REPORT OF THE COMMISSION

The Commission met December 24, 1974 at 10 A.M. in the Columbine Building, Denver, Colorado, to consider whether the present production practices in the Lanyard-Roggen Area are resulting in an irrecoverable loss of natural gas that could otherwise be put to a beneficial use, and to determine what measures should be taken by the Commission to prevent waste and to prevent the escaping, blowing and releasing of gas in excessive or unreasonable amounts from wells capable of producing both oil and gas.

FINDINGS

The Commission finds as follows:

1. That the Commission has jurisdiction to promulgate the hereinafter prescribed order. 2. That an emergency exists requiring immediate action by the Commis-sion, and that an emergency order should be issued in accordance with the provisions of 200-6-7 (3) CRS 1963, as amended.

3. That the present production practices of wells producing from the "D" Sand underlying the area described in Finding 5 hereof may result in an irrecoverable loss of natural gas that could otherwise be put to a beneficial use; and that such produc-tion practices constitute waste as that term is defined in 100-6-3 (10) CRS 1963, as amended.

4. That in order to prevent waste and to prevent the escaping, blowing and releasing of gas in an excessive or unreasonable amount from wells capable of pro-ducing both oil and gas, the maximum daily production of oil from any one well producing from the "D" Sand underlying the area described in Finding 5 should not exceed a volume of 25 barrels.

5. That all wells capable of producing both oil and gas from the "D" Sand underlying the following described area in Weld County, Colorado, should comply with the provisions of this order:

Township 2 North, Range 62 West, 6th P.M. Section 7: SE/4 Section 18: All Section 8: SW/4 Section 19: NW/4 Section 17: NW/4 Township 2 North, Range 63 West, 6th P.M. Section 13: S/2 Section 24: All

(over)

ORDER

NOW, THEREFORE, IT IS ORDERED, that in order to prevent waste and to prevent the escaping, blowing, and releasing of gas in an excessive or unreasonable amount from wells capable of producing both oil and gas, the maximum daily production of oil from any one (1) well producing from the "D" Sand underlying the area described in Finding 5 (which area may be enlarged at the time of the scheduled healing to include additional wells that may be completed in the "D" Sand), shall not exceed a volume of twenty-five (25) barrels.

IT IS FURTHER ORDERED, that the operators in said Lanyard-Roggen Area are hereby requested to appear at the hearing scheduled for 9 A.M., January 7, 1975, Department of Revenue Hearing Room, 7th Floor State Capitol Annex, 1575 Sher-man Street, Denver, Colorado, to show cause why this order should not be made perman-ent and in addition, to present all available data in order for the Commission to determine what modification to this order and/or additional field rules should be adopted for the production of oil and gas in said area and plans for the disposition of the casinghead gas.

IT IS FURTHER ORDERED, that this order shall be effective commencing at 8 A.M., December 26, 1974 . ~~ ~ / ~ ~~~~~ .

~ ~ Frank J. Pird, Secretary / Dated at Denver, Colorado December 28, 1974 (#295-1)