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 WATTENBERG GAS SPACED AREA, ADAMS COUNTY, COLORADO

 

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CAUSE NO.   232

 

ORDER NO.   232-87

 

                                                              REPORT OF THE COMMISSION

 

                                  This cause came on for hearing before the Commission on October 19, 1992 at 8:30 a.m. in Room 101, State Education Building, 201 East Colfax, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Basin Operating Company for an order amending Order No. 232-1 to allow a well to be drilled at an exception location 655 feet FNL and 2055 feet FEL in the NW1/4 NE1/4 of Section 7, Township 1 South, Range 67 West, 6th P.M., Adams County, for the production of gas and associated hydrocarbons from the "J" Sand Formation, for the 320-acre drilling and spacing unit consisting of the N1/2 of said Section 7.

 

                                                                                 FINDINGS

 

                                  The Commission finds as follows:

 

                                  1.  Basin Operating Company, 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.  In Cause No. 232, the Commission established 320‑acre drilling and spacing units for the production of gas from the "J" Sand in the Wattenberg Field with one well allowed for each unit to be located in the NE1/4 and SW1/4 and no closer than 990 feet to the boundaries of the quarter section.  On August 21, 1979, the Commission issued Order No. 232‑20 which allowed a second well to be drilled on each 320‑acre unit, including Section 7, Township 1 South, Range 67 West, 6th P.M. 

 

                                  5.  This matter was heard by the Hearing Officer who recommends approval based upon the testimony presented at the administrative hearing that a center pivot irrigation installation is located at the permitted wellsite.

 

                                  6.  No objections to the application were received and an order of the Commission should be entered allowing a well to be drilled at the above-described exception location.

 

                                                                                 O R D E R

 

                                  NOW, THEREFORE, IT IS ORDERED, that an exception is hereby granted to the spacing pattern established by Order No. 232-1, for a well to be drilled at an exception location 655 feet FNL and 2055 feet FEL in the NW1/4 NE1/4 of Section 7, Township 1 South, Range 67 West, 6th P.M., Adams County, for the production of gas and associated hydrocarbons from the "J" Sand Formation, for the 320-acre drilling and spacing unit consisting of the N1/2 of said Section 7. 

 

                                  IT IS FURTHER ORDERED, that should a commercial well be completed at the location set forth above, the Commission shall, upon application of any interested person, take such action as will offset any advantage which the person securing the exception may have over other procedures by reason of the drilling of the well as an exception location.

 

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

 

 

                                  Entered this                  day of                   ,

1992, as of October 19, 1992.

 

 

                                                                        OIL AND GAS CONSERVATION COMMISSION

                                                                            OF THE STATE OF COLORADO

 

 

 

                                                                        By                                 

                                                                             Patricia C. Beaver, Secretary

 

Dated at Suite 380

1580 Logan Street

Denver, Colorado  80203

October 28, 1992