REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on August 19, 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 verified application of TXO Production Corporation for an order approving a pilot gas re-injection project into the Morrow formation from which the gas is originally produced in association with oil in order to investigate the feasibility of enhanced recovery of oil from said Morrow formation.

FINDINGS

The Commission finds as follows:

1. TXO Production 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. Based on the facts stated in, the verified application and exhibits submitted and having received no objections, the matter was reviewed by the Director as hearing officer on August 14, 1985 and was recommended to the Commission for approval.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the re-injection of natural gas into the Morrow formation from which it is originally produced in association with oil by injection into Well No. 10 Frazee "B", located in the SE/4NE/4 Section 9, Township 19 South, Range 50 West, 6th P.M., Salt Lake Field, Kiowa County, is hereby authorized to investigate the feasibility of enhanced recovery of oil from the Morrow formation.

IT IS FURTHER ORDERED, that the provisions contained in the above order shall become effective forthwith.

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 day 1985, as of August 19, 1985.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Frank J. Piro, Secretary