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 WATTENBERG GAS SPACED AREA, ADAMS AND WELD COUNTIES, COLORADO

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CAUSE NO. 232

 

ORDER NO. 232-26

 

REPORT OF THE COMMISSION

 

This cause came on for hearing before the Commission on April 19, 1982 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 Fuel Resources Development Co., which was amended, for an order establishing the W½ Section 9, Township 1 North, Range 66 West, 6th P.M., as the drilling and spacing unit and allowing a well to be drilled in the SW¼ of said Section 9.  However, it was further requested that the Commission permit Fuelco to drill and develop the unit and not require the parties having leasehold and working interests in the NW¼ of said Section to contribute pro rata to the costs of drilling and completing said well, or permit such parties to participate pro rata in the revenue therefrom.

 

FINDINGS

 

The Commission finds as follows:

 

1.      Fuel Resources Development 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 November 17, 1970, the Commission issued Order No. 232-1 which established 320-acre drilling and spacing units for the production of gas and associated hydrocarbons from the "J" Sand underlying lands in the Wattenberg Gas Spaced Area.  The units consist of the E½ and W½ or the N½ and S½ of each section.  The area was expanded by subsequent orders and by Order Nos. 232-20 and 232-23, an additional well is allowed to be drilled on each 320-acre unit.

 

5.      The well location in the SW¼ Section 9, Township 1 North, Range 66 West, 6th P.M., is in accordance with said orders in Cause No. 232, and can be approved administratively, and being the first location in the section, Applicant can also designate the W½ of said Section 9 as the drilling and spacing unit, and no further action is required by the Commission.  Therefore, the application should be denied.


 

ORDER

 

NOW, THEREFORE, IT IS ORDERED, that the application filed by Fuel Resources Development Co., on March 2, 1982, and amended on March 19, 1982, is hereby denied.

 

ENTERED this 14th day of May 1982, as of April 19, 1982.

 

OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

 

 

By 

Frank J. Piro, Secretary