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 "D" SAND OF THE ZORICHAK FIELD, MORGAN COUNTY, COLORADO	) ) ) )	CAUSE NO. 70 ORDER NO. 70-5

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on April 21, 1964, at 10 a. m., in Room 132, State Services Building, Denver, Colorado, after publication of Notice of Hearing as required by law, and mailing of copies of the application pursuant to regulations on the Commission, on the application of the South Texas Development Company for an order approving a certain Unit Agreement attached to said application as Exhibit II; and further approving a proposed plan for injection of water into the "D" sand formation underlying a portion of the Zorichak Field, Morgan County, Colorado, comprising the proposed Unit Area.

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 the "D" sand formation constitutes a common source of supply of oil and gas underlying the Zorichak Field, Morgan County, Colorado; and that the Zorichak Unit Area, as set forth in the Unit Agreement presented by Applicant, consists of a portion of said Zorichak Field, and includes the following described lands, to-wit:

Township 2 North, Range 55 West, 6th P.M.
Section 10:	S½SW¼, SW¼SE¼
Section 15:	E½, E½NW¼

4. That said Unit Agreement is necessary to increase the ultimate recovery of oil and gas from the Zorichak Unit Area, and should therefore be approved as being in the public interest for conservation.

5. That the plan of operation submitted by Applicant proposes the injection of water into the "D" sand formation underlying said Zorichak Unit Area through the following input wells:

WI-1.	Anschutz Oil. Co., Inc. No. 2 Atkinson, SW¼SE¼, Section 10, Township 2 North, Range 55 West
WI-2.	Texaco, Inc. No. 4 Forbes-Marick (outside Unit Area), NW¼NW¼, Section 15, Township 2 North, Range 55 West
WI-3.	South Texas Development Co. No. 4A-15 Government, SE¼SE¼, Section 15, Township 2 North, Range 55 West

and that such plan of operation will prevent avoidable waste of oil and gas; and that the correlative rights of all parties in said Zorichak Unit Area will not be adversely affected and will be reasonably protected under such a program; and that in the interest of securing the greatest ultimate recovery of oil and gas from said pool, the prevention of waste and protection of correlative rights, this application should be granted.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the following rules and regulations shall apply hereafter to the lands set forth in this order, in addition to other applicable rules and regulations and orders of the Commission, if any, heretofore adopted and not in conflict herewith:

Rule 1. The Zorichak Unit Area as set forth in the Unit Agreement entered into the 1st day of August 1963, is comprised of the following described lands in the Zorichak Field, Morgan County, Colorado, to-wit:

Township 2 North, Range 55 West, 6th P.M.
Section 10:	S½SW¼, SW¼SE¼
Section 15:	E½, E½NW¼

Rule 2. Said Zorichak Unit Agreement providing for unit operations of the "D" sand formation underlying the Unit Area herein defined, is hereby approved.

Rule 3. Applicant's plan for injection of water into the "D" sand formation underlying said Zorichak Unit Area through the following input wells is hereby approved:

WI-1.	Anschutz Oil. Co., Inc. No. 2 Atkinson, SW¼SE¼, Section 10, Township 2 North, Range 55 West
WI-2.	Texaco, Inc. No. 4 Forbes-Marick (outside Unit Area), NW¼NW¼, Section 15, Township 2 North, Range 55 West

WI-3.

South Texas Development Co. No. 4A-15 Government, SE¼SE¼, Section 15, Township 2 North, Range 55 West

and the South Texas Development Company is authorized to inject water into said reservoir through injection wells in such quantities as shall be reasonably deter-mined by Applicant to best achieve the maximum recovery of oil without waste.

Rule 4. In the event that it becomes necessary in the future to convert additional producing wells to input wells; to plug and abandon certain wells in the Unit Area, or to drill additional producing or injection wells as dictated by developments in the course of the operation of the water flood, the Unit Operator is authorized to make such changes in the operation of the project as may be required to facilitate the efficient development thereof, subject to approval of the Director.

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, rules and regulations.

ORDERED this 21st day of April 1964.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By William R. Smith, Secretary