BEFORE THE OIL AND GAS CONSERVATION COMMISSION

OF THE STATE OF COLORADO

 

IN THE MATTER OF ALLEGED VIOLATIONS OF THE                    )           CAUSE NO. 1V

RULES AND REGULATIONS OF THE COLORADO OIL                 )

AND GAS CONSERVATION COMMISSION BY                                )

ENCANA OIL & GAS (USA) INC.,                                                     )           ORDER NO. 1V-243

GARFIELD COUNTY, COLORADO                                                  )          

                                   

ADMINISTRATIVE ORDER BY CONSENT

 

FINDINGS

 

1.  On November 18, 2002, Colorado Oil and Gas Conservation Commission (“COGCC”) staff received a complaint from a representative of the Grass Mesa Homeowners Association regarding use of the Grass Mesa Hill Access Road by EnCana Oil & Gas (USA) Inc. (“EnCana”).  The complaint stated that two bobtail tank trucks used the Grass Mesa Hill Access Road to access gas well operations on Grass Mesa at 7:09 a.m. on Sunday November 17, 2002 in violation of the approved “modified Access and Transportation Plan”.  EnCana acknowledged the incident.

 

2.  An Administrative Order by Consent (“AOC”) defining how the Access and Transportation Plan would be enforced was accepted by EnCana on October 18, 2002 and adopted by the Commission on December 2, 2002.  The AOC stated that if EnCana is responsible for another incident under the Commission’s authority that is in violation of the Access and Transportation Plan, COGCC staff “shall issue a Notice of Alleged Violation and an Administrative Order by Consent, along with a recommended fine”.

 

            3.  In accordance with the above referenced order, COGCC staff issued a Notice of Alleged Violation (“NOAV”) to EnCana for the incident on November 18, 2002.

 

            4.  Per return receipt, EnCana accepted the NOAV on November 21, 2002.

 

            5.  EnCana submitted a response to the NOAV by letter dated November 25, 2002.  The letter described the action EnCana had taken to ensure compliance with the Access and Transportation Plan and stated their intent to comply with the plan in the future.

 

            6.  EnCana should be found in violation of Rule 602.b. for failure to comply with the Access and Transportation Plan and the Administrative Order by Consent adopted by the Commission on December 2, 2002.

 

7.  Rule 523. specifies a base fine of One Thousand dollars ($1,000) for each violation of Rule 602.

 

8.  A total monetary penalty of One Thousand dollars ($1,000) for violation of Rule 602.b. should be assessed against EnCana for this violation in accordance with Rule 523.a. 

 

ORDER

 

            NOW, THEREFORE IT IS ORDERED, that EnCana Oil & Gas (USA) Inc. shall be found in violation of Rule 602.b., for failure to comply with the approved Access and Transportation Plan for access to Grass Mesa gas operations in Township 6 South, Range 93 West, 6th P.M.    

 

            IT IS FURTHER ORDERED, that EnCana Oil & Gas (USA) Inc. shall be assessed a total fine of One Thousand dollars ($1,000) for the above-described rule violation, payable within thirty (30) days of the date the order is entered by the Commission.

 

            IT IS FURTHER ORDERED, that EnCana Oil & Gas (USA) Inc. shall abide by the modified interim Access and Transportation Plan including the additional stipulations contained in the staff response letter dated September 27, 2002.

 

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.

 

                        RECOMMENDED this                  day of December, 2002.

 

                                                                         

                                                                          OIL AND GAS CONSERVATION COMMISSION

                                                                          OF THE STATE OF COLORADO

 

 

                                                                          By                                                                                                                                                                                                                   Morris Bell, Hearing Officer

Dated at Suite 801

1120 Lincoln St.

Denver, Colorado 80203

December 17, 2002

 

                        AGREED TO AND ACCEPTED THIS _________DAY OF DECEMBER, 2002.

 

                                                                        ENCANA OIL & GAS (USA) INC.

 

 

                                                                        By ____________________________________________

 

 

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