BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

 

 

IN THE MATTER OF THE PROMULGATION )

AND ESTABLISHMENT OF FIELD RULES  )    CAUSE NO. 351

TO GOVERN OPERATIONS IN THE ROCK  )

CREEK FIELD, YUMA COUNTY, COLORADO    )    DOCKET NO. ____

 

 

VERIFIED APPLICATION

 

 

     COMES NOW, the Applicant, J-W Operating Company, by and through its attorneys, Poulson, Odell & Peterson, LLC, and respectfully petitions the Oil and Gas Conservation Commission of the State of Colorado as follows:

 

I

 

     Applicant is the operator of certain oil and gas leases and is acting for and on behalf of itself and certain of the owners of oil and gas leasehold interests within the Rock Creek Field, Yuma County, Colorado.

 

II

 

     In Cause No. 351 by Order No. 351-1, the Commission established 160-acre drilling and spacing units for the production of gas and associated hydrocarbons from the Niobrara Formation underlying the following described lands in the Rock Creek Field, Yuma County, Colorado:

 

          Township 5 North, Range 46 West, 6th P.M.

          Section 19:  All

          Section 20:  All

          Section 29:  All

          Section 30:  All

          Section 31:  All

 

          Township 5 North, Range 47 West, 6th P.M.

          Section 25:  All

          Section 36:  All

 

Said Order provided that said drilling units shall consist of one hundred sixty (160) acres, and each such drilling unit shall consist of a quarter section, according to the governmental survey thereof, and that the permitted well for each such drilling unit shall be located no closer than 900 feet from the boundaries of the quarter section upon which the well is located. The Order further provided that the then presently producing well or wells capable of producing shall be the permitted wells for the units upon which each well is located.

 

III

 

     In Cause No. 351 by Order No. 351-2, the Commission reaffirmed Order No. 351-1.

 

 

 

 

 

IV

 

     In Cause No. 351 by Order No. 351-3, the Commission expanded Order No. 351-1 to add the following additional lands to the spaced area for the Rock Creek Field:

 

          Township 5 North, Range 46 West, 6th P.M.

          Section 17:  All

          Section 18:  All

          Section 32:  All

          Section 33:  All

 

          Township 5 North, Range 47 West, 6th P.M.

          Section 23:  All

          Section 24:  All

          Section 26:  All

 

The Commission further found in Order No. 351-3 that one well is insufficient to adequately drain the gas and associated hydrocarbons within the Rock Creek Field and authorized the drilling of a second well upon each 160-acre drilling and spacing unit which said additional well was to be located in the diagonal offset quarter-quarter section from the existing well and no closer than 600 feet to the boundaries of said quarter-quarter section.

 

V

 

     Subsequent drilling and production operations in the area spaced in Cause No. 351 have given geological and engineering evidence to the effect that two wells will not in some cases efficiently and economically drain an area of 160 acres within the Rock Creek Field. In order to efficiently and economically drain the 160-acre drilling and spacing units within the Rock Creek Field, it is necessary that this Commission grant an order allowing  the drilling of two additional wells within each said 160-acre drilling and spacing unit. Said additional well or wells shall be located in any undrilled quarter-quarter section no closer than 600 feet from the outer boundary of the 160-acre drilling and spacing unit.

 

VI

 

     In order to prevent waste, to protect correlative rights, to ensure proper and efficient development of the Rock Creek Field and to assure the greatest ultimate recovery of gas and associated hydrocarbons from the Niobrara Formation, Applicant requests as follows. After notice and hearing as provided by law, for the Commission to:

 

(1)  issue its order allowing the drilling of an additional two wells upon each 160-acre drilling and spacing unit encompassed within the Rock Creek Field area; and providing

 

(2)  that the additional well or wells be located upon any undrilled quarter-quarter section within the spacing unit; and further providing

 

     (3)  that any well or wells drilled on a drilling and spacing unit subsequent to the issuance of this Order be located no closer than 600 feet to the outer boundaries of said unit.

 

VII

 

     Applicant states to the best of its information and belief that the "interested parties" and the owners as defined in the Oil and Gas Conservation Act of the State of Colorado and the Rules and Regulations of this Commission are listed by name and address on Exhibit "A" attached hereto.

 

     WHEREFORE, Applicant respectfully requests that this matter be set for hearing by the Commission; that notice thereof be given as required by law; and that upon such hearing this Commission issue its order granting this Application as requested herein. Applicant further requests that the Commission in its order grant such other provisions as the Commission may find to be necessary or desirable in the cause.

 

     DATED this ___ day of April, 2003.

 

                             Respectfully submitted,

 

                             J-W OPERATING COMPANY

 

 

 

 

                             By:________________________________

                                William G. Odell, Esq.

                                Poulson, Odell & Peterson, LLC

                                1775 Sherman Street, Suite 1400

                                Denver, Colorado  80203

                                (303) 861-4400

 

 

Applicant's Address:

 

J-W Operating Company

Post Office Box 226406

Dallas, Texas  75222-6406

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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