IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS IN THE WHITE RIVER FIELD, RIO BLANCO COUNTY, COLORADO Cause No. 256 Order No. 256-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on August 17, 1976 at 9 A.M., in Room 1B-29, State Centennial Building, Denver, Colorado, and was further continued to September 21, 1976 at 9 A.M. in Room 1B-29, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of American Resources Management Corporation for an order to delete certain lands from the spaced area of the White River Field as established by Order No. 256-1.

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 June 20, 1972, the Commission issued its Order No. 256-1 which, among other things, established 160-acre drilling and spacing units for the produc-tion of gas and associated hydrocarbons from the Wasatch formation underlying certain lands in the White River Field, Rio Blanco County, Colorado.

4. That evidence presented at the hearing indicates that the area, as described below, is to be included in a federal unit area, and that due to porosity barriers within the reservoir, said area should be deleted from the spaced area of the White River Field so that it may be included in a participating area within the federal unit area. Township 2 North, Range 97 West, 6th P.M. Section 19: All Section 28: All Section 20: All Section 29: All Section 21: All Section 30: E/2 Section 22: W/2 Section 32: All Section 27: All Section 33: All

5. That the effective date of the deletion of said lands from the spaced area of the White River Field, should be upon approval of the Blair Mesa Unit by the United States Geological Survey.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the lands as described in Find-ing 4 herein are hereby deleted from the spaced area of the White River Field as established by Order No. 256-1, and that said lands no longer be subject to the provisions of said order, and shall be governed by the provisions of the federal unit agreement and the general rules and regulations of the Commission, and that henceforth the remaining lands in the White River Field, Rio Blanco County and subject to the provisions of Order No. 256-1 shall consist of the following:

Township 1 North, Range 97 West, 6th P.M. Section 1: All Section 3: All Section 2: All Township 2 North, Range 97 West, 6th P.M. Section 34: All Section 36: S/2 Section 35: All

IT IS FURTHER ORDERED, that the above order shall become effective upon approval of the federal unit area to be known as the Blair Mesa Unit by the United States Geological Survey.

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 orders.

ORDERED this 21st day of September, 1976.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary

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