BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

 

IN THE MATTER OF THE INVESTIGATION TO TAKE MEASURES TO PREVENT WASTE OF OIL AND GAS IN THE "D" AND "J" SANDS OF THE LITTLE BEAVER FIELD IN WASHINGTON AND ADAMS COUNTIES, COLORADO

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CAUSE NO. 30

 

ORDER NO. 30-5

 

REPORT OF THE COMMISSION

 

On February 8, 1954, the Oil and Gas Conservation Commission of the State of Colorado entered its Order No. 30-1 (Emergency), as follows:

 

            "IT IS THEREFORE ORDERED, that the operators and owners of all wells producing oil or both oil and gas from the "D" and "J" Sands of the Little Beaver Field shall not produce gas from any one well in an amount, during any one month, exceeding a daily average of One Hundred Fifty Thousand (150,000) cubic feet, provided, however, that the provision of this paragraph shall not apply to gas required for lease development or operations, gas used as fuel, gas being sold to a gasoline plant or plants, gas used in gas injection operations, and gas required to supply domestic and municipal needs.

 

"IT IS FURTHER ORDERED, that this Order shall be effective fifteen (15) days commencing February 16, 1954."

 

On March 2, 1954, the Commission entered its Order No. 30-2, (Emergency), extending the date of Order No. 30-1 (Emergency) fifteen (15) days, commencing March 3, 1954.

 

On March 16, 1954, the Commission entered its Order No. 30-3 (Emergency), extending the date of Order No. 30-2 (Emergency) fifteen (15) days, commencing March 18, 1954.

 

On March 30, 1954, the Commission entered its Order No. 30-4 (Emergency), extending the date of Order No. 30-3 (Emergency) fifteen (15) days, commencing April 2, 1954.

 

This cause came on for hearing before the Commission on Tuesday, March 16, 1954, at 10:00 A.M., Senate Chambers, State Capitol, Denver, Colorado, after publication of Notice of Hearing as required by law, and the Commission now has before it all of the testimony and evidence relating to the production of oil and gas from the "D" and the "J" Sands of the Little Beaver Field, in Washington and Adams Counties, Colorado, is fully advised in all matters pertaining to the operations of the field and believes that it is now in a position to enter its Order in this proceeding, providing for further measures in said field to prevent the waste of oil and gas in the field.

 

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 the Little Beaver Field, as used herein, is that area in the following described lands, which is underlain by the "D" and "J" sands of the Dakota Series:

 

Sections Nineteen (19), Twenty-eight (28) Twenty-nine (29), Thirty (30), Thirty-one (31), Thirty-two (32), and Thirty-three (33), all in Township One (1) South, Range Fifty-six (56) West; Sections Five (5), Six (6), Seven (7), and Eight (8), all in Township Two (2) South, Range Fifty-six (56) West, Washington County, Colorado; and Sections Twenty-four (24), Twenty-five (25), and Thirty-six (36), in Township One (1) South, Range Fifty-seven (57) West; Sections One (1), and Twelve (12), all in Township Two (2) South, Range Fifty-seven (57) West of the Sixth (6th) P.M., Adams County, Colorado.

 

4.      That the "D" sand pool of the Dakota Series, as used herein, shall be construed to mean that underground reservoir containing a common accumulation of oil and gas, the top of which "D" sand pool is found at a depth of Five Hundred Forty-six (546) feet subsea in the R. A. Goodall #1 Wheatlake Well located in the Southwest Quarter of the Southwest Quarter of the Southwest Quarter (SW¼ SW¼ SW¼) of Section Five (5), Township Two (2) South, Range Fifty-six (56) West of the Sixth (6th) P.M., Washington County, Colorado.

 

5. That the "J" sand pool of the Dakota Series, as used herein, shall be construed to mean that underground reservoir containing a common accumulation of oil and gas, the top of which "J" sand pool is found at a depth of Seven Hundred Thirty-two (732) feet subsea in the Bill Tomberlin, #1 Hogsett Well located in the Southeast Quarter of the Southeast Quarter of the Southwest Quarter (SE¼ SE¼ SW¼) of Section Thirty (30), Township One (1) South, Range Fifty-six (56) West of the Sixth (6th) P.M., Washington County, Colorado.

 

6.      That the "D" sand pool of the Dakota Series is what is commonly known as a solution gas-drive reservoir with no apparent evidence of either a gas cap or effective water drive.

 

7.      That the "J" sand pool of the Dakota Series is what is commonly known as a gas-cap expansion reservoir with no apparent evidence of effective water drive.

 

8.      That there has been and now is waste of gas caused by the escaping, blowing, and releasing into the open air of gas from the wells in an excessive or unreasonable amount as will unreasonably reduce reservoir pressures and unreasonably diminish the quantity of oil that might ultimately be produced by effective conservation methods, and will cause underground waste, inefficient, excessive, and improper use and dissipation of reservoir energy in both the "D" and "J" sand pools of the Dakota Series of the Little Beaver Field.

 

9.      That in order to prevent undue waste of oil and gas and to prevent the escaping, blowing, and releasing of gas in an excessive or unreasonable amount from wells producing both oil and gas and to prevent underground waste, inefficient, excessive, and improper use and dissipation of reservoir energy, the maximum gas production from any one well in the "D" sand pool of the Dakota Series of the Little Beaver Field should not, during any one month, exceed a daily average of One Hundred Thousand (100,000) cubic feet; that this limit is the amount of gas that such well can produce without undue waste, in accordance with sound engineering practices, for the uniform withdrawal of both oil and gas from the "D" sand pool.

 

10.    That in order to prevent undue waste of oil and gas and to prevent the excaping, [sic] blowing, and releasing of gas in an excessive or unreasonable amounts from wells producing both oil and gas and to prevent underground waste, inefficient, excessive, and improper use and dissipation of reservoir energy, the maximum gas production from any one well in the "J" sand pool of the Dakota Series of the Little Beaver Field should not, during any one month, exceed a daily average of One Hundred. Fifty Thousand (150,000) cubic feet; this limit is the amount of gas that such well can produce without undue waste, in accordance with sound engineering practices, for the uniform with-of both oil and gas from the "J" sand pool.

 

11.    That the operators and owners of wells producing from the "D" and pools of the Dakota Series should make quarterly gas-oil ratio tests the last month of each quarter, i.e., March, June, September, and of each year; and that the same should be reported to the Commission on Form OGCC-4, Revised April 1954, after each such testing period, on or before the fifteenth (15th) day of the following month; and that such tests the fifteenth (15th) day of the following month; be the basis for calculating the volume of gas produced for each month the following quarter.

 

12.    That the operators and owners of wells producing from the "D" and sand pools of the Dakota Series should file with the Commission a monthly of production by wells, as required on Form OGCC-7a, covering the next preceding the date of filing, on or before the twentieth (20th) of each month.

 

ORDER

 

NOW, THEREFORE, IT IS ORDERED that the following rules and regulations be, and the same are hereby adopted for the "D" and "J" sand pools of the Little Beaver Field in addition to Orders No. 15-1 and No. 19-1:

 

Rule 1.    The "D" and "J" sand pools of the Dakota Series of the Little Beaver Field are common sources of supply underlying Sections Nineteen (19), Twenty-eight (28), Twenty-nine (29), Thirty (30), Thirty-one (31), Thirty-two (32), and Thirty-three (33), Township One (1) South, Range Fifty-six (56) West; Sections Five (5), Six (6), Seven (7), and Eight (8), Township Two (2) South, Range Fifty-six (56) West, Washington County, Colorado; and Sections Twenty-four (24), Twenty-five (25), and Thirty-six (36), Township One (1) South, Range Fifty-seven (57) West; Sections One (1) and Twelve (12), Township Two (2) South, Range Fifty-seven (57) West, Adams County, Colorado.

 

Rule 2.    The operators and owners of wells producing from the "D" sand pool of the Dakota Series shall not produce gas from any one well in an amount, during any one month, exceeding the daily average of One Hundred Thousand (100,000) cubic feet.

 

Rule 3.    The operators and owners of wells producing from the "J" sand pool of the Dakota Series shall not produce gas from any one well in an amount, during any one month, exceeding the daily average of One Hundred Fifty Thousand (150,000) cubic feet.

 

Rule 4.    The operators and owners of wells producing from the "D" and "J" sand pools of the Dakota Series shall make quarterly gas-oil ratio tests during the last month of each quarter, i.e., March, June, September, and December of each year; and that the same shall be reported to the Commission on Form OGCC-4, Revised April 1954, after each such testing period, on or before the fifteenth (15th) day of the following month; and that such tests shall be the basis for calculating the volume of gas produced for each month of the following quarter.

 

Rule 5.    The operators and owners of wells producing from the "D" and "J" sand pools of the Dakota Series shall file with the Commission a monthly report of production by wells, as required on Form OGCC-7a, covering the month next preceding the date of filing, on or before the twentieth (20th) day of each month.

 

IT IS FURTHER ORDERED, that all rules and regulations contained herein shall become effective forthwith, and henceforth production of gas except as set forth in Rules 2, 3, 4 and 5 herein is hereby prohibited.

 

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, rules, and regulations.

 

ORDERED this 12th day of April, 1954, by the Oil and Gas Conservation Commission of the State of Colorado.

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

By  Annabel Hogsett, Assistant Secretary