Commission finds as follows:

1.      TXO Production Corporation, as applicant herein, is an interested party in the subject matter of the above-referenced hearing.

2.      Due notice of the time, place and purpose of the hearing has been given in all respects as required by law.

3.      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.

4.      On October 26, 1970, the Commission issued Order No. 230-1 which established 320-acre drilling and spacing units for the production of gas from the "D" Sand underlying certain lands in the Sooner Field.  The units consist of the E1/2 and W1/2 or the N1/2 and S1/2 of each section, with the permitted well located in the center of the NW1/4 and SE1/4 of each section.

On June 12, 1981, Texas Oil & Gas Corporation, predecessor of TXO Production Corporation, filed with the Commission an application, which was amended, for an order to reduce the spacing units for the production of gas from the "D" Sand to 160-acres, establish 40-acre units for the production of oil, impose gas allowables on oil and gas wells and adopt criteria for classification of gas wells.  However, due to insufficient data at that time, the Commission issued Order No. 230-3 which placed production allowables on certain wells in the field and requested further data in order to determine the proper field rules.  Order No. 230-4 was issued on November 16, 1981, superseding Order No. 230-3, imposing certain production allowables on both gas and oil wells pending further hearing in the matter.

5.      Testimony presented at the hearings indicate that field rules for the Sooner Field should be as determined by Order No. 230-1, and therefore Order No. 230-4 should be rescinded and Order No. 230-1 should be reinstated, provided, however, that in no event should gas be flared or vented from the wells in the field capable of producing both oil and gas.

ORDER

NOW, THEREFORE, IT IS ORDERED, that Order No. 230-4 is hereby rescinded and Order No. 230-1 is hereby reinstated, provided, however, that in no event shall gas be flared or vented from wells in the spaced area of the Sooner Field, capable of producing both oil and gas.

IT IS FURTHER ORDERED, that the provisions contained in the above order shall become effective forthwith.

IT IS FURTHER ORDERED, that the Commission expressly reserves its right, after notice and hearing, to alter, amend or repeal any and/or all of the above order.

ENTERED this 1st day of February, 1983, as of January 17, 1983.

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