IN THE MATTER Of THE PROMULGATION AND ESTABLISHMENT Of FIELD RULES TO GOVERN OPERATIONS IN THE SORRENTO FIELD, CHEYENNE COUNTY, COLORADO Cause No. 349 Order No. 349-7

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on December 15, 1986 at 9:00 A.M. in Room 110, State Centennial Building, 1313 Sherman Street, Denver, Colorado after giving Notice of Hearing as required by law on the verified application of Champlin Petroleum Company for an order amending Order No. 349-4 and lift all production restrictions on certain wells in the Sorrento Field, Cheyenne County, Colorado.

FINDINGS

The Commission finds as follows:

1. Champlin Petroleum Company, as applicant herein, is an interested party in the subject matter of the above-referenced hearing.

2. Due Notice of the time, place and purpose of the hearing has been given in all respects as required by law.

3. 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.

4. On August 15, 1983, the Commission authorized Order No. 349-4 to be issued which placed production restrictions on wells producing from the Morrow formation underlying certain lands in the Sorrento Field.

5. Testimony presented at the hearing indicates that certain wells under production restrictions by said Order No. 349-4 are becoming uneconomical to produce and lifting of production restrictions will not adversely effect offset owners. The wells are described as follows:

No. 11 McCormick 22-3 Section 3: SE /4 NW /4 Township 14 South, Range 49 West No. 6 McCormick 24-3 Section 3: SE /4 SW /4 Township 14 South, Range 49 West No, 2C McCormick 44-34 Section 34: SE /4 SE /4 Township 14 South, Range 49 West No. 7 McCormick 33-3 Section 3: NW /4 SE /4 Township 14 South, Range 49 West No. 8 McCormick 44-3 Section 3: SE /4 SE /4 Township 14 South, Range 49 West No. 21 McCormick 31-3 Section 3: NW /4 NE /4 Township 14 South, Range 49 West

6. Well No. 2C Mull McCormick, located in the NW /4 NE /4 Section 10, Township 14 South, Range 49 West 6th P.M., operated by Mull Drilling Company, Inc. should also be included in the list of wells in which production restrictions should be lifted.

ORDER

NOW THEREFORE IT IS ORDERED that Order No. 349-4 is hereby amended and the following described wells are hereby exempt from the production restrictions as provided in Order No. 349-4.

No. 11 McCormick 22-3 Section 3: SE /4 NW /4 Township 14 South, Range 49 West

No. 6 McCormick 24-3 Section 3: SE /4 SW /4 Township 14 South, Range 49 West

No. 2C McCormick 44-34 Section 34: SE /4 SE /4 Township 14 South, Range 49 West

No. 7 McCormick 33-3 Section 3: NW /4 SE /4 Township 14 South, Range 49 West

No. 8 McCormick 44-3 Section 3: SE /4 SE /4 Township 14 South, Range 49 West

No. 21 McCormick 31-3 Section 3: NW /4 NE /4 Township 14 South, Range 49 West

No. 2C Mull McCormick Section 10: NW /4 NE /4 Township 14 South, Range 49 West

IT IS FURTHER ORDERED that the above order shall become effective forthwith.

ENTERED this of 1987, as of December 15, 1986.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary

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