IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS IN THE CAMPANA FIELD, ADAMS COUNTY, COLORADO Cause No. 243 Order No. 243-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on April 18, 1972, at 9 A.M., in Room 132, State Services Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Edward Mike Davis, for an order granting an exception to the spacing pattern established by Order No. 243-1 for a well to be drilled in the SE/4 SW/4 Section 1, Township 2 South, Range 59 West, 6th. P.M., Adams County, Colorado.

FINDINGS

The Commission finds as follows:

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

2. That 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.

3. That on October 19, 1971, the Commission issued its Order No. 243-1 which, among other things, established 320-acre drilling and spacing units for the pro-duction of gas and associated hydrocarbons from the "J" Sand, with the permitted well to be located in the NW/4 and SE/4 of each section and no closer than 990 feet to the boundaries of the quarter section upon which it is located.

4. That the applicant drilled a well located in the SE/4 SE/4 Section 1, Town-ship 2 South, Range 59 West, 6th P.M., which was plugged and abandoned as a dry hole.

5. That evidence presented at the hearing indicates that an exception to the spacing pattern as established by Order No. 243-1 in the Campana Field should be granted for a well to be drilled in the SE/4 SW/4 Section 1, Township 2 South, Range 59 West, 6th P.M., and that it be the permitted well for the drilling unit consisting of the S/2 of said Section l; however, if a commercial well is drilled on the location set forth above, the Commission should, at the request of interested persons, take such action as will offset any advantage which the person securing the exception may have over other producers by reason of the drilling of the well as an exception.

ORDER

NOW, THEREFORE, IT IS ORDERED, an exception is hereby granted for a well to be drilled in the SE/4 SW/4 Section 1, Township 2 South, Range 59 West, 6th P.M., Campana Field, Adams County, Colorado, and that said well shall be the permitted well for the drilling unit consisting of the S/2 of said Section 1; however, if a commercial well is drilled on the location set forth above, the Commission shall, at the request of inter-ested persons, take such action as will offset any advantage which the person securing the exception may have over other producers by reason of the drilling of the well as an exception.

(over)

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

ORDERED this 18th day of April 1972.

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

(#243-2)