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 GOLDEN SPIKE FIELD, CHEYENNE COUNTY, COLORADO	) ) ) )	CAUSE NO. 214 ORDER NO. 214-3

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on June 27, 1983 at 9:00 a.m., in Room 110, State Centennial Building, Denver, Colorado, after giving Notice of Hearing as required by law, on the application of Lewis & Clark Exploration Co., for an order to delete Section 2, Township 16 South, Range 45 West, 6th P.M. from the spaced area as established by Order No. 214-1 and make said section subject to the general rules and regulations of the Commission, or in the alternative, to grant an exception to the permitted well location as provided for in Order No. 214-1 and allow a well to be drilled in the SE1/4SE1/4 Section 2, Township 16 South, Range 45 West, 6th P.M.

FINDINGS

The Commission finds as follows:

1.      Lewis & Clark Exploration Co., as applicant herein, is an interested party in the subject matter of the above-referenced hearing.

2.      Due notice of the time, place and purpose of the hearing has been given in all respects as required by law.

3.      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.

4.      On May 20, 1969, the Commission issued Order No. 214-1 which established 80-acre drilling and spacing units for the production of oil from the Mississippian formations underlying certain lands in the Golden Spike Field, Cheyenne County, Colorado.  The units consist of the E1/2 and W1/2 of each quarter section with the permitted well location in the center of the NE1/4 and SW1/4 of each quarter section, with a tolerance of 150 feet for topography, surface hazards or irregularity.

5.      Evidence presented at the hearing indicates that subsequent drilling and development in the spaced area of the Golden Spike Field has established the limits of the common source of supply of oil from the Mississippian in the area towards Section 2, Township 16 South, Range 45 West, 6th P.M., and that drilling and development in said Section 2 would be in a separate common source of supply.  Therefore, in order to promote such development, Section 2, Township 16 South, Range 45 West, 6th P.M. should be deleted from the spaced area as established by Order No. 214-1 and said section made subject to the general rules and regulations of the Commission.

ORDER

NOW, THEREFORE, IT IS ORDERED, that Section 2, Township 16 South, Range 45 West, 6th P.M. is hereby deleted from the spaced area of the Golden Spike Field and is no longer subject to the provisions of Order No. 214-1.  The lands remaining in the Golden Spike Field, Cheyenne County, Colorado and subject to the provisions of Order No. 214-1 are described as follows:

Township 16 South, Range 44 West, 6th P.M.

Sections 6, 7, 18 and 19

Township 16 South, Range 45 West, 6th P.M.

Sections 1, 11, 12, 13, 14, 23 and 24

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.

ENTERED this 20th day of July, 1983, as of June 27, 1983.

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
	By	Frank J. Piro, Secretary