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 NUGGET FIELD, WASHINGTON COUNTY, COLORADO	) ) ) )	CAUSE NO. 134 ORDER NO. 134-2

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on November 19, 1959, at 10 a.m., in the Pine Room of the Albany Hotel, Denver, Colorado, after publication of Notice of Hearing as required by law, on the application of the Ancora Corporation for an order excepting that certain bench of the "D" sand formation commonly referred to as the D-4 sand; from Order No. 134-1, issued September 3, 1959, pertaining to the Nugget Field, Washington County, Colorado, insofar as same covers the SE¼ of Section 20, and the NE¼ of Section 29, Township 1 South, Range 56 West, 6th P.M., and for a further order authorizing applicant to drill a test well for oil and gas at a location described as the NE¼NE¼NE¼ of Section 29, Township 1 South, Range 56 West, 6th P.M., Washington County, Colorado

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 testimony presented at the hearing indicates that that certain bench of the "D" sand formation known as the D-3 sand (referred to as the D-4 sand in above application) should be removed from the provisions of Order No. 134-1, issued September 3, 1959, in the Nugget Field, Washington County, Colorado, insofar as it pertains to the SE¼ of Section 20 and the NE¼ of Section 29, Township 1 South, Range 56 West of the 6th P.M., Washington County, Colorado.

4.      That an exception to Rule 317 of the Rules and Regulations of the Oil and Gas Conservation Commission of the State of Colorado should be granted for a well to be drilled in the NE¼ NE¼ NE¼ of Section 29, Township 1 South, Range 56 West, 6th P.M., Washington County, Colorado; however, if a commercial well is drilled on the location set forth above instead of on a location as provided in said Rule 317, the Commission should, at the request of interested persons, and after notice and hearing, take such action as will offset any advantage which the person securing the exception may have over other producers by reason of the drilling of the well as an exception.

ORDER

NOW, THEREFORE, IT IS ORDERED, that the following rules and regulations shall be, and the same ere hereby adopted for the "D" sand formation of the Nugget Field, Washington County, Colorado:

Rule 1.    That bench of the "D" sand formation known as the D-3 sand is hereby removed from the provisions of Order No. 134-1, insofar as it pertains to the Southeast Quarter (SE¼) of Section Twenty (20) and the Northeast Quarter (NE¼) of Section Twenty nine (29), Township One (1) South, Range Fifty-six (56) West of the 6th P.M., Washington County, Colorado.

Rule 2.    An exception is hereby granted for a well to be drilled in the Center of the Northeast Quarter of the Northeast Quarter of the Northeast Quarter (CNE¼ NE¼ NE¼) of Section Twenty-nine (29), Township One (1) South, Range Fifty-six (56) West of the 6th P.M., Washington County, Colorado; however, if a commercial well is drilled on the location set forth above instead of on a location as provided in Rule 317 of the Rules and Regulations of the Oil and Gas Conservation Commission of the State of Colorado, the Commission shall, at the request of interested persons, and after notice and hearing, take such action as will offset any advantage which the person securing the exception ms have over other producers by reason of the drilling of the well as an exception.

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