BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
IN THE MATTER OF THE PROMULGATION OF FIELD RULES TO GOVERN OPERATIONS IN THE GREASEWOOD POOL WELD AND MORGAN COUNTIES, COLORADO.	) ) ) )	CAUSE NO. 4 ORDER NO. 4-1

APPEARANCES:
	J.G. Dyer, Denver, Colorado -- representing himself.
	J.V. Collins, Denver, Colorado -- representing Dyer and Parker.. [sic]
	R.S. Shannon, Jr., Denver, Colorado -- representing himself and          Pioneer Oil Company.

REPORT OF THE COMMISSION

Application was made to the Commission by J.G. Dyer and G.C. Parker, owners of oil and gas leases covering certain lands situated in Weld County, Colorado, in the Greasewood Field, to promulgate and establish drilling units in the said Greasewood Field, Weld and Morgan counties, Colorado, with particular reference to that known producing zone located therein termed "Greasewood Sandstone Pool", wherein applicants on November 6, 1951 completed a producing well known as Kirchhof No. 2 Well, located in the center of the SE/4 NW/4 of Section 12, Township 6 North, Range 61 West of the 6th P.M., Weld County, Colorado, producing oil from the Greasewood Sandstone from the interval between 6740 and 6748 feet.

This matter came on for hearing before the Commission on January, 7, 1952 at 10:00 A.M., at 1280 Sherman Street, Denver, Colorado, after publication of notice of hearing as required by the Colorado Oil and Gas Conservation Act of 1951.

FINDINGS

The Commission finds as follows:

1.      That due notice of the time, place, and purpose of the hearing was 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.      The Greasewood Sandstone pool in the Greasewood Field, as used herein, shall be construed to include the following described lands in Weld and Morgan counties, Colorado:

Township 7 North, Range 61 West, Weld County:
Section 35	SE¼ SW¼, S½ SE¼
Section 36	S¼
Township 7 North, Range 60 West, Weld County:
Section 31	S½ SW¼
Township 6 North, Range 61 West, Weld County:
Section 2	E½, W½, E½
Section 11	E½, W½, E½
Sections 1 and 12	All
Township 6 North, Range 60 West, Morgan County:
Section 6	W½
Section 7	W½

4.      That in order to prevent waste of oil and gas as defined in the Colorado Oil and Gas Conservation Act of 1951, and to prevent the drilling of unnecessary wells, drilling units consisting of tracts of at least forty (40) surface contiguous acres, or a governmental quarter-quarter section containing not less than thirty-six (36) acres, the shape of the units to be approximately in the form of a square, should be established in the said Greasewood Sandstone Pool as defined herein.

5.      That all available geological and engineering data concerning the Greasewood Sandstone Pool indicate that one well should efficiently and economically drain an area of approximately 40 acres, and that units of the size and shape hereinabove described are not smaller than the maximum area that can be efficiently drained by one well.

ORDER

IT IS THEREFORE ORDERED, That the following rules and regulations shall apply hereafter to a well drilled, completed, or recompleted in the Greasewood Sandstone Pool of the Greasewood Field, Weld and Morgan counties, [sic] Colorado, as hereinabove defined in the Findings, which by reference are made a part hereof, in addition to other applicable rules, regulations and orders of the Commission, if any, heretofore adopted and not in conflict herewith:

Rule 1.    No well shall be drilled or completed or recompleted, and no notice of intention to drill, or drilling permits, shall be approved in the Greasewood Sandstone Pool in the Greasewood Field, Weld and Morgan counties, Colorado, as hereinabove defined, unless:

(a)     Such well be located on a designated drilling unit of at least 40 surface contiguous acres or a governmental quarter-quarter section containing not less than 36 acres, such drilling unit to be approximately in the shape of a square.

(b)        Such well to be located as near the center of said drilling unit as possible with a variation of not more than fifty (50) feet from the center of such drilling unit, without the prior approval of this Commission given after hearing.

Rule 2.    By order of the Commission, after due notice and hearing, the said Greasewood Sandstone Pool may be redesignated from time to time to embrace other lands in the vicinity which are believed on the basis of additional development to be capable of producing oil and gas from the said Greasewood Sandstone Pool.

Rule 3.    The Commission may, by order entered after due notice and hearing, and to prevent waste or for some other reason, grant exceptions the provisions of Rule 1 and permit drilling of wells in the said Greasewood Sandstone Pool which do not conform to the requirements of Rule 1.

IT IS FURTHER ORDERED, That the rules and regulations contained herein shall become effective forthwith, and henceforth the commencement of drilling of any well or wells in the Greasewood Sandstone Pool, as defined herein, for the purpose of producing oil and gas therefrom at a location other than authorized by this Order, except as herein provided, is hereby prohibited.

ORDERED this 23rd day of January, 1952, by the Oil and Gas Conservation Commission of the State of Colorado.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By  John E. Cronin, Secretary