BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

 

IN THE MATTER Of THE PROMULGATION AND ESTABLISHMENT Of FIELD RULES TO GOVERN OPERATIONS IN THE CODELL-NIOBRARA FORMATION SPACED AREA, WELD COUNTY, COLORADO

)

)

)

)

)

CAUSE NO. 407

 

ORDER NO. 407-11

 

REPORT OF THE COMMISSION

 

This cause came on for hearing before the Commission on May 20, 1985, 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 application of Golden Buckeye Petroleum Corporation, for an order pooling all interests in the drilling and spacing unit consisting of the E1/2NE1/4, Section 18 [sic] Township 5 North, Range 64 West, 6th P.M., Weld County, Colorado, for the development and operation of the Codell-Niobrara formations for the production of oil and/or gas underlying said unit, pursuant to 34-60-116 C.R. S., as amended.

 

FINDINGS

 

The Commission finds as follows:

 

1.      Golden Buckeye Petroleum Corporation, 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.      The E1/2NE1/4 Section 18, Township 5 North, Range 64 West, 6th P.M. has been established a drilling and spacing unit by the Commission by Order No. 407-1, issued December 20, 1983.

 

5.      Applicant is an "interested person" within the meaning of 34-60-116 (6), C.R.S., as amended, of the Oil and Gas Conservation Act of the State of Colorado and has been unable, after diligent effort, to locate one Bessie Jones Fox.  Notice of Hearing to persons and address unknown was given in accordance with rules of civil procedure.

 

6.      Based on the facts stated in the verified application, and receiving no objections and having been reviewed and recommended by the Director, the Commission should enter an order pooling all interests in the 80-acre drilling and spacing unit herein described in order to insure proper and efficient development of the oil and gas from the Code/Niobrara formations underlying said unit.

 

7.      An order of the Commission pooling all interests in said drilling unit is necessary in order to afford each owner of interest in each said drilling unit the opportunity to recover and receive his just and equitable share of the oil and/or gas from the common source of supply underlying said drilling unit.

 

8.      Production obtained from said drilling unit should be allocated to each tract therein on the basis of the proportion that the number of acres in each tract bears to the total number of acres within said drilling unit.

 

ORDER

 

NOW, THEREFORE, IT IS ORDERED, that, 1. [sic] Pursuant to the provisions of 34-60-116, C.R.S., as amended, of the Oil and Gas Conservation Act of the State of Colorado, all interests in the drilling and spacing unit consisting of the E1/2NE1/4 Section 18, Township 5 North, Range 64 West, 6th P.M., Weld County, Colorado, are hereby pooled for the development of oil and/or gas from the Codell/Niobrara formations underlying said unit.

 

2.      That the production obtained from said drilling unit shall be allocated to each owner therein in the unit on the basis of the proportion that the number of acres in each tract bears to the total number of mineral acres within said drilling unit; each owner of an interest in said drilling unit shall be entitled to receive his share of the production of the well located on said drilling unit applicable to his interest in said drilling unit.

 

IT IS FURTHER ORDERED, that the provisions contained in the above order shall be effective forthwith retroactive to the date that costs were incurred in the drilling of the well.

 

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.

 

ENTERED this 31st day of May, 1985, as of May 20, 1985.

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

By

Frank J. Piro, Secretary