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 IGNACIO-BLANCO FIELD, LA PLATA COUNTY, COLORADO	) ) ) )	CAUSE NO. 112 ORDER NO. 112-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on July 22, 1958, at 10 a.m., in Room 330 State Office Building, Denver, Colorado, after publication of Notice of Hearing and receipt. of appropriate waivers of service as required by law, on the application of the Amerada Petroleum Corporation for an order granting an exception to the spacing pattern established for the Mesaverde formation, for its Harmon Dakota-Morrison Unit Well No. 1, and further granting permission to dually complete subject well for production of gas from both the Mesaverde and Dakota-Morrison formations.

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 is the owner and operator of the Harmon Dakota-Morrison Gas Unit Well No. 1, located 2018 feet south of the north line and 1960 feet west of the east line, Section 17, Township 33 North, Range 8 West, N.M.P.M., La Plata County, Colorado, and that said well is now producing from the Dakota-Morrison formation.

4.      That an exception to the established spacing pattern for the Mesaverde formation should be granted for said Harmon Dakota-Morrison Unit Well No. 1, previously drilled and producing from the Dakota-Morrison zone, and that said well should be the permitted Mesaverde well for the drilling and spacing unit designated as the East Half (E½) of Section Seventeen (17), Township Thirty-three (33) North, Range Eight (8) West, N.M.P.M., La Plata County, Colorado.

5.      That in the drilling of said well, the top of the Mesaverde formation was encountered at a depth of approximately 4860 feet, and the top of the Dakota formation was encountered at a depth of approximately 7743 feet; and that said well is now producing from the Dakota-Morrison zone; and that said well is also capable of producing from the Mesaverde formation through casing perforations at an interval of 5450 to 5610 feet.

6.      That all available geological and engineering data concerning the Harmon Dakota-Morrison Unit Well No. 1 indicate that said well can have dual zone completion by perforating at the above interval opposite the Mesaverde formation, setting a Baker production packer with an Otis side-door choke, and then producing the Dakota-Morrison through the tubing and the Mesaverde through the annulus, independent and separate without commingling the gas.

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 Harmon Dakota-Morrison Gas Unit Well No. 1, located 2018 feet south of the north line and 1960 feet west of the east line, Section Seventeen (17), Township Thirty-three (33) North, Range Eight (8) West, N.M.P.M., La Plata 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.    An exception to the established spacing pattern for the Mesaverde formation is hereby granted for said Harmon Dakota-Morrison Unit Well No. 1, and said well shall be the permitted Mesaverde well for the drilling and spacing unit designated as the East Half (E½) of Section Seventeen (17), Township Thirty-three (33) North, Range Eight (8) West, N.M.P.M., La Plata County, Colorado.

Rule 2.    Authority is hereby granted applicant, the Amerada Petroleum Corporation, for dual zone completion of its said Harmon Dakota-Morrison Gas Unit Well No. 1 by perforating the casing opposite the Mesaverde formation between the approximate depths of Five Thousand Four Hundred Fifty (5450) feet and Five Thousand Six Hundred Ten (5610) feet, setting a Baker production packer with an Otis side-door choke, and then producing the Dakota-Morrison through the tubing and the Mesaverde through the annulus, independent and separate without commingling the gas.

Rule 3.    Similar dual completions with independent production from more than one formation in one well bore in other wells in the Ignacio-Blanco Field may be approved and authorized upon application to the Commission, as provided by the Rules and Regulations of this Commission.

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 22nd day of July, 1958.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By  Annabel Hogsett, Secretary