IN THE MATTER OF GENERAL RULES AND REGULATIONS WITH RESPECT TO THE CONSERVATION OF OIL AND GAS IN THE STATE OF COLORADO, AND RULES OF PRACTICE AND PROCEDURE PERTAINING THERETO AND IN PARTICULAR WITH REFERENCE TO RULE 323

BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

IN THE MATTER OF THE INVESTIGATION TO TAKE MEASURES TO PREVENT THE WASTE OF OIL AND GAS IN THE RAGO-NORTH FIELD, WASHINGTON COUNTY, COLORADO

)

CAUSE NO. 58

ORDER NO. 58-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on April 16, 1963, at 10 a.m., in Room 132, State Services Building, Denver, Colorado, after publication of Notice of Hearing as required by law, on the application of Plains Exploration Company for an order granting permission and authority to dually complete in the "D" and "J" sand formations [sic] its Jost No. 2 Well, with all production from the two formations to be segregated and no commingling to occur in the well bore.

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 Applicant drilled its Jost Well No. 2, located 666 feet east of the west line and 1997 feet south of the north line of Section 24, Township 1 North, Range 54 West, 6th P.M., Washington County, Colorado.

4. That in the drilling of said well, the "D" Sand pay zone was encountered between the approximate depth of 4880 feet and 4898 feet, with the casing having been perforated between the depths of 4882 feet and 4890 feet. The "J" Sand pay zone was encountered between the approximate depths of 4960 feet and 4966 feet, with the casing perforated between the depths of 4961 feet and 4964 feet.

5. That said Jost Well No. 2 is currently capable of producing from both the "D" Sand and the "J" Sand, through the perforations as set forth above.

6. That all available geological and engineering data concerning the Jost Well No. 2 indicate that said well can be dually completed in the manner presented by Applicant, with all production from the "D" and "J" sand formations to be segregated and no commingling to occur in the well bore.

7. That the granting of Applicant's request, and the completion and production of said well in the manner hereinabove described, will not result in waste, and that no damage will result to either formation because of such dual zone completion.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the following rules and regulations shall apply hereafter to the Jost Well No. 2, located 666 feet east of the west line and 1997 feet south of the north line of Section 24, Township 1 North, Range 54 West, 6th P.M., Washington County, Colorado, in addition to other applicable rules and regulations and orders of this Commission, if any, heretofore adopted and not in conflict herewith.

Rule 1. Authority is hereby granted the Plains Exploration Company for dual zone completion of its said Jost well No.2, through perforations in the casing opposite the "D" sand formation between the approximate depths of 4882 feet and 4890 feet, and perforations in the casing opposite the "J" sand formation between the approximate depths of 4961 feet and 4964 feet, with all production from the two formations to be segregated and no commingling to occur in the well bore.

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 rules and regulations.

ORDERED this 16th day of April 1963.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By William R. Smith, Secretary