BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO
IN THE MATTER OF THE INVESTIGATION TO TAKE MEASURES TO PREVENT WASTE OF OIL AND GAS IN THE ARMSTRONG FIELD, LOGAN COUNTY, COLORADO	) ) ) )	CAUSE NO. 51 ORDER NO. 51-1

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on December 1, 1954, at 10:00 a.m., in Room 704, State Capitol Annex, 14th Avenue and Sherman Street, Denver, Colorado, after notice of hearing as required by law, upon the application of the British-American Oil Producing Company for an order from the Commission for authority to dually complete its No. 1 Segelke well, located in the Northeast Quarter of the Northwest Quarter of the Northeast Quarter (NE¼NW¼NE¼) of Section Twenty-six (26), Township Eleven (11) North, Range Fifty-three (53) West of the 6th P.M., Armstrong Field, Logan County, Colorado, and to commingle the production therefrom in the well bore.

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 and the rules and regulations of this Commission.

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 of an oil and gas lease which covers, among other lands, the Northeast Quarter of the Northwest Quarter of the Northeast Quarter (NE¼NW¼NE¼) of Section Twenty-six (26), Township Eleven (11) North, Range Fifty-three (53) West of the 6th P.M., Armstrong Field, Logan County, Colorado; and that it has drilled its No. 1 Segelke well in said ten (10) acre tract, and that said well is now producing from the "J" Sand of the Dakota Series.

4.      That in the drilling of said well, the "O" Sand Formation was encountered at a depth of Five Thousand Six Hundred Eight (5608) feet; and that said well is now producing from the "J" sand formation through casing perforations at a depth of Five Thousand Four Hundred Ten (5410) feet to Five Thousand Four Hundred Sixteen (5416) feet; that said well is now capable of producing from the "J" sand formation and from the "O" sand formation; and that quantities of such production will not justify the drilling of an additional well.

5.      That all available geological and engineering data concerning the said No. 1 Segelke well indicate that said well can be dually completed by perforating the casing opposite the "O" sand formation between the approximate depths of Five Thousand Six Hundred Seven (5607) feet to Five thousand Six Hundred Nineteen (5619) feet; and to permit the oil from the "J" sand formation and the oil from the "O" sand formation to be commingled in the well bore, and to be produced simultaneously.

6.      That the granting of petitioner's application, 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 completion and commingling.

ORDER

IT IS THEREFORE ORDERED, that the following rules and regulations shall apply hereafter to the No. 1 Segelke well located in the Northeast Quarter of the Northwest Quarter of the Northeast Quarter (NE¼NW¼NE¼) of Section Twenty-six (26), Township Eleven (11) North, Range Fifty-three (53) West of the 6th P.M., Armstrong Field, Logan 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.    That applicant, the British-American Oil Producing Company, is hereby authorized and granted the right to dually complete its said No. 1 Segelke well by perforating the casing opposite the "O" Sand Formation between the approximate depths of Five Thousand Six Hundred Seven (5607) feet and Five Thousand Six Hundred Nineteen (5619) feet; and to permit the oil from the "J" sand formation and the oil from the "O" Sand Formation to be commingled in the wellbore, and to be produced simultaneously.

Rule 2.    That similar dual completions and commingling in one well bore in other wells in the Armstrong Field may be approved and authorized by this Commission upon application to said Commission, as provided by the rules and regulations of the 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 1st day of December, 1954, by the Oil and Gas Conservation Commission of the State of Colorado

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