REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on February 17, 1978 at 9 A.M., in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Provident Resources, Inc., for an order establishing a 640-acre drilling and spacing unit for the production of gas and associated hydrocarbons from the Dakota, Cedar Mountain and Morrison formations (including the Brushy Basin and Salt Wash members).

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 there was insufficient evidence to indicate that one well will efficiently and economically drain the gas and associated hydrocarbons from each of said Dakota, Cedar Mountain and Morrison formations underlying a 640-acre drilling and spacing unit; therefore, the application should be denied.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the application of Provident Resources, Inc., to establish a 640-acre drilling and spacing unit, consisting of Section 11, Township 5 South, Range 102 West, 6th P.M. for the production of gas and associa-ted hydrocarbons from the Dakota, Cedar Mountain and Morrison formations (including the Brushy Basin and Salt Wash members), is hereby denied.

ORDERED this 17th day of February. 1978.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary