IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS IN THE CHIEFTAIN FIELD, ADAMS COUNTY, COLORADO Cause No. 291 Order No. 291-3

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on December 20, 1976 at 9 Kkktt, in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Amoco Production Company, for an order extending the limits of the spaced area of the Chieftain Field as established by Order No. 291-1.

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 May 21, 1974, the Commission issued its Order No. 291-1 for the Chieftain Field which, among other things, established 320-acre drilling and spacing units for the production of gas and associated hydrocarbons from the "J" Sand underlying certain lands in Adams County, Colorado. Said units consist of the E/2 and W/2 or the N/2 and S/2 of a governmental section, with the permitted well located in the NW/4 and SE/4 of each section and no closer than 990 feet from the boundaries of the quarter section.

4. That testimony presented at the hearing indicates a common source of supply of gas underlies, in addition to the area set forth in Order No. 291-1 the following described lands in Adams County, Colorado, to-wit:

Township 2 South, Range 63 West, 6th rrrtt Section 20: All Section 22: All Section 21: All and that such area should be made subject to the provisions of Order No. 291-1.

5. That Well No. 1 Champlin 67 Amoco, located 660 feet from the west line and 660 feet from the south line of Section 21, Township 2 South, Range 63 West, 6th rrrtt, should be considered an exception and be the permitted well for the designated unit consisting of the S/2 of said Section 21.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the area as set forth in Find-ing 4 herein shall be included in the spaced area of the Chieftain Field and shall be subject to the provisions of Order No. 291-1 and the Chieftain Field shall henceforth include the following described lands in Adams County, Colorado, to-wit:

Township 2 South, Range 63 West, 6th rrrtt Section 8: S/2 Section 17: All Section 9: All Section 20: All Section 10: All Section 21: All Section 15: All Section 22: All Section 16: All

(or e r )

IT IS FURTHER ORDERED, that Well No. 1 Champlin 67 Amoco, located 660 feet from the west line and 660 feet from the south line of Section 21, Township 2 South, Range 63 West, 6th rrrtt shall be considered an exception and be the permitted well or the designated unit consisting of the S/2 or said Section 21.

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 20th day or December, 1976.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary -- 2 --