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HomeMy WebLinkAbout20102968.tiff ENERGY COMPANY P.O.BOX 467 GOLDEN, COLORADO 80402 December 10, 2010 City Clerk's Office Keenesburg Town Hall 140 South Main Keenesburg, Colorado 80643 ✓ Weld County Clerk& Recorder P.O. Box 459 Greeley, Colorado 80632 Re: Technical Revision No.41 Change Approved Post-Mining Land Use—Partial Keenesburg Mine Keenesburg, Colorado Ladies and Gentlemen: In accordance with the rules and regulations governing coal mining and reclamation operations in the State of Colorado,public notice and a public review period is to be provided when a Technical Revision to an existing Permit is proposed. Coors Energy Company has submitted its Technical Revision No. 41, requesting approval of a change in the post-mining land use for a portion of the land at the Keenesburg Mine near Keenesburg, Colorado. This change is to accommodate the drilling of oil/gas wells on sites within the Permit area. The change will only impact the well sites and the access corridor to the sites. Notice has been placed in a newspaper closest to the operations site(the Ft. Lupton Press) and a copy of the proposed Technical Revision is enclosed. Please place this letter and the enclosed documents in a location where they can be made available to members of the public who wish to review the contents. Thank you for your assistance. Sincerel Donald W. MacDonald Manager, Energy Services enclosures 3oV.c RzAhLitJ U: pu PL 2010-2968 I d \ az,t l0 • ENERGY COMPANY PO.BOX 467 GOLDEN, COLORADO 80402 November 1, 2010 Mr.Robert Zuber Division of Reclamation, Mining& Safety Department of Natural Resources 1313 Sherman Street,Room 215 Denver, Colorado 80203 Re: Technical Revision No 41 Change to Approved Post-Mining Land Use—Partial(4) Keenesburg Mine Site Permit No. C-1981-028 • Dear Mr.Zuber: With the submittal of this Technical Revision No. 41, Coors Energy Company(CEC) is requesting additional consideration by the Colorado Division of Reclamation Mining and Safety(DAMS)for revisions to the approved post-mining land use for certain lands under Permit C-1981-028. This request is tendered following the receipt by CEC of notice from Petroleum Development Corporation(PDC), as the owner of the oil and gas mineral interests beneath the Keenesburg Mine site, specifically Section 25. PDC is indicating that they intend to drill and complete fourteen(14) additional wells within the Permit area in the coming year. The wells will be drilled from two major sites/pads (seven from each pad)by "directional" means, thus minimizing the surface disturbance across the Permit area. The pads re (SL-04) situated predominantly on lands previously released from the Permit under a Phase III application which was approved on January 8, 2010. However, the design of the pad sites will include a small (approximately 0.01 acre) portion of Area 29, hence the submittal of this TR 41. Once these fourteen wells are completed, the long-term use for the land parcels (specifically the well sites and the access corridors), can no longer be considered"rangeland". Therefore, CEC seeks the Division's concurrence, by the approval of this Technical Revision, for a revised post-mining use designation of "industrial". Enclosed are copies of documents obtained from PDC which: 1) demonstrate ownership and control of the oil and gas interests under these lands(PDC letter dated 8/31/10); 2) confirm PDC's intent to drill (a copy of the approved Application for Permit to Drill for each of the 14 wells); 3) provide Location Drawings for the two anticipated well sites, and an Access Road Map. CEC is also submitting: 1) a • revised Industrial Land Use Map of the Keenesburg site as Permit page 124a, to replace the current pages 124a and 124b; 2)a revised Permit page 124; 3)a revised Table of Contents; 4)a revised Volume III Table • of Contents; and 5)a proposed"Public Notice". The notice will be placed in the local newspaper when CEC receives concurrence from DRMS as to format and content. Copies of the Technical Revision 41 Application will be delivered to the Keenesburg Town Hall and to the Weld County Clerk and Recorder's office for public review once approval is received, and concurrent with publication of the Public Notice. CEC believes that the documentation herein submitted is complete and sufficient for the processing of this Technical Revision No.41. However, should there be questions, please contact us at 303 927-3670. Sincer Donald W. MacDonald Manager, Energy Services Enclosures (3 copies) • • ENERGY COMPANY P.O.BOX 467 GOLDEN, COLORADO 60402 November 30, 2010 Mr. Robert Zuber Division of Reclamation, Mining &Safety Department of Natural Resources 1313 Sherm,n Street, Room 215 Denver, Colorado 80203 Re:Technical Revision No.41 Change to Approved Post-Mining Land Use—Partial (4) Keenesburg Mine Site • Permit No.C-1981-028 Dear Mr. Zuber: Following the receipt of your correspondence and concerns with respect to the initial TR-41 submittal, Coors Energy Company(CEC) has consulted with appropriate agencies in Weld County concerning their requirements for oil and gas operations. Based on the response from those agency representatives, CEC is submitting revised pages 124, 125 and 126 for your consideration. (Note:the"spill-over effect"from revising page 124 resulted in the need to submit pages 125 and 126.) We have attempted to succinctly address both your concern(Rule 2.05.05(1)(b)) and the response received from the County with respect to governance of oil and gas operations. If you are in agreement that the changed pages address your concern,then CEC asks that these pages be substituted for the revised page 124 previously submitted. Also, to confirm the informal communication,you were correct in your calculation of the acreage that will lie within the "west pad" that is also in Area 29. The correct acreage is approximately 0.1 (as opposed to the 0.01 indicated earlier). With these embellishments/corrections CEC is in hopes that you will find the TR-41 submittal complete, and be able to approve it for further processing. Again, if there are questions or concerns please contact us at 303 927-3670. Sincerely, Donald W. MacDonald Manager, Energy Services Enclosures(3 copies) COLORADO DIVISION OF RECLAMATION, MINING AND SAFETY • 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567 APPLICATION FORM FOR A REVISION TO A COAL MINING AND RECLAMATION PERMIT This form must be completed and submitted with all requests for minor revisions, as defined in Rule 1.04(73), technical revisions, as defined in Rule 1.04(136), and permit revisions, as defined in Rule 1.04(90). All revisions are to address the requirements of Rule 2.08.4. Three (3) copies of the revision, including maps, must be submitted in order for it to be complete. All revisions are to be formatted so they can be inserted into the permit to replace the revised sections, maps, tables and/or figures, with a revised table of contents, if necessary. The revision submittal date should be printed in the lower right corner of each revision page. A cover letter to the revision should explain the nature of the revision and reference the specific permit sections being revised. For federal mines, a copy of the revision application must be submitted to all agencies on the federal mailing list (except OSM) at the same time the application is submitted to the Division, and proof of distribution must be submitted to the Division along with the application. Copies of revision pages modified during the review process must be distributed in the same manner, along with proof of distribution. Proof of distribution must be submitted prior to implementation of the revision. Permit No.: C - 1981 _ 028 Date: 11 / 01 / 2010 Permittee: Coors Energy Company • Street P.O. Box 467 City: Golden State: CO Zip Code: 80402 _ 0467 Brief Description of Revision: Change to Approved Post-Mining Land Use - Partial (Well Development) Public Notice Attached: Yes X No_ (Required for PRs and TRs) Bond Increase: Yes_ No,X Federal _ Non-Federal x Mine Proposed Change in: Permit Area- Surface Ownership- Disturbed (4-)_ _ 0 . _Acres Private Land (+/-)_ _ 0 ._Acres Permit (+/-)_ _ 0 . _Acres Federal Land (+/-)_ _ 0 ._Acres • Affected (+/-)_ _ 0 . _Acres State Land (+/_)_ _ 0 ._Acres Mineral Ownership- Mineral Private (+/-)_ _ O _Acres Mineral State (+/-)_ _ 0 ._Acres Mineral Federal (+/-)__ _ 0 _Acres Petroleum Development Corporation • August 31, 2010 State of Colorado VIA USPS Certified Mail Division of Reclamation, Mining&Safety, Department of Natural Resources c/o Coors Energy Company Attn: Donald W. MacDonald P.O. Box 467 Golden, Colorado 80402 RE: Verification of Leasehold Ownership Section 25: S/2,T3N-R64W Weld County,Colorado • To whom it may concern: This letter is in support of Technical Revision No.41 that is being submitted by Coors Energy Company to the State of Colorado, Division of Reclamation, Mining and Safety ("DORMS").The purpose of this letter is to confirm Petroleum Development Corporation's ("PDC") ownership of the mineral leasehold estate under the 5/2 of Section 25, Township 3 North, Range 64 West, 6th P.M. in Weld County, Colorado. I have attached a copy of the pertinent 10 pages of the Drilling and Division Order Title Opinion ("DDOTO") dated April 24, 2008,which shows the marketable title ownership of the mineral leasehold in conjunction with the attached L.F. Ranch Lease dated July 2, 1964 (hereinafter the "Lease"). Please note that the Lease does not obtain a Pugh clause and therefore remains 'Held By Production' past its primary term by numerous wells under the 5, 055.64 acres the Lease encompasses. PDC has maintained its leasehold ownership of said Lease and will operate under the rules and regulations of the Colorado Oil and Gas Conservation Commission ("COGCC"). It is our intention to commence operations on the aforementioned lands around April of 2011. Though the DDOTO does not list the anticipated locations for 2011 drilling on its cover page,the DDOTO itself is rendered to show the marketable ownership of the mineral estate in its entirety as it pertains to the lands it encompasses. The addition of well names on the cover page is intended for our internal billing purposes, spacing unit designations and royalty allocations only. It does not affect the depicted . leasehold ownership or rights contained therein. As the opinion represents, PDC is the legal owner of CORPORATE OFFICE: BRIDGEPORT OFFICE: Petroleum Development Corporation Petroleum Development Corporation 1775 Sherman Street,Suite 3000 120 Genesis Boulevard•P.O.Box 26 Denver,Colorado 80203 Bridgeport,West Virginia 26330 (303)860-5800 (304)842-3597 $ • the leasehold estate in question, therefore obtains the right and authority to conduct its anticipated operations therewith. Should you have any further questions in regards to the ownership of the leasehold estate in question, please call me direct at 303-860-5809.Thank you for your time and consideration in this matter. Sincerely, Tyson Johnston Regional Landman tjohnston@petd.com enclosures • • BURNS,WALL, SMITH AND MUELLER, P.C. ATTORNEYS AT LAW 353 EAST SEVENTEENTH AVENUE,SUITE 000 DENVER,COLORADO 00209.1200 TELEPHONE(303)030.7000 April 24, 2008 FACSIMILE(303)830.0708 PETER I.WALL EMAIL,pwif@bwrn.com Petroleum Development Corporation 1775 Sherman Street, Suite 3000 Denver, Colorado 80203 Attention: Carrie Eggleston, Land Administrator DRILLING AND DIVISION ORDER TITLE OPINION Re: Township 3 North, Range 64 West, 6th P.M. Section 25: All • Weld County, Colorado Containing 640 acres, more or less Coors 24-25 (SE/4SW/4) Coors 34-25 (SW/4SE/4) Gentlemen: At your request, we have examined the following: (a) Drilling and Division Order Title Opinion dated January 17, 2008, prepared by Robert P. Messana, Attorney At Law, Fort Collins, Colorado, and directed to Petroleum Development Corporation, covering the S/2 of Section 25, Township 3 North, Range 64 West, 6th P.M. , based upon an examination of a title chain, documents, and other materials described therein, covering the records of the Clerk and Recorder of Weld County, Colorado, for the period of time from inception to May 18, 2007 at 7 :00 a.m. • • JLM • BURNS,WALL, SMITH AND MUELLER, P.C. Petroleum Development Corporation April 24, 2008 Page 2 (b) Runsheet for Abstract of Title covering the S/2 of Section 25, Township 3 North, Range 64 West, 6th P.M. , for the period of time from inception to May 18, 2007, consisting of 18 pages, prepared by LoneTree Energy & Associates LLC, together with copies of various instruments described therein. (c) Runsheet for Abstract of Title covering the N/2 of Section 25, Township 3 North, Range 64 West, 6th P.M. , for the period of time from inception to January 7, 2008, consisting of 52 pages, prepared by LoneTree Energy & Associates LLC, together with copies of various instruments described therein. (d) PDC Well Plat for the subject wells . (e) COGCC GIS On-Line Plat for the captioned lands. (f) COGIS Well Information Scout Card for the Coors Energy • 34-25 well. Based upon such examination and subject to the comments and requirements herein contained, we find as follows : OWNERSHIP Surface: NE/4, NE/2NW/4* of Section 25: Owner Interest Guttersen Ranches LLC All SW/2NW/4**, S/2 of Section 25: Owner Interest Coors Energy Company All • • BURNS,WALL, SMITH AND MUELLER,P.C. Petroleum Development Corporation April 24, 2008 Page 3 Minerals: (except coal) NE/4, NE/2NW/4* of Section 25: Owner Interest Farr Farms Company 1/2 Guttersen & Company 1/2 SW/2NW/4**, 3/2 of Section 25: Owner Interest L. F. Ranch Co. All Royalty: ( .1250000) • NE/4, NE/2NW/4* of Section 25: Owner Interest Farr Farms Company 6. 25% RI ( . 0625000) Guttersen & Company 6.25% RI ( . 0625000) SW/2NW/4**, S/2 of Section 25: Owner Interest L. E. Ranch Co. 12 . 5% RI ( . 1250000) *That part of NW/4 north and east of a line extending diagonally from the NW corner of Section 25 to the center of said Section 25. **That part of NW/4 south and west of a line extending diagonally from the NW corner of Section 25 to the center of said Section 25. • • BURNS,WALL,SMITH AND MUELLER, P.C. Petroleum Development Corporation April 24, 2008 Page 4 Overriding Royalty: NW/4NW/4, SE/4NW/4, s/2 of Section 25: Formations from surface to the top of the J Sand formation: ( .0750000) Owner Interest Spool Holding, LLC 5% ORI ( . 050000) Dean A. Rogers 0. 25% ORI ( . 0025000) MSJC Holdings, LLC 2 .25% ORI ( . 0225000) • Formations below the top of the J Sand formation: ( .0500000) Owner Interest Spool Holding, LLC 5% ORI ( . 0500000) NE/4NW/4 of Section 25: (.0522500) Owner Interest Spool Holding, LLC 5% ORI ( .0500000) Freedom Energy, Inc. 3% of 7. 5% ORI ( .0022500) 41 • BURNS,WALL,SMITH AND MUELLER, P.C. Petroleum Development Corporation April 24, 2008 Page 5 SW/4NW/4 of Section 25: ( .0515000) Owner Interest Spool Holding, LLC 5% ORI ( .0500000) Freedom Energy, Inc. 2% of 7 . 5% ORI ( . 0015000) S/2NE/4, NW/4NE/4 of Section 25: (.0206398) Owner Interest Aceite Energy Corporation 16. 63651% of 2% ORI ( . 0033273) • Spool Holding, LLC 62 . 5% of 2. 5% ORI ( . 0156250) Don B. Sheffield 1. 75% of 7 . 5% ORI ( .0013125) Gibbs Petroleum Corporation 0. 50% of 7 .5% ORI ( .0003750) NE/4NE/4 of Section 25: ( .0658499) Owner Interest Aceite Energy Corporation 16. 63651% of 2% ORI plus 81 . 11349% of 3 . 75% ORI plus 2. 25% of 7. 5% ORI ( . 0354324) Spool Holding, LLC 81. 11349% of 3. 75% ORI (.0304175) • • BURNS,WALL, SMITH AND MUELLER,P.C. Petroleum Development Corporation April 24, 2008 Page 6 Oil and Gas Leasehold: NW/4NW/4, SE/4NW/4 of Section 25: Formations from surface to top of J Sand formation (.8000000) Owner Interest Petroleum Development 100% of 80% WI Corporation ( .8000000) (Gross working interest = 100%) Formations from top of J Sand formation to base of Dakota formations: ( .8250000) Owner Interest • Freedom Energy, Inc. 100% of 82. 5% WI (Gross working ( . 8250000) interest = 100%) Formations below base of Dakota formation: ( .8250000) Owner Interest Aceite Energy Corporation 100% of 82 . 5% WI (Gross working ( . 8250000) interest = 100%) • • BURNS,WALL, SMITH ntvD MUELLER P.C. Petroleum Development Corporation April 24, 2008 Page 7 NE/4NW/4 of Section 25: Formations from surface to base of Dakota formation: (.8227500) Owner Interest Kerr-McGee Rocky Mountain 97% of 82. 5% WI Corporation ( .8002500) (Gross working interest = 97%) Vance B. Riley 1% of 75% WI (Gross working ( .0075000) interest = 1%) John W. Thorn 1% of 75% WI (Gross working ( .0075000) • interest = 1%) Grace Hunt Riley, Trustee 1% of 75% WI of Lena Grace Dorman ( . 0075000) Grantor Trust SW/4NW/4 of Section 25: Formations from surface to base of Dakota formation: ( .8235000) Owner Interest Kerr-McGee Rocky Mountain 98% of 82. 5% WI Corporation ( . 8002500) (Gross working interest = 97%) Vance B. Riley 1% of 75% WI (Gross working ( . 0075000) interest = 1%) • • BURNS,WALL,SMITH AND MUELLER,P.C. Petroleum Development Corporation April 24, 2008 Page 8 John W. Thorn 1% of 75% WI (Gross working ( . 0075000) interest = 1%) Formations below base of Dakota formation: ( .8250000) Owner Interest Aceite Energy Corporation 100% of 82. 5% WI (Gross Working ( . 6250000) Interest = 100%) S/2NE/4, NAP/4NE/4 of Section 25: ( .8543602) Owner Interest Aceite Energy Corporation 62. 5% of 85% WI • (Gross working plus 18. 61349% of interest = 83. 36349%) 87 . 5% WI plus 2. 25% of B0% WI ( .7121180) Walker Energy Operating, Ltd. 16. 63651% of 85. 5% WI (Gross working ( . 1422422) interest = 16. 63651%) NE/4NE/4 of Section 25: (.8091501) Owner Interest Petroleum Development 83.36349% of 80% WI Corporation ( . 6669079) (Gross working interest=63 . 36349%) Walker Energy Operating, Ltd. 16. 63651% of 85.5% WI (Gross working ( .1422422) interest=16. 63651%) 41 • BURNS,WALL,SMITH AND MUELLER, P.C. Petroleum Development Corporation April 24, 2008 Page 9 3/2 of Section 25: ( .8000000) * Owner Interest Petroleum Development Corporation 100% of 80% WI (Gross working ( . 8000000) Interest=100%) *Depth limitations not indicated in Drilling and Division Order Title Opinion dated January 17, 2008. • • • BURNS,WALL,SMITH AND MUELLER, P.C. Petroleum Development Corporation April 24, 2008 Page 19 OIL AND GAS LEASE Form: Producers 88 Rev. (1943) -Texas Date: July 2, 1964 Recorded: July 6, 1964 Book 518, Reception No, 1440221 Lessor: L. F. Ranch Co. Lessee: Mel C. Bedinger Lands Covered: Township 3 North, Range 64 West, 6th P.M. Section 25: All, and other lands • Weld County, Colorado Containing 5, 055. 64 acres, more or less Interest Covered: Full oil and gas mineral interest in captioned lands Term: Ten (10) years and as long thereafter, etc. (held by production) Royalty: 1/8 Rentals: $2, 527 . 82 per year Depository: Greeley National Bank Greeley, Colorado Rentals Paid: Not shown Assignable: Yes Lesser Interest Clause: Yes • - ,YroSugen U Revised (1913)-1'ngn -eels.. ! r0.Ra „�_..:•..n ..,..4...t. '_ur,.i. • OIL, GAS AND MINERAL Lth ira:JIS .r • • TIdC Ac:cr..LtlF.a'A ai de llmlr s ees 2nr1.. sees ..._sees ..._.... :i,y n. sees... sees... ._.....__...._.__._._..._.__. . ..,d.tills,.• July heween_.._.....___ --_._.L......F_....Kano!L..l%.4...a...._ci._C41.P.Tadci Co.S:??2Sat1.GA._____________________ whe.p ysr•1(fheaddrev Is — GralleS, ' Lessor(whether out nr nor.).and __flea C. i1edial ear.. P o F1as...5A3 _ .sees_._...____ s.. .._ ro aX.e...-.a 0-1_._.., C I.lessor,In ea•,Ideranen of.__.:_....._._t Ha. and._.(ors.' __Dollars 'CS.10,3)0_ 11 hand paid.of the royalties herein provided.and of the asrecmen4 Of Les;nc herein contained.hereby`nd&leash and lelt ex- clusively.ively link,I.rnet far the summer of lralin(.by tiny method or methodic ter to:m:Ul-w or etmalures Iurrnlgallo& aeplorlm,L peoapeclllf. drllpht And mining for end produuted on.Can,And all other minerals.laying pile hues.bulldlnn emits.power a(allon&telephone lino.end other alruetures thereon, �! tun.stye,lake care et.treat.transport.and awn old product&and Iwusing I4 a ployee& and fur dredging and Maintaining amila ronalnlelln ends elgfil•Ming'roads end bridge&(Ind,In general for all appliance.or alnicmree,equipment.servitudes end privileges i which maY be neemary. ti ten or Convenient In connection with any such operations conducted by Lessee the:Mn. tiro following Or scribed land In the courtly o• _lie 1tt..__._..__-_._____-_._,slat.of ell aal'aSatla Tovnshin 3 North, Range 62 ';teal Township !t North, Range 63 West _ v See. 21: rrjgl'r"r --Soo. 18: E Township 3 North, Range 63 West Tovmship 2 North, Range 63 'last ✓Seo. ,6: ST,krf/}r, S':irrn3;. EiSWi:, `Seo.. 8: Si, and 313O124 & : 12t .:See. 8t 2 a Township 3 North, Rangs 64 ':lest •(✓e,eaa 18: Sx Lot 1 (37141.47/41, ltr?Isr-g, S3eki:?», Epa.l>r, & Lot 2 (W s:lh) rSe0a. 2! Si VSee. 12: Si - See. 2S: N:: •8eo..1.3: All r%SeC. 30f Lots 1 & 2 (Wb.I1), t3K41k, & w1Ei :Seo . 241 Vi} & 3 • ✓Sea 32: SR .Sao. 25s dui >". ter e,.purpose of relgulating the yenta!payments for which overthrow hereinafter is made:said land shah be treated o£omprbing___5..055.._611_sera.whether II actually tenoning awn Iwo. • 2."prMe2.Stubject t to rho other her tiereMlonn es contained. this Irma shall he for a torn of..._.. ten____ __.___311•34_.__Yter train th1 Milt (alis- g L gas er oiler mineral is produced team Pm lain htrtln,bove described. a.The royalist.to be paid Lamar are:(al on oil.one-elghth al that produced marl saved I.o.0 call lam'.the mine to be delivered el the wells or to the credit of Levee Into the pipe line to which the wens may be connected;levee may Isom lime to thaw purchase pity royalty oil ht Its ewubn.1y houet the Market price thereof prevailing for oil of like grade rcIncluding and In the field where produced on the date of pubawi (Ill on gas. oe.inplwej •gin,or other Wseons nrhwanCe piodurN treat said lend end sold or used off HM prelnlw or used in the manufacture of gasoline or diet pa hirl Ili• markesuch value at Me well at ighth at de sot soil or used.provided hat en gas sold et the well the roY L shall oneelghilt of the amount teeberd fom h;and i�ve1all other udnan4 Mined and annered.one-tenth either In kind or value at the well or tithe.at Lessee's election.ea-Vt that e sulphur rhe royalty shell on Wry cents Ispel per long bin. Lenore ll Sieve free Ma of till gas.coal.wood and walla from said lard.annpl wrier rom Leaaya lls.for ena all atene hereunder,and the royalty on oil, computed sand coal.Wall be m lied alter dedueg m ug tiny toed. leant:Wall lave the privilege at het risk and capon'.of mind leas from any Co ca'well on land for Herod odd Inside lights In the principal dwelling thereon out W DU surplus Dos not needed 1er cperolwns hereunder. 4.U operalio a for drilling are riot commenced on maid land on or Wore tho.__2nCL_duy ones.—_...7.111.(('_ 17.415.—pre lease shall then terminate as to both parties claw an or bolero such date Lowe*shall pay or tender to lessor m to the Credit w edit of Lo r In On �r3elav (iota .—_ --_6rfleere t• banal___. _�..___�.._h able he - ---..a.... (whshThuNt Dodd 14 suRueon Malt continue as the depositary(or yell¢ptals V•lyeblp hereunder rp„anJlns of,erlrie(11 gnnMdp u:Intel g,nel yt a1 14r rentals)h,.sun*of._:E.le-.too.nsan0.a_f.k*re__hunt;rnli_Lnrl ts•;.ant✓-.sasan_nnd._n.P2n7.7,Q0_=-=-=_none. • (x..252.7.,32 1 (herein called ntal.) weld .hell ca the preen-rise of deferring commencement of peonlaa for drilling for period of twelve(IS)men:n.fn like manner nd upon like payments or tandem pnnuarty te cenumnnmenl of operation,for drilling may be further''toned for successive periods of twelve(Ill Menthe each during the primary horn. ,a Payment or tender of rentals way be made by the check or dale of leaser°railed or delivered to i.e...,or to said bank or Its sonneteer on or Loran arch date. Any charge wade b,nreh hank for euchring or otbmwhe In snap erection with its ice.as defadmry doll be borne by lessot, 11 suck bank for:my 'esmr Ilnnkl loud fall. liquidate,or lot say roman loll et ranee to accept rentals.Lemur stall deliver to lame a wooer recordable inurement hauling l sOitr Junk to .Iva usb •sles, end, le that bend• tame shell not be held In default for failure to make such pament or tender of metal.renlew awl until It shall hey.,tailed for fifteen (171 ley.biter I M mat re,ardeble Malcontent to pay lender eels rentals a Liner or to the substitute bank.The don,cash payment h•rawidentioo for td, ten according to Ire Lams wend hall not be incest.,es mere rental ter a period. Lena ay r , time eswore l deliver to Lessor or pure o f ec,.ntrtions reinter terminate olea es ccovarliet WWI I or any o rrerti.ns,of it,.above described b premises well thereby surrender this lease as to,u:h poi w surrender dt nhlleatban Si to the nag.m lrrdmirrail. Including any obligation Is offset producing wells anndthereafter any rentals payable hereunder shall be deduced M the pmrrorden that he surface nereage covered hereby le reduce by id ..4av or i mu.u1J nee haw be,1Y,rd i.:mole than an.Leaser.laved^4Y 'MY the rentals herein provided b llw leans jointly mall sure time a the layers shall deliver to levw dabe egnnrunl In writing, specifying to hen,and Inwhat • tam Pala ,••I eta shall be twirl; or. el L,-saes ardor.paid morbid hod, .' a be pal len t.xru:a severally In the pro:isrttiui iii width their regretters Interests amide el record as or Ike deir r the Ise.or of f n�y> u�u�n�bngcen:date as diacluaed by the Mil a rtifrntern In ail ninthtt In lessee's possession.e,VVlemndtd by evldud•PI omegas al in ownership furnished Lessre In o ,Nance with sin provblons of I•aragrap Paragraph Ix hereof. The Lehner of Leaver properly du way rentals h any eUinhfat Lessor owning perly gilea than the full ndn.ral Interest shall not Invaliate or attest this case Insofar a It boron red Interest of other Leann la whom renlab S_- 5.If prior to discovery of oil gas or other mineral no meld lend Leven Would,trill a dry hole.or hotre thereon.nr If alter dlemvery of an.gin o other mineral all well.thereon ehoold eveoror Invaluable sal IMdteme for;MY cause. nab less, shall not terminals it (4.404 tonmmn.e we eli.vrr fro I additional dollng or for revrorkin:,wl:tin:Iaty(PI)days rl,erenher or ill a be.Within pre brine.. lean)commences nr resoluteIbe payment or ender of n..1f on or before the r:tar ',sing date Peet nurlau Offer VII' sheer of slobs lath lays how date at motpleula, . halt'or ceasallon el paid.Clan. C at the nxWc.n.nt of the ail lend c.'prbe of proctoring il.Co or other mineral.but laws liar lim- rammed o;h r.dam for Jnldnt o_ r an bin liar __ ruin thirty'(gap r ear h+styes. and II Ih- tier min. the lean shad o m 1. Iii for L.tnyea . so het slier es s . e m eolalen of n I- pr,_produced n rata I•roiioi nn melt:thy ter o la the production I nn a ult.-.m other .1• re hind bleat her a nil. ems or rill a it p11 Ca n a pglina quantities; 1 however.. Ilan In shell it -.mime:• the serven`bay ItsIho shalopa r any well i Doe dew not • WaciticU,iwweVeL Ihal Lathe aLall not be ol.l{Yn:N lu.Ind 'nay at Its option Produce well widab Jar a�ivid aVaatlnd cnab VI nobs profit. any n .,not g.lens.le greeted the r!f h1 aad .:•I;on I..eonvAPIala Item ends ry •d hereby h any Halton or ImrVn thereat whit other 1.. and ten*, sy a oot:ti e w lands with the a Nn.µ... w halal or •r tooter ether lads. v oan a IA; ru•.lin inualnnrn • of Ill w1 mild a oily re.niv)tied, ore gas Well ,w nod t91 n ienaam or aLs'-lisle,r :shy nr n o atilt three slrbsUrvca.Ihue mill n wills Is be n ,rh',e ai..I s L:ue+may ulr1:;; provided trial swirl oral v wills woe of ;Intl by reat,uwa of I acts t eb rt edible le iL)mne n• totals,.or turn., urn.dent:: lra , :he Ass. Intro In rllhe unit lie ends manner s to term oe nsneeted tract tar mall.wd Isar veto el further that any trait.inciiirlu1 in mot unit et unite r-V.ra;ed only ly . rend.lushintgloat.. tailn,d eight of w a.a • fend Irvin.,oft e.rni• wl:•h r 1 n.eOler titan !s luuu.lr:d I O) (ridlna lath a which arilp loud a, thin minuets fu tea. ..er meet Owlet.. I. lee the elate or vela Urersrl Elam&Wert; Me:murdered gm ednm.ercorned,': r laurldgt within Ito ,1•nrr•moh. P: �C:aw Cif 1e.1 not sec eel of b'1 raid ed sixty he is t+a sloth Imitate arena area: and so earl nvn hnn althe e p arva;onY 1aru Inds far or pfailei. a all lbe f / h ••tif Gin!tales • .4.ruay Le prauribed by Pale or federalltee Talto ye the time such 1unitt for fernie.ore In i 01 e absences of any Jweh a slate or federalnrr'oilatlml atmte 'lie such unit h fount•Loch unit rharl not exceed liven hundred thirty rl::di nerve in surface aroe 7.Leona bray electlllnt osarthe den right •r rliennrl in rion wilting ameed:dugsaid lanaro or any wall,!hand ilylnt the'authorized In paragraph hereof al any lent due. a .- Iterm of Ilea large by i mss err which sod,consolidation is nude.and hind delivering le the IIt:,or o cony thereat nr hr liril,is roe ecru•• in the .Its where sorb land h located• twte.als oe.1114t;osai Owl nt shale,al the same or at dinerera Unit&Mr the limpid.of II)MI.,.i t.,i..Mvalt gin.1e1 dry sir tyro will pat of nudrl,,' All(dl.ndu4:ord the Inclusion of a Imneurart area in o well for em purpose shell sal pnchrie the Sin-st she et Ouch area or said part menet In another ro•II far e.eao par nW. • h.milts dn hi strata or a pee m r,nent.dnrd shall bars astir. nail opteited a m: toner a If said wlit.coed Ion Ivd I. e.ore,eally revered by ere Len. far the. purports for which the a roil,."ace is matte. Any well or wells of vie tape eneetnn by liteet rutnPdier,ri u 11, tat or and. retread.m Weimar s weirs) roar inn,have In:el u.:h.ta or re.a:chit pr or n, roar may na ar:unrread sad completed . Hs. b ease on, . ha. any penbn of ❑e II puJase tract. ,.rdn-tI el when. !waled thereon-shall y rte Ieeintd to have ben d el-a l der the sin tie of ids IOW en rned,o.cvtoth eIam ear elrh,V ,we. etmen• erthe p 1 hestve Idua no toad•aiwr. he lien of royalties 'needled Iwahma heroin. Iwexand s err_he,at a'a (vay. lAwreltli.et a nuuilit iu 0 inch.Jena f ice tautlou era Iy such yels ai the vahiva etlindeled:a 1!•adset J herrd u )era not royalty a hl.rna in the L oL- c or Irila World in nu anti Ili se.i tract bean to the total rental clue sal tilt lYd&stratum inr terela rolrpd deg let lids leant. tract. The e4adIlJApin:hell 1191 have Mt effect of rlienging the ownership of any rental welch may bnomc petal* under the ueiit.au al leant. c5 7s ,G:`_ • /.'ot . to le a-1 ate of oft of Cwt.lit norm. tilled.war,I•.teem., •'bell!,,:.dub hhor treul or ronn6hlan or order of coo m r dmaa palled)injtulin::tint rot limt 'to the t' rein u: ur of 1•ri :icy by ally g.•v;:n:nenml uti,ority r :, ;rp' her nettle l 'e:t,q nrrtu,.L tey, I meal'e m a v lee' n I frome•, n h mine rilrilihu. t n:doin'g or r dcinv , ail or ells fur n. has• othermineralrnlls,then In any such event Ir see shallh hetre l leMed.tholed the enninnane' of such nee i,uinr cuse, and for issy tiiiday, ehnrealret from all :.lions in Gala lane cur lane. li any riitier repress on Lngh:al, In a we,drill.c mple!e or any well 'rite n Ihn hate•] premi e5. a.If fo :y period or .--rodeof time afterd!smver5of oil, rrtierr al :ooil, goo r v mherinlnarxl le produced frr'om 1'na last.,• Lot 1 l located demean toll n -d d tiam or a Morino,- I i I the m is not 11 ' ,on se moot of; e ' I'•asotene indiums. 11 I. 'zeroth I.I 1 1 well 1 1 t 1 I 1 -1 a LsnL II Omit teeJ it l r 1 1 'nuanced 1 I Ip I tr continuingiel I oe if: II r Ow taboos J e I,,manufacture l lop at (More remain 1 11 leased p s .e wells cepabee or producing oil or 1. If Lasee-than r me the payment of rentals luhrther durery or euhs.q cent Si. the prlmury' term teermfl In li':e manure{t and In likeinner as b provided th f Ioinn.:P.,r au:lob.1 hernal.and d stall me the pu'.rtnt of such rentals one ally milli production of ul!,gat or outer mineral It mmenced or resumed. the provide:. 1 min oarerg raub -hall he atybl< on or berate 'i.e anniversary of thee sell lei paying,dale ore this lease [ ng afret-tile expiration of doh' Mai dome froth • ',,Ion of all production on the leased premises, or free.,data 1 Ir n e welt wheels i.not prwluced where Mere le no other production on the (eves lan•IS, end subsequent rentals shalle05 paya annually e thereafter, 10.If.at the expiration of Iles memory term hereof deer. hall lee no oven l reducing or capable of dnclnq nil rye or other nainrpl operations are one belted cart psae Imeene,,Og r ng or nF'a carried nn,eat If Ire Mall be of the a during Ion la Pa (GO) days er the primary Punt Iron u , Icy ow dImbedl time wee art rev e t n': leased premiumihe for to mi ti for a lea)days thereafter.h 1•fm awl•oper ai nsb mnq bleu rarbmu<in setae be rho;le pennd of s la ty OM) tins: re sha ,,In ar n fo ,ad onth alsl a tla' rking awl If m,onAme for out ech orti n reworking than Fe, 1. 0) casnylddn said slaty and(Iii rl.,e oven le a shall came r m force is long as ed. I lee:a ,'working me .scant continue edfro the le term a than provided.however. days. lit nv event oft.Ens,or nine- a mole I ofleeemd. Ibyn a ea ion the imm fa l la produced from me !eased u i-hereof en r re-m 1 him:rank I mcdl sot .em t iq-s thou pay meant, u moment rm and In tit manner• specifiedbit Ine*v na(tepk L.e a Nfec�lne ale .. ., a or h mdineral Ise p be Y hotel and annually Idtpretela while inc In the elons of lent mi[tese eta invoked lc m unprofitable Ill ca ate, ro ee other e nee doe than La discovered price a the fore such palo•e mad du It lodgement 1 Leese. It Clio bsme the low.ate Wit ii in which 10 ep land shit ranee doe.rto the low halite w,or andbla rot eerie o;'n or ly or it, to the rappiope s itsv rn sd bodies. coder IM1e lave I the ouL re,, such Ida land is situated.e -tell any federal oas,or tempo Ile he or berme sel..inys of the appropriate teals IImoduche bodies.am, 14 to enc of such h of unprofitable necrno ical or uneconomical Per conditions to temporary.othen earpe may chic In mid aim l•deemem during the nh elm• ee awb And her or hill coamled conditions.ffe fur n period l pay excess [two 1[I Yeor:, meth period ran Memel shall Le deemed andd ell or Ent n belay pmJn ic)A Tray oph 9shall throe Ineffect. c Lessee shal elonitr cod to require, (the etch t of rentals on rip uh,e moo period kf maniac as protonic) me p- Paragraph a deer(. Neel erein .haired shall be construed to mooing/ lu ru the payment of runnlx covering the mows fur which rentals e Duld.nnder the prevblev u! PuaOnph contained me 1i.The rights of either^arty hereunder may be assigned In whole or In part, and the pmvlsions hereof shalt extend to the heid a ecubre. em hl ale n, a ea a nil ,-tuna of Ilse ,.,iles herein. Notwithstanding et aeivat a 1,uellve krloaledee of or notice 10 Lence,n change Or [Minn In the ownership f it', Iambi.royalties.Cr rentals.however n v npliNed. Won be Me hhe m upon the (sun (except at Lou option In cony pa rticular tens or ...me thirty (:d) J v after Lessee Moll have been Iunalaued with tem n(Ursl,a copy certified by She oubel.d r ruder f Me county part thereof is located. o pleobb.tal of Ma retooled instrument r (..immense evidencing the hula or transfer.indudi n any-Intermediate transfer hen lea^Lei.),or Ida assigns oat therainem. (umislied to Leno,and isle(, ehantn transfer shall me effect ony p ymenh made prior to said date whether or of item. In cans or Math of ally pecan entitled to receive Ynllles or hl ce enlr,the evidence of chaos,In e I rah:v shall consist of letters of adminislvnion n final•beret of distribution f the collate of the dcedent Issued by a court of mpeiunt Jurisdiction of thydecendenls mime including his interest lands u r in i a hove derl bed.Learn ay until ouch dale continue to pay such royalties slid rental.es if such changn tar Inmtur had noto tll been la made. lease.or ay a 1 Lessee's the male recording In the Inieresta of record as disclosed by the Iail cerlllecation of un ebnuet%In Levi.pountlen eibsquent ption,cony s suspend the payment thereof until thirty is'I days after ouch evidence Is received. No hang dlve- sten in the ownership 1 ha bawl. my Isles or rentals shall operate to anionte Ile obligetlons or dminish the fights of te tepee. tie division of royalties shah be de effective except at the n1 of es calendar month. 1f lbe ownership et royalties becomes changed into separate divided portions of sold land and the owner et nn such royally desires separate gauges for production from ouch separate mats.he Mali request e Lessee to set separate trim: and receiving tanks and pay to the Lessee he advisee the Lrsatei rtthnded al of procurig and setting such tanksnod matting the ce tlmu therefor; and unless and until such Is done. Lessee may tow such royalties. to nee separate owners Mindy Y *Wend payment until ouch time as SMJ ewat:Int owners shll agree Ire riling upon an npporllnsonent f " ch rn Nies And furnish Lessee 'Srith the original agreement. Iel one of nuignment of this lease a to a segregated portion or portions orvoid land,all rentals paYULlre hereunder dull i.e apportionable no between:M event leasehold owners ratably according to the surface area of each. r!1 da(uult Inrental payment by one doll not reflect the right,f other IeasehO'tl owners hereunder.e Men acreage entl...ed In any Dully:nte n'.au rattled Ihem,u In food fails an be conclusive for the yuepeos a(peymrnt of rentals. Wether not Lich lease he owned o y sine perty by two mom different portico, production untlar the terms of this I nu, drilling re- working peta:Mew on new portion f the land bore described. shall keep lids lease In them upon all ilia lane) herein leased. The Lessee shall not e iable,for the(Mimeo,nn sssbmgient owner of this lease,let whole or m purl, In preform the berms conditions anti nide:uttons of them tease.espeu or Implied. Off'ening shall never Le required la.protecl portion of the leased premises ngpWt drainage through a wellwala on another portion et the totem premises. If six or a ea parties become entitled to royally heromJer.Lessee"sly withhold payment Ibscrof or ess and until fum- ed with • dahle instrument executed tby all such parries designating a treated to receive paymen for nil. Ii.Lesser shall have the right at o Y lime during or after the expiration of Ihi, lease le remove fill property end fixtures placed by Levee on said land. Including the tight Ice draw nod remove ail casing. Where remelted by Lessor,Lessee will bury pipe lines hi-law ordinary plow depth. It.The Lease*agrees 10 paY for dam•fet to comps or improvements mewed by operations of Lessee. IS.In the event Lessor condden that Levee has not compiled with all Its obligations hereunder. both express and Implied. Lessor shall notify Lessee In writing. Whelp sal peeirlcetiy in what respects Lessee has breached this tract. Lessee shall then have sixty (6O) dqa after receipt of said notice within which to meet or eomnvnee to meal all ur my^art of the breaches alloyed by Leiser.The service of said notice shall be prvredent to the bringing i of Emden yer Le a r on e of dnlease C nil hor coy Itmum. d Ineed d nl te such action .lull be brought nmtls the base t sixty (50) days after ics el sued nestles or presumption Ilvl Leate has filed to perform all Its nets bi gation hereunder. lo inert all or any of of alluded breaches shall M donned lid 15.Lessor hereby warrants and agrees to defend the title to said load and agree,that Lessee nt Its option may clincher:I any tax.merhnag*or ,ether II,,, upon p rail land, and e In event Lese does so. Lessee shall be.ubrogated is such lien with the right so carom, m dapply rentlic and royalties summing heeeunder toward v oothfyiew same. The nppllcutbn of any eolal.or royalties to the pa nt of any lax or any hen which mpears of • r d •J,nlvt said land, inc the reimbursement of Lessee for the payment of any smelt tax or lien,shell constitute fun and templet.payment of Pleb sunm In tel:a moaner I3 such payment had hole. le In Loam or if, the depository herein named.whether or not such tax other Om constitutes a valid lien against said land. Without Impairment of Leone's rights under the we di only ly. In event of failure of lllh,It Is reed Mat u Lesser nom a less Interest In theabove described land,Cr any part thereof, then the entire undivided fee simple estates therein whether of nip this lease purports to saes. rho whole r. ractional Interest,Men the roynllienm•1 rentals to he paid even dual,be only In the prodorllnn Pest his Interests bears to the whole and undivided fee and In accordance with the nature of the catsto of which he Is noised.Levee shalt have Mt right to eecept hoses or conveyanen hem Others owning r claiming to own interests in the land or minerals cavrrnl hereby advent, to the right. of l.eeme herein. Prod th at al nothing herein contained shall be continent ha depths ilex..of any right or remedy for breach of warranty afforded by law,Including,but not thinned to,the manha bog of resets In Ihv event of a foreclosure of any lien or encumbrance. li.This agreement coon,the entire undanianding of the yarnse, There nre no oral agreenrmem,promhes or repersenlauom lemons-Sent with et supplementary to the agreement herein expressed. • • • • • WITNESS air bas•:,and wets en the ._._3>:.d day ot..___ __._...July.---- ,td_64-. r,.J — _..__ ..L J 2,r. h..( a_, . 2_Cnlarwllo_Laor;oa;ft?( . _... '.___ . ....- a --.. .. _.__. -_.._... .--- --'---(L 9d 1 f 31,31 ta_•.... X. --_-.✓_-- ....._._.............__._..___....._____..__._.__.____.__._.._ (49.] .__........__.......____.__._....__.._—._ -_...__._. (49.) . L i __._...__....___._.._____-.. _�_ (L 6) ACCESS ROAD MAP •PART OF THE S1/2 SEC. 25 & N 1/2 SEC. 36, TOWNSHIP 3 NORTH, RANGE 64 WEST, 6TH P.M. COORS ENERGY PROPOSED W. PAD COORS ENERGY PROPOSED E. PAD SWSE SESW (S.25) (S.25) EXISTING ACCESS ROAD ACS SESE PitC.°SED (S.25) • PR 1 I OPOsto Aectss FENCE • NENW NENE (S.36) (5.36) Cr.. NWNE z (S.36) 0 T r� P EXISTING ACCESS ROAD LEGEND NORTH 0 250 T FOUND MONUMENT • - PROPOSED WELL SCALE 1" = 500' O - BOTTOM HOLE LOCATION PREPARED an HORSESHOE SURVEYING, LLC C " COORS ENERGY • PO BOX 150458 25D, 33-25D, 43-25D, 25X0, 44-25D, 25YD, 2511 LAKEWOOD, CO 80215 258, 13-25D, 23-25D, 25PD, 25HD, 14-25D, 25LC DRAWLS DAM (720)872-0196 6-24-10 LOCA71ON: WELD COUNTY, CO FIELD DAt ,„ 6-23-10 TGC S1/2, SEC. 25, T3N, R64W, 6TH P.M. LOCATION DRAWING SW1/4 OF SECTION 25, TOWNSHIP 3 NORTH, RANGE 64 WEST, 6TH P.M. W1/4 CRN SEC. 25 I NWSW NESW I WELLS FALL IN AN OPEN FIELD. DISTANCES SHOWN FROM THE 25-PD (MIDDLE) LOCATION I I -- i -a.rOCD 4' PIPE 400' FROM PAD--_,/ r \ • LEGEND / 9214RFS 9R83 25B \ • - FOUND MONUMENT I/ �PA0 LIMITS PROPOSED WELL I a IMPROVEMENTS I\ 23-25C I /I I (AS dam) \ 25PD I 4" PIPE (24 /) 25HD I (24c E)(\ 14125D FENCE CORNER COORS ENERGY 25LD �\(45a' SE) 789' FSL, 1583' FWL .. tlll111llllIIlllll ,. I l__ 1— I NORTH \ PROPOS TANK SITE (260' ED{SE) PROPOSED ACCESS I 0 200 400 \ I N 'CM EXISTING WELL x(695' SE) . EXISTING ACCESS ROAD SCALE: SWSW - - - - SESW r = 400' SW CRN SEC. 25 THIS IS NOT A MONUMENTED BOUNDARY SURVEY, IT IS ONLY A DRAWING INTENDED TO DEPICT VISIBLE IMPROVEMENTS AROUND WELL SITE(S). PREPARED B1" C.N ° ." COORS ENERGY HORSESHOE SURVEYING, LLC 25B, 13-25D, 23-25D, 25PD, 25HD, 14-250, 25W ID DAM PO BOX 150458 LOCA 6-24-10 LAKEWOOD, CO 80215710Nt WELD COUNTY, CO RCS DAM (720)872-0196 SW1/4, SEC. 25, T3N, R64W, 6TH P.M. 6-23-10 LOCATION DRAWING SE1/4 OF SECTION 25, TOWNSHIP 3 NORTH, RANGE 64 WEST, 6TH P.M. • E1/4 CRN SEC. 25 WELLS FALL IN AN OPEN FIELD. DISTANCES SHOWN FROM THE 25XD (MIDDLE) LOCATION --- �J----- IR-T�IAU& ROAD • (470' (E1GROVE 2 8' NNW) ITCH FOR ROA (420' N) _,,,PAD IJMITS )00' FROM PAD COORS IIIERGY 25D _.-1 748' FSL,1378' FEL 43 2D25 D COO / 818' SF EL. 7378 25Th 44 25D \ 818 FSL, 78 FEL 25 D LEGEND PR POSED pCGE5 I -fiiIIIIIIIIIIIIIIIh,.. F ND MONUMENT 3 RPPOSED TANK SITE NORTH J (260' SSE) p a P OPOSED WELL w o 200 400 IMPROVEMENTS oIt � (AS LABELED) Zuni 0 ��� SCALE w 1" 3400' SE CRN SEC. 25 THIS IS NOT A MONUMENTED BOUNDARY SURVEY, IT IS ONLY A DRAWING INTENDED TO DEPICT VISIBLE IMPROVEMENTS AROUND WELL SITE(S). PREPARED r a NUM COORS ENERGY • HORSESHOE SURVEYING, LLC 25D, 33-25D, 43-25D, 25XD, 44-25D, 25YD, 251 GRAMM DAM PO BOX 150458 LOCATOtt 6-24-10 LAKEWOOD, CO 80215 WELD COUNTY, CO FED DAM (720)872-0196 SE1/4, SEC. 25, T3N, R64W, 6TH P.M. 6-23-10 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission '" - > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 • 1 OILQ ,/GAS APPLICATION FOR PERMIT TO: Document Number 400080093 1. Ig Drill, Deepen, 1.` Re-enter, I_ Recomplete and Operate 2.TYPE OF WELL Plugging Bond Surety __ Refiling n OIL GAS 1R COALBED OTHER __ 20090078 SINGLE ZONE r' MULTIPLE ZONE ig COMMINGLE ZONE ,---- Sidetrack 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4.COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanlaoetd.com 7.Well Name: Coors Energy Well Number: 25D 8. Unit Name (if appl): Unit Number 9.Proposed Total Measured Depth: 7660 WELL LOCATION INFORMATION 10.QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191220 Longitude: -104.495280 FNUFSL FEL/FWL Footage at Surface: 748 FSL 1376 FEL 11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4790 13. County: WELD 14. GPS Data: Date of Measurement: 07/08/2009 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is I Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNL/FSL FEL/FWL Sec: Twp: Rng: Sec: Twp: _ Rng: 16. Is location in a high density area? (Rule 603b)? i Yes fg No 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 748 ft 19. Distance to nearest well permitted/completed in the same formation: 800 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 SE/4 Sussex Shannon SX-SN NIA 160 SE/4 • Date Run:9/8/2010 Doc(#4000800931 Well Name:Coors Energy 25D Page 1 of 3 21. Mineral Ownership: IX Fee I State i_. Federal Indian Lease#: 22. Surface Ownership: (g Fee i State ,._ Federal I Indian 23. Is the Surface Owner also the Mineral Owner? r. Yes g No Surface Surety ID#: 19990086 • 23a. If 23 is Yes:Is the Surface Owner(s)signature on the lease? P Yes ;_-- No 23b. If 23 is No (-Surface Owners Agreement Attached or 025,000 Blanket Surface Bon $2,000 Surface Bond I $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4, SE/4NW/4, 5/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 748 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes fg No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? ; . Yes rg No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? i Yes No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? '__ Yes i No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: )Q Offsite ( Onsite Method: jg Land Farming I- Land Spreading I Disposal Facility Other: CLOSED LOOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,660 525 7,660 0 32. BOP Equipment Type: . Annular Preventer Double Ram - Rotating Head r None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D,43-25D,25XD,44-25D,25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan? P Yes i No 36. Is this application part of submitted Oil and Gas Location Assessment? I' Yes 7 No I hereby certify all statements made in this form are, to the best of my knowledge, true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: Vats (4. ��:.• Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 • 05 123 32181 00 CONDITIONS OF APPROVAL, IF ANY: Date Run: 9/8/2010 Doc(#400080093)Well Name: Coors Energy 25D Page 2 of 3 l All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 700'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200' above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@253520312510533 400080093 FORM 2 SUBMITTED LF@25246751400080093 400080145 PLAT LF@2524676I400080145 400080146 TOPO MAP LF@25246771400080146 400080147 30 DAY NOTICE LETTER LF@25246781400080147 400085069 EXCEPTION LOC WAIVERS LF@2524679I400085069 400085071 EXCEPTION LOC REQUEST LF@2524680I400085071 Total Attach: 7 Files Error: Subreport could not be shown. • • Date Run:9/8/2010 Doc(#400080093)Well Name: Coors Energy 25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 • 1 ll6 ,/GAS APPLICATION FOR PERMIT TO: Document Number __ 400080289 1.Ig Drill,I Deepen,i _ Re-enter, I_ Recomplete and Operate 2.TYPE OF WELL r_. Plugging Bond Surety (OIL _ Refiling GAS IR COALBED I OTHER _ 20090078 SINGLE ZONE f MULTIPLE ZONE XCOMMINGLE ZONE I Sidetrack I 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanCWDetd.com 7.Well Name: Coors Energy Well Number 33-25O 8. Unit Name(if appl): Unit Number: 9. Proposed Total Measured Depth: 7094 WELL LOCATION INFORMATION 10.QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191150 Longitude: -104.495280 FNUFSL FEL/FWL Footage at Surface: 726 FSL 1376 FEL 11. Field Name: Wattenberqel Field Number: 90750 12.Ground Elevation: 4790 13. County: WELD 14.GPS Data: Date of Measurement: 02/17/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is jg Directional I Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNUFSL FEUFWL 1984 FSL 1976 FEL 1984 FSL 1976 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? i Yes [R No 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 726 ft 19. Distance to nearest well permitted/completed in the same formation: 815 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Dakota DKTA 499-15 320 E/2 J-Sand JSND 232-23 320 E/2 Niobrara Codell NB-CD 407-87 80 N/2SE/4 Sussex Shannon SX-SN N/A 80 N/2SE/4 • Date Run:9/8/2010 Doc(#400080289)Well Name:Coors Energy 33-25D Page 1 of 3 21. Mineral Ownership: jg Fee State , Federal i Indian Lease#: 22. Surface Ownership: (R.Fee State !- Federal C Indian 23. Is the Surface Owner also the Mineral Owner? F Yes (5'No Surface Surety ID#: 19990086 . 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? Yes , No 23b. If 23 is No i Surface Owners Agreement Attached or 15i5$25,000 Blanket Surface Bon P $2,000 Surface Bond (.. $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4,SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 726 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes IR No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? i Yes ER'No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? I Yes (X No 30. If questions 27 or 28 are yes,is this location in a sensitive area (Rule 903)? n Yes r.. No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: Ig Offsite Onsite Method: (R Land Farming Land Spreading 7 Disposal Facility Other: CI OSFD I OOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,094 120 7,094 6,594 Stage Tool 6,594 525 6,594 0 el 32. BOP Equipment Type: I. Annular Preventer IR Double Ram I ' Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D,43-25D, 25XD, 44-25D, 25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan ? I Yes No 36. Is this application part of submitted Oil and Gas Location Assessment? IRr Yes T No I hereby certify all statements made in this form are, to the best of my knowledge,true,correct, and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: Per I7 _ Director of COGCC Date: 9/8/2010 • Permit Number Expiration Date: 9/7/2012 Date Run:9/8/2010 Doc(#4000802891 Well Name: Coors Energy 33-25O Page 2 of 3 API NUMBER CONDITIONS OF APPROVAL, IF ANY: 05 123 32171 00 . All representations,stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COGCC ENG COA-SME 1)Set surface casing per Rule 317d, cement to surface. Setting surface casing less than the approved depth is a permit violation unless prior written approval is obtained from the COGCC. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317] and provide cement coverage from TD to a minimum of 200' above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@2535201 12510533 400080289 FORM 2 SUBMITTED LF@25242941400080289 400080296 EXCEPTION LOC WAIVERS LF@2524295I400080296 400080297 PLAT LF@2524296I400080297 400080298 DEVIATED DRILLING PLAN LF@25242971400080298 400080299 30 DAY NOTICE LETTER LF@25242981400080299 400080445 EXCEPTION LOC REQUEST LF@25242991400080445 •400082044 TOPO MAP LF@2524300I400082044 Total Attach:8 Files Error Subreport could not be shown. Date Run:9/8/2010 Doc(#400080289)Well Name:Coors Energy 33-25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission "�> 1 Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone'(303)894-2100 Fax.(303)894-2109 . 12/05 '/GAS APPLICATION FOR PERMIT TO: Document Number: 400080460 1. fg Drill, E. Deepen, r Re-enter, P Recomplete and Operate 2.TYPE OF WELL Plugging Bond Surety Refiling r OIL ( GAS IR COALBED I OTHER 20090078 SINGLE ZONE - MULTIPLE ZONE N. COMMINGLE ZONE i--t Sidetrack 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (3O3)831-3974 Fax: (3O3)86O-5838 Email: khuffmanOoetd.com 7.Well Name: Coors Energy Well Number: 43-25D 8. Unit Name (if appl): Unit Number 9. Proposed Total Measured Depth: 7144 WELL LOCATION INFORMATION 10.QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191090 Longitude: -104.495280 FNUFSL FEL/FWL Footage at Surface: 704 FSL 1376 FEL 11. Field Name: Wallenberg Field Number:� 90750 12.Ground Elevation: 4790 13.County: WELD 14. GPS Data: Date of Measurement: 02/17/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G.Carlson 15. If well is IR Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNL/FSL FEL/FWL 1982 FSL 659 FEL 1982 FSL 659 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? I Yes IRNo 17. Distance to the nearest building,public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 704 ft 19. Distance to nearest well permitted/completed in the same formation: 785 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4.etc.) Dakota DKTA 499-15 320 E/2 J-Sand JSND 232-23 320 E/2 Niobrara Codell NB-CD 407-87 80 N/2SE/4 Sussex Shannon SX-SN 493-2 80 N/2SE/4 • Date Run: 9/8/2010 Doc(#400080460)Well Name:Coors Energy 43-25D Page 1 of 3 21. Mineral Ownership: jX Fee I-- State I Federal I Indian Lease#: 22.Surface Ownership: f 5 Fee ---State Federal Indian 23. Is the Surface Owner also the Mineral Owner? • Yes fst No Surface Surety ID#: 19990086 . 23a. If 23 is Yes:Is the Surface Owner(s)signature on the lease? EI Yes i` No 23b. If 23 is No :7.Surface Owners Agreement Attached or [5325,000 Blanket Surface Bon ! $2,000 Surface Bond r$5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4,SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 659 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? •— Yes IR.No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? Yes fR No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? i Yes IR No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? I Yes ( No If 28,29,or 30 are"Yes"a pit permit may be required. __ 31. Mud disposal: fg Offsite Onsite Method: fR Land Farming 7 Land Spreading (^ Disposal Facility Other: CI OSED I OOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,144 120 7,144 6,644 Stage Tool 6,644 525 6,644 0 •32. BOP Equipment Type: Annular Preventer fR Double Ram I Rotating Head . None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D, 43-25D,25XD,44-25D, 25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan? Yes No 36. Is this application part of submitted Oil and Gas Location Assessment? IX' Yes No I hereby certify all statements made in this form are, to the best of my knowledge, true, correct, and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. .e COGCC Approved: Watt d. liaap•_- Director of COGCC Date: 9/8/2010 • Permit Number: Expiration Date: 9/7/2012 Date Run:9/8/2010 Doc[#4000804601 Well Name:Coors Energy 43-25O Page 2 of 3 API NUMBER CONDITIONS OF APPROVAL, IF ANY: 05 123 32199 00 . All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COGCC ENG COA- SME 1) Set surface casing per Rule 317d, cement to surface. Setting surface casing less than the approved depth is a permit violation unless prior written approval is obtained from the COGCC. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@253519912510533 400080460 FORM 2 SUBMITTED LF@2524234I400080460 400080471 EXCEPTION LOC WAIVERS LF@25242351400080471 400080472 EXCEPTION LOC REQUEST LF@25242361400080472 400080473 PLAT LF@25242371400080473 400080474 DEVIATED DRILLING PLAN LF@2524238I400080474 400082045 TOPO MAP LF@25242391400082045 •400082046 30 DAY NOTICE LETTER LF@2524240I400082046 Total Attach: 8 Files Error: Subreport could not be shown. S Date Run:9/8/2010 Doc(8400080460]Well Name:Coors Energy 43-25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission " , > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 . 12/05 "GAS APPLICATION FOR PERMIT TO: Document Number 400080585 1. IR Drill, 1-- Deepen, I' Re-enter, n Recomplete and Operate 2.TYPE OF WELL Plugging Bond Surety OIL P GAS lR COALBED ` OTHER Refiling i 20090078 SINGLE ZONE' MULTIPLE ZONE Sidetrack j fX COMMINGLE ZONE I 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6.Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanc oetd.com 7.Well Name: Coors Well Number 25XO 8. Unit Name(if appl): Unit Number 9. Proposed Total Measured Depth: 7140 WELL LOCATION INFORMATION 10. QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191020 Longitude: -104.495290 FNL/FSL FEL/FWL Footage at Surface: 682 FSL 1376 FEL si11. Field Name: Wattenberg Field Number: 90750 12. Ground Elevation: 4790 13. County: WELD 14. GPS Data: Date of Measurement: 02/17/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is IR Directional 7 Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEL/FWL Bottom Hole: FNL/FSL FEL/FWL 1321 FSL 100 FEL 1321 FSL 100 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? Yes igNo 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 682 ft 19. Distance to nearest well permitted/completed in the same formation: 800 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA • Date Run: 9/8/2010 Doc(#400080585)Well Name: Coors 25XD Page 1 of 3 21. Mineral Ownership: 1W Fee ' State F. Federal ' .. Indian Lease#: 22. Surface Ownership: IR Fee I State Federal 'i Indian 23. Is the Surface Owner also the Mineral Owner? ! Yes IZ No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? ( Yes ;-.- No 23b. If 23 is No -Surface Owners Agreement Attached or Ig625,000 Blanket Surface Bon I .$2,000 Surface Bond'•- $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4, SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 100 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? i Yes 1W No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? '-- Yes W No 29. Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? _ Yes IR No 30. If questions 27 or 28 are yes, is this location in a sensitive area (Rule 903)? i - Yes ' No If 28,29,or 30 are"yes"a pit permit may be required. 31. Mud disposal: IR Offsite Onsite Method: N.Land Farming Land Spreading ,- Disposal Facility Other: CLOSFD I OOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,140 525 7,140 0 32. BOP Equipment Type: `, AnnularPreventer IR Double Ram ' Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D, 43-25D,25XD,44-25D,25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. Proposed spacing unit is E/2SE4 Sec 25 3N/64W and the W/2SW4 Sec 30 3N/63W. 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan? Yes I No 36. Is this application part of submitted Oil and Gas Location Assessment? IR Yes No I hereby certify all statements made in this form are, to the best of my knowledge, true, correct, and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: JS?c _I J, 71pg . Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: - Expiration Date: 9/7/2012 05 123 32200 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc(#400080585]Well Name:Coors 25XD Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. . COGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 700'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@253519712510533 400080585 FORM 2 SUBMITTED LF@2524242I400080585 400080591 EXCEPTION LOC WAIVERS LF@2524243I400080591 400080592 EXCEPTION LOC REQUEST LF@25242441400080592 400080593 PLAT LF@25242451400080593 400080594 TOPO MAP LF@25242461400080594 400080595 UNIT CONFIGURATION MAP LF@2524247I400080595 400080596 DEVIATED DRILLING PLAN LF@25242481400080596 400080597 PROPOSED SPACING UNIT LF@2524249I400080597 400080598 30 DAY NOTICE LETTER LF@2524250I400080598 Total Attach: 10 Files error: Subreport could not be shown. • Date Run:9/8/2010 Doc(#400080585.1 Well Name: Coors 25XD Page 3 of 3 FORM State of Colorado DE ET [CE ES 2 Oil and Gas Conservation Commission " > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 or 1 /ltk `GAS Document Number: APPLICATION FOR PERMIT TO: __ __ 400080613 1. Ig Drill, 1_-. Deepen, Re-enter, � Recomplete and Operate 2.TYPE OF WELL (__ Plugging Bond Surety Refiling OIL I- GAS X COALBED F OTHER _ 20090078 SINGLE ZONE r MULTIPLE ZONE ig COMMINGLE ZONE F- Sidetrack 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanCa)oetd.com 7.Well Name: Coors Energy Well Number: 44-25D 8. Unit Name(if appl): Unit Number: 9. Proposed Total Measured Depth: 7731 WELL LOCATION INFORMATION 10.QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.190960 Longitude: -104.495290 FNUFSL FEL/FWL Footage at Surface: 660 FSL 1376 FEL 11. Field Name: Wattenberg Field Number: 90750 12.Ground Elevation: 4790 13. County: WELD 14. GPS Data: Date of Measurement 02/17/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is J( Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNUFSL FEL/FWL 661 FSL 658 FEL 661 FSL 658 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? Yes fgNo 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 660 ft 19. Distance to nearest well permitted/completed in the same formation: 800 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SEJ4,etc.) Dakota DKTA 499-15 320 E/2 J-Sand JSND 232-23 320 E/2 Niobrara Coded NB-CD 407-87 80 S/2SE/4 Sussex Shannon SX-SN 493-2 80 S/2SE/4 • Date Run:9/8/2010 Doc(#400080613)Well Name: Coors Energy 44-25D Page 1 of 3 21. Mineral Ownership: IR Fee I State Federal Indian Lease#: 22. Surface Ownership: FX Fee I - State Federal ( ' Indian 23. Is the Surface Owner also the Mineral Owner? r Yes IR'No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? i - Yes I No 23b. If 23 is No Surface Owners Agreement Attached or 025,000 Blanket Surface Bon $2,000 Surface Bond I- $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4, SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 658 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H25 anticipated? , - Yes g No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? Yes IR No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? Yes Ig No 30. If questions 27 or 28 are yes, is this location in a sensitive area (Rule 903)? - Yes . No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: If(Offsite (' Offsite Method: Fg Land Farming IT Land Spreading F Disposal Facility Other: CI OSED LOOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,731 120 7,731 7,231 S.C. 1.1 7,231 525 7,231 0 0 32. BOP Equipment Type: Annular Preventer FR'Double Ram ( Rotating Head i .None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D, 43-25D,25XD,44-25D, 25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. 34. Location ID: _ 35. Is this application in a Comprehensive Drilling Plan? Yes No 36. Is this application part of submitted Oil and Gas Location Assessment? Fg Yes rP No I hereby certify all statements made in this form are, to the best of my knowledge,true, correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: �p 4,--Gas, Director of COGCC Date: 9/8/2010 IIIPermit Number: Expiration Date: 9/7/2012 Date Run:9/8/2010 Doc(#400080613]Well Name:Coors Energy 44-25D Page 2 of 3 API NUMBER CONDITIONS OF APPROVAL, IF ANY: 05 123 32167 00 • All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COGCC ENG COA- SME 1) Set surface casing per Rule 317d, cement to surface. Setting surface casing less than the approved depth is a permit violation unless prior written approval is obtained from the COGCC. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@2535195I2510533 400080613 FORM 2 SUBMITTED LF@2524253I400080613 400080616 EXCEPTION LOC WAIVERS LF@25242541400080616 400080617 EXCEPTION LOC REQUEST LF@2 5242 55140 00806 1 7 400080618 PLAT LF@2524256I400080618 400080619 DEVIATED DRILLING PLAN LF@2524257I400080619 400080620 30 DAY NOTICE LETTER LF@2524258I400080620 •400082051 TOPO MAP LF@25242591400082051 Total Attach: 8 Files Error: Subreport could not be shown. • Date Run:9/8/2010 Doc(#400080613)Well Name:Coors Energy 44-25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission " a > o Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 8,14 APPLICATION "GAS APPLICATION FOR PERMIT TO: Document Number _ _ _ 400080726 1. IS( Drill, Deepen, Re-enter, Recomplete and Operate 2. TYPE OF WELL Refilin9 i— Plugging Bond Surety OIL r GAS iX COALBED I_ OTHER _ 20090078 SINGLE ZONE MULTIPLE ZONE I51 COMMINGLE ZONE j Sidetrack ` - 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmaruWoeld corn 7. Well Name: Coors Energy Well Number 25YD 8. Unit Name(if appl): Unit Number 9. Proposed Total Measured Depth: 7119 WELL LOCATION INFORMATION 10. QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.190900 Longitude: -104.495290 FNL/FSL FEL/FWL Footage at Surface: 638 FSL 1376 FEL 11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4790 13. County: WELD 14. GPS Data: Date of Measurement: 02/17/2010 POOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is IR Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FELJFWL Bottom Hole: FNL/FSL FEL/FWL 55 FSL 55 FEL 55 FSL 55 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? Yes IR'No 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 638 ft 19. Distance to nearest well permitted/completed in the same formation: 790 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA • Date Run:9/8/2010 Doc(#400080726)Well Name: Coors Energy 25YD Page 1 of 3 21. Mineral Ownership: Ix Fee i State '.. Federal Indian Lease#: 22. Surface Ownership: IR Fee State • Federal i Indian 23. Is the Surface Owner also the Mineral Owner? ( Yes IR'No Surface Surety ID#: 19990086 • 23a.If 23 is Yes: Is the Surface Owner(s)signature on the lease? Yes - No 23b. If 23 is No I Surface Owners Agreement Attached or fg625,000 Blanket Surface Bon .. $2,000 Surface Bond! $5,000 Surface Bond 24. Using standard OtrOtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4, SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 55 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? i' Yes IR'No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? - Yes IX No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? I _ Yes (X No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? r Yes No If 28,29,or 30 are"Yes"a pit 31. Mud disposal: _ permit may be required. p (R Offsite ( Onsite Method: IR'Land Farming .... Land Spreading Disposal Facility Other: Cl OSFD LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 7,119 525 7,119 0 432. BOP Equipment Type: Annular Preventer (g Double Ram f- Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D, 43-25D, 25XD,44-25D,25YD and 25TD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. Proposed spacing unit is SESE Sec 25 3N/64W, SWSW Sec 30 3N/63W, NENE Sec 36 3N64W,NWNW Sec 31 3N/63W 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan? Yes ` _ No 36. Is this application part of submitted Oil and Gas Location Assessment? rg Yes No I hereby certify all statements made in this form are, to the best of my knowledge, true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. h COGCC Approved: )9CLaclei7reaket_ Director of COGCC Date: 9/8/2010 illAPI NUMBER Permit Number: Expiration Date: 9/7/2012 05 123 32195 00 Date Run: 9/8/2010 Doc(#400080726)Well Name: Coors Energy 25YD Page 2 of 3 CONDITIONS OF APPROVAL, IF ANY: All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are • enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. CCOGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 700'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510533 SURFACE CASING CHECK LF@253519312510533 400080726 FORM 2 SUBMITTED LF@25242611400080726 400080728 EXCEPTION LOC WAIVERS LF@2524262I400080728 400080729 EXCEPTION LOC REQUEST LF@2524263I400080729 400080730 PLAT LF@25242641400080730 400080731 TOPO MAP LF@25242651400080731 400080732 UNIT CONFIGURATION MAP LF@25242661400080732 400080733 DEVIATED DRILLING PLAN LF@2524267I400080733 400080734 PROPOSED SPACING UNIT LF@25242681400080734 400080735 30 DAY NOTICE LETTER LF@25242691400080735 •Total Attach: 10 Files Error: Subreport could not be shown. • Date Run: 9/8/2010 Doc(#400080726)Well Name:Coors Energy 25YD Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission " > Rev 2 v 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 1 GAS Document Number: APPLICATION FOR PERMIT TO: _ 400080739 1. Ig Drill, - Deepen, - Re-enter, ,_. Recomplete and Operate 2.TYPE OF WELL _ Refilin is Plugging Bond Surety 9 OIL I GAS lg COALBED OTHER 20090078 SINGLE ZONE F- MULTIPLE ZONE g COMMINGLE ZONE r Sidetrack I 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanc oetd.com 7. Well Name: Coors Energy Well Number 25TD 8. Unit Name(if appl): Unit Number 9. Proposed Total Measured Depth: 6956 WELL LOCATION INFORMATION 10. QtrQtr: SWSE Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.190830 Longitude: -104.495290 FNL/FSL FEL/FWL Footage at Surface: 616 FSL 1376 FEL iiii11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4790 13.County: WELD 14.GPS Data: Date of Measurement: 02/17/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is I1 Directional !`- Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FELIFWL Bottom Hole: FNL/FSL FEL/FWL 55 FSL 1217 FEL 55 FSL 1217 FEL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area? (Rule 603b)? ' Yes [No 17. Distance to the nearest building, public road, above ground utility or railroad: 1118 ft 18. Distance to nearest property line: 616 ft 19. Distance to nearest well permitted/completed in the same formation: 775 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA II Date Run: 9/8/2010 Doc(#400080739)Well Name: Coors Energy 25TD Page 1 of 3 21. Mineral Ownership: fg Fee I - State Federal Indian Lease#: 22.Surface Ownership: X Fee FI State l Federal Indian 23. Is the Surface Owner also the Mineral Owner? I Yes g No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? Yes No 23b. If 23 is No [ Surface Owners Agreement Attached or R525,000 Blanket Surface Bon ! $2,000 Surface Bondi $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4, SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 55 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? . . Yes ($T No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? 7 - Yes X No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? i . Yes F No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? P Yes r ' No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: ER Offsite I_ Onsite Method: g Land Farming f Land Spreading -. Disposal Facility Other: CI OSFD LOOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 700 500 700 0 1ST 7+7/8 4+1/2 10.5 6,956 525 6,956 0 32. BOP Equipment Type: I Annular Preventer (5? Double Ram T Rotating Head f None 33.Comments Conductor casing will not be used. The Coors Energy 25D, 33-25D, 43-25D, 25XD,44-25D,25YO and 25TD wells will be drilled from the same pad.The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. Proposed spacing unit is S/2SE4 Sec 25 and the N/2NE4 Sec 36 34. Location ID: 35. Is this application in a Comprehensive Drilling Plan? i Yes i No 36. Is this application part of submitted Oil and Gas Location Assessment? Yes i No I hereby certify all statements made in this form are,to the best of my knowledge, true,correct, and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/16/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. •n Syr COGCC Approved: �t>lki j. � w. Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 • ----------- 05 123 32173 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc(#400080739)Well Name: Coors Energy 25TD Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA-SME 1) Note surface casing setting depth change from 650' to 700'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 400080739 FORM 2 SUBMITTED LF@2524271 1400080739 400080741 EXCEPTION LOC WAIVERS LF@25242721400080741 400080742 EXCEPTION LOC REQUEST LF@25242731400080742 400080743 PLAT LF@25242741400080743 400080744 TOPO MAP LF@25242751400080744 400080745 UNIT CONFIGURATION MAP LF@25242761400080745 400080746 DEVIATED DRILLING PLAN LF@25242771400080746 400080747 CORRESPONDENCE LF@25242781400080747 400082073 30 DAY NOTICE LETTER LF@25242791400082073 Total Attach: 9 Files Error: Subreport could not be shown. • • Date Run:9/8/2010 Doc(#400080739)Well Name:Coors Energy 25TD Page 3 of 3 FORM State of Colorado •. •. DE ET OE ES 2 Oil and Gas Conservation Commission '" i • Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894- ,1 OIL& 12/05 2109 GAS APPLICATION FOR PERMIT TO: Document Number: 400081365 1. rX Drill, I— Deepen, P Re-enter, P Recomplete and Operate 2.TYPE OF WELL Plugging Bond Surety Refiling ix OIL F GAS IRS. COALBED P OTHER 20090078 SINGLE ZONE)-•• MULTIPLE ZONE R COMMINGLE ZONE r'' Sidetrack r-•• 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanCWoetd.com 7.Well Name: Coors Enemy Well Number: 258 8. Unit Name(if appl): Unit Number: 9. Proposed Total Measured Depth: 7710 WELL LOCATION INFORMATION 10.QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191660 Longitude: -104.503540 FNUFSL FEUFWL • Footage at Surface: 921 FSL 1583 FWL 11. Field Name: Wattenberg Field Number: 90750 12. Ground Elevation: 4815 13.County: WELD 14.GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G.Carlson 15. If well is P: Directional P Horizontal (highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNUFSL FEUFWL Sec: _ Twp: Rng: _ Sec: _ Twp: Rng: 16. Is location in a high density area?(Rule 603b)? Eyes (X No 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 921 ft 19. Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Dakota DKTA 499-15 320 W/2 J-Sand JSND 232-23 320 W/2 Niobrara Codell NB-CD 407-87 160 SW/4 Sussex Shannon SX-SN N/A 160 SW/4 • Date Run:9!7/2010 Doc(#400081365)Well Name: Coors Energy 25B Page 1 of 3 21. Mineral Ownership: Ii(Fee n State 1-Federal I Indian Lease#: 22. Surface Ownership: IRI Fee 1- State 1-Federal 1- Indian • 23. Is the Surface Owner also the Mineral Owner? I Yes rg No Surface Surety ID#: 19990086 23a. If 23 is Yes:Is the Surface Owner(s)signature on the lease? 1-Yes (-No 23b.If 23 is No [-Surface Owners Agreement Attached or IQ$25,000 Blanket Surface Bon ($2,000 Surface Bond 1-$5,000 Surface Bond 24. Using standard QtrQtr,Sec,Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North,Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4,SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 921 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? 1- Yes lit No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? I• Yes IX No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? T Yes IX No 30. If questions 27 or 28 are yes,is this location in a sensitive area(Rule 903)? 1-Yes 1- No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: jW Offsite 1- Onsite Method: IX;Land Farming 1- Land Spreading I Disposal Facility Other: CLOSFD I OOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,710 120 7,710 7,210 • ,' _ -, _ i _ Stage Tool 7,210 525 7,210 0 32. BOP Equipment Type: 1- Annular Preventer fg,Double Ram 1- Rotating Head I1 None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D,23-25D,25PD,25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. The Coors Energy 258 was previously permitted at 951'FSL, 1583'FWL and will now be located 921' FSL, 1583'FWL. 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan? I Yes 1- No 36. Is this application part of submitted Oil and Gas Location Assessment? ig Yes I No I hereby certify all statements made in this form are,to the best of my knowledge,true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: Director of COGCC Date: • Permit Number: Expiration Date: Date Run:9/7/2010 Doc(#4000813651 Well Name:Coors Energy 25B Page 2 of 3 API NUMBER CONDITIONS OF APPROVAL, IF ANY: 05 123 29429 00 • All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COGCC ENG COA-SME 1)Note surface casing setting depth change from 700'to 725'. Increase cement coverage accordingly. 2)Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 400081365 FORM 2 SUBMITTED LF@2524692I400081365 400081390 TOPO MAP LF@25246931400081390 400081397 PLAT LF@2524694I400081397 400081401 EXCEPTION LOC WAIVERS LF@2524695I400081401 400081402 30 DAY NOTICE LETTER LF@2524696I400081402 400081403 EXCEPTION LOC REQUEST LF@2524697I400081403 Total Attach:6 Files • • Date Run:9/7/2010 Doc(#400081365)Well Name:Coors Energy 258 Page 3 of 3 FORM State of Colorado i. DE ET OE ES 2 Oil and Gas Conservation Commission " > 1 Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109or i CM ' C APPLICATION FOR PERMIT TO: Document Number: 400081406 1. IR Drill, T Deepen, Re-enter, r Recomplete and Operate 2. TYPE OF WELL _ Refiling (— Plugging Bond Surety OIL ': GAS iR COALBED i - OTHER 20090078 SINGLE ZONE MULTIPLE ZONE Sidetrack P �: iR COMMINGLE ZONE r 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6.Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffman(Woetd.com 7. Well Name: Coors Enemy Well Number 13-25D 8. Unit Name(if appl): Unit Number 9. Proposed Total Measured Depth: 7301 WELL LOCATION INFORMATION 10. QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191600 Longitude: -104.503540 FNLJFSL FEL/FWL Footage at Surface: 899 FSL 1583 FWL 11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4815 13. County: WELD 14.GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G.Carlson 15. If well is IR Directional 7 Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNLIFSL FELIFWL Bottom Hole: FNL/FSL FEL/FWL 1988 FSL 659 FWL 1988 FSL 659 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area? (Rule 603b)? Yes igNo 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 899 ft 19.Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 80 N/2SW/4 Sussex Shannon SX-SN N/A 80 N/2SW/4 • Date Run:9/8/2010 Doc(#400081406)Well Name:Coors Energy 13-25D Page 1 of 3 21. Mineral Ownership: IR Fee i State !..._ Federal Indian Lease#: 22. Surface Ownership: ig Fee .. State Federal Indian 23. Is the Surface Owner also the Mineral Owner? I Yes FiRr No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? Yes No 23b. If 23 is No I _Surface Owners Agreement Attached or}25,000 Blanket Surface Bon $2,000 Surface Bond i. $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4, SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 899 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes Ig No If Yes, attach contingency plan. 28.Will salt sections be encountered during drilling? Yes jW No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? i.. Yes fg No 30. If questions 27 or 28 are yes, is this location in a sensitive area (Rule 903)? - Yes No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: (j(Offsite 1.- Onsite Method: ig Land Farming Land Spreading - Disposal Facility Other: CI OSED LOOP Note: The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole, Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,301 525 7,301 0 32. BOP Equipment Type: Annular Preventer IR Double Ram Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D,23-25D, 25PD, 25I-ID, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan? Yes f - No 36. Is this application part of submitted Oil and Gas Location Assessment? x Yes I No I hereby certify all statements made in this form are, to the best of my knowledge, true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: ait. A, Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 05 123 32189 00 II CONDITIONS OF APPROVAL, IF ANY: Date Run: 9/8/2010 Doc(#4000814061 Well Name: Coors Energy 13-25D Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations,stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. COGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200' above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@253519012510532 400081406 FORM 2 SUBMITTED LF@25247551400081406 400081440 DEVIATED DRILLING PLAN LF@2524756I400081440 400081442 PLAT LF@25247571400081442 400081443 TOPO MAP LF@2524758I400081443 400081444 EXCEPTION LOC WAIVERS LF@2524759I400081444 400081445 EXCEPTION LOC REQUEST LF@25247601400081445 400082087 30 DAY NOTICE LETTER LF@25247611400082087 Total Attach: 8 Files Error: Subreport could not be shown. • • Date Run:9/8/2010 Doc(8400081408]Well Name:Coors Energy 13-25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission " > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 • 12/05 „GAS APPLICATION FOR PERMIT TO: Document Number: 400081453 1. IR Drill, Deepen, ! Re-enter, I Recomplete and Operate 2.TYPE OF WELL 1._ Plugging Bond Surety Refiling OIL , GAS X COALBED I: OTHER r.- 20090078 SINGLE ZONE n MULTIPLE ZONE iv COMMINGLE ZONE ; - Sidetrack 3. Name of Operator: PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffman(aDetd.com 7.Well Name: Coors Energy Well Number 23-25D 8. Unit Name(if appl): Unit Number 9. Proposed Total Measured Depth: 7263 WELL LOCATION INFORMATION 10. QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191540 Longitude: -104.503540 FNLJFSL FEL/FWL Footage at Surface: 877 FSL 1583 FWL 11. Field Name: Wattenberq Field Numberei 90750 12. Ground Elevation: 4815 13. County: WELD 14. GPS Data: Date of Measurement: 06/23/2010 PROP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is XDirectional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNL/FSL FEL/FWL 1986 FSL 1977 FWL 1986 FSL 1977 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area? (Rule 603b)? -Yes fR No 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 877 ft 19. Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 80 N/2SW/4 Sussex Shannon SX-SN N/A 80 N//2SW/4 S Date Run:9/8/2010 Doc(#400081453)Well Name:Coors Energy 23-25D Page 1 of 3 21. Mineral Ownership: FR'Fee State i Federal Indian Lease#: 22. Surface Ownership: [g-Fee State Federal Indian 23. Is the Surface Owner also the Mineral Owner? I Yes r g No Surface Surety ID#: 19990086 . 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? r Yes .__. No 23b. If 23 is No Surface Owners Agreement Attached or Nfl5,000 Blanket Surface Bon ( $2,000 Surface Bondi $5,000 Surface Bond 24. Using standard OtrOtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4,SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 877 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? i Yes W No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? (- Yes g No 29. Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? Yes [R"No 30. If questions 27 or 28 are yes, is this location in a sensitive area (Rule 903)? r Yes i No If 28 29,or 30 are"Yes"a pit 31. Mud disposal: rg Offsite ( Onsite permit may be required. Method: ig Land Farming I" Land Spreading F Disposal Facility Other: CLOSFD LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,263 525 7,263 0 32. BOP Equipment Type: Annular Preventer Double Ram 7 Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D,23-25D, 25PD, 25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waiver attached 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan ? Yes i No 36. Is this application part of submitted Oil and Gas Location Assessment? IR Yes I._-No I hereby certify all statements made in this form are, to the best of my knowledge,true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: Limc /A. "77c.16., Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 • 05 123 32170 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc(#400081453]Well Name: Coors Energy 23-25D Page 2 of 3 All representations,stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@2535188I2510532 400081453 FORM 2 SUBMITTED LF@2524699I400081453 400081459 DEVIATED DRILLING PLAN LF@2524700I400081459 400081460 PLAT LF@25247011400081460 400081461 TOPO MAP LF@2524702I400081461 400081462 EXCEPTION LOC WAIVERS LF@25247031400081462 400081463 EXCEPTION LOC REQUEST LF@25247041400081463 400082089 30 DAY NOTICE LETTER LF@2524705I400082089 Total Attach: 8 Files Error: Subreport could not be shown. • • Date Run: 9/8/2010 Doc(#400081453]Well Name: Coors Energy 23-25D Page 3 of 3 FORM State of Colorado DE ET OE ES 2 Oil and Gas Conservation Commission " > Rev. 12/05 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax:(303)894-2109 PAG OILS AS Document Number APPLICATION FOR PERMIT TO: 400081545 1. IR Drill, Deepen, I Re-enter, Recomplete and Operate 2.TYPE OF WELL r... Plugging Bond Surety Refiling OIL GAS g COALBED : - OTHER _ 20090078 - SINGLE ZONE! MULTIPLE ZONE lQ COMMINGLE ZONE - Sidetrack 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanna oetd.com 7.Well Name: Coors Energy Well Number 25PO 8. Unit Name (if appl): Unit Number 9. Proposed Total Measured Depth: 7241 WELL LOCATION INFORMATION 10.OtrOtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191480 Longitude: -104.503540 FNL/FSL FEL/FWL Footage at Surface: 855 FSL 1583 FWL 11. Field Name: Wattenberg Field Number: 90750 12. Ground Elevation: 4815 13. County: WELD 14. GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is ig Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNL/FSL FEIJFWL Bottom Hole: FNL/FSL FEL/FWL 1324 FSL 2580 FWL 1324 FSL 2580 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area? (Rule 603b)? Yes lX No 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 855 ft 19.Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA 411 Date Run:9/8/2010 Doc(#400081545)Well Name: Coors Energy 25PD Page 1 of 3 21. Mineral Ownership: IX Fee I State I Federal I.. Indian Lease#: 22. Surface Ownership: ER Fee State Federal Indian 4 j 23. Is the Surface Owner also the Mineral Owner? , Yes g No Surface Surety ID#: 19990086 23a.If 23 is Yes: Is the Surface Owner(s)signature on the lease? I_- Yes L No 23b. If 23 is No r. .Surface Owners Agreement Attached or W625,000 Blanket Surface Bon ( -$2,000 Surface Bondi $5,000 Surface Bond 24. Using standard QtrOtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4,SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 855 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? : Yes R.No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? Yes ig No 29. Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? Yes g No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? Yes No If 28,29,or 30 are"Yes"a pit permit may be required. _31. Mud disposal: I 'Offsite I Onsite Method: g Land Farming P Land Spreading Disposal Facility Other: CLOSED LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,241 525 7,241 0 32. BOP Equipment Type: ( Annular Preventer jg Double Ram ! Rotating Head f None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D, 23-25D,25PD,25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. proposed spacing unit is E/2SW4,W/2SE4. 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan? Yes No 36. Is this application part of submitted Oil and Gas Location Assessment? IR Yes !f No I hereby certify all statements made in this form are, to the best of my knowledge, true, correct, and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: �ahti J. 7/0114.— Director of COGCC Date: 9/8/2010 API NUMBER Permit Number:all Expiration Date: 9/7/2012 05 123 32180 00 CONDITIONS OF APPROVAL, IF ANY: Date Run: 9/8/2010 Doc(#400081545]Well Name:Coors Energy 25PD Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA- SME 1) Note surface casing setting depth change from 650' to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3)Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@2535186I2510532 400081545 FORM 2 SUBMITTED LF@2524707I400081545 400081549 PLAT LF@2524708I400081549 400081550 DEVIATED DRILLING PLAN LF@2524709I400081550 400081551 TOPO MAP LF@2524710I400081551 400081552 30 DAY NOTICE LETTER LF@2524711 1400081552 400081553 EXCEPTION LOC WAIVERS LF@25247121400081553 400081554 EXCEPTION LOC REQUEST LF@25247131400081554 400081557 UNIT CONFIGURATION MAP LF@25247141400081557 400081558 CORRESPONDENCE LF@25247151400081558 Total Attach: 10 Files •Error: Subreport could not be shown. • Date Run:9/8/2010 Doc 1#400081545]Well Name: Coors Energy 25PD Page 3 of 3 FORM State of Colorado sinor DE ET OE ES ,'4 COLORADO 2 Oil and Gas Conservation Commission " > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax.(303)894-2109 . 12/05 PA GAS APPLICATION FOR PERMIT TO: Document Number 400081559 1. IK Drill, I Deepen, I-- _Re-enter, - Recomplete and Operate 2. TYPE OF WELL Plugging Bond Surety --- _ Refiling OIL GAS jg COALBED L. OTHER 20090078 SINGLE ZONE r_ MULTIPLE ZONE lg COMMINGLE ZONE I Sidetrack 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanc Detd.com 7. Well Name: Coors Energy Well Number 25HD 8. Unit Name (if appl): Unit Number: 9. Proposed Total Measured Depth: 7349 WELL LOCATION INFORMATION 10. QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191420 Longitude: -104.503540 FNUFSL FEL/FWL Footage at Surface: 833 FSL 1583 FWL ill11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4815 13.County: WELD 14. GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is Ig Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNLIFSL FEUFWL Bottom Hole: FNL/FSL FEL/FWL 1326 FSL 155 FWL 1326 FSL 155 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? ' Yes (R No 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 833 ft 19. Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA • Date Run:9/8/2010 Doc(#400081559]Well Name:Coors Energy 25HD Page 1 of 3 21. Mineral Ownership: Ix Fee ' State . Federal Indian Lease#: 22. Surface Ownership: jW Fee : State . Federal I . Indian 23. Is the Surface Owner also the Mineral Owner? 1 Yes 1W No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? : Yes ! No 23b. If 23 is No Surface Owners Agreement Attached or 25,000 Blanket Surface Bon i $2,000 Surface Bondi $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25: NE/4NE/4, NW/4NW/4,SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 833 ft 26.Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes rW No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? ' Yes IW No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? Yes LW No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? Yes No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: a Offsite F Onsite Method: LW Land Farming I Land Spreading F Disposal Facility Other: CI OSED LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,349 525 7,349 0 32. BOP Equipment Type: !-- Annular Preventer (Q Double Ram Rotating Head None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D, 23-25D,25PD, 25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waiver attached. Proposed spacing unit is W/2SW4 Sec 25, E/2SE4 Sec 24 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan? . Yes i No 36. Is this application part of submitted Oil and Gas Location Assessment? IR Yes I- No I hereby certify all statements made in this form are, to the best of my knowledge, true, correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: NUJ„ eilaiL., Director of COGCC Date: 9/8/2010 API NUMBER Permit Number Expiration Date: 9/7/20.12 • 05 123 32184 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc[#400081559)Well Name: Coors Energy 25HD Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA- SME 1) Note surface casing setting depth change from 650'to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4)Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@2535184I2510532 400081559 FORM 2 SUBMITTED LF@2524717j400081559 400081563 EXCEPTION LOC WAIVERS LF@2524718I400081563 400081564 EXCEPTION LOC REQUEST LF@25247191400081564 400081565 UNIT CONFIGURATION MAP LF@2524720I400081565 400081567 PLAT LF@2524721 1400081567 400081568 TOPO MAP LF@25247221400081568 400081575 CORRESPONDENCE LF@25247231400081575 400081576 30 DAY NOTICE LETTER LF@25247241400081576 400083606 DEVIATED DRILLING PLAN LF@25247251400083606 Total Attach: 10 Files ',Error: Subreport could not be shown. Date Run:9/8/2010 Doc(#400081559]Well Name:Coors Energy 25HD Page 3 of 3 FORM State of Colorado Sono, DE ET OE ES ,. 2 Oil and Gas Conservation Commission ,. > > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax.(303)894-2109 • 12/05 "GAS APPLICATION FOR PERMIT TO: Document Number: 400081583 1. IR Drill, i- Deepen, ) Re-enter, — Recomplete and Operate 2.TYPE OF WELL �._ Plugging Bond Surety Refiling OIL I GAS g COALBED V OTHER 20090078 SINGLE ZONE( MULTIPLE ZONE (R COMMINGLE ZONE rSidetrack 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4.COGCC Operator Number: 69175 5.Address: 1775 SHERMAN STREET-ST 000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanta'�oetd.com 7. Well Name: Coors Energy Well Number 14-25D 8. Unit Name (if appl): Unit Number 9. Proposed Total Measured Depth: 7220 WELL LOCATION INFORMATION 10. QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191360 Longitude: -104.503540 FNUFSL FEL/FWL Footage at Surface: 811 FNL 1583 FWL 11. Field Name: Wattenberq Field Number: 90750 12. Ground Elevation: 4815 13. County: WELD 14. GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6_0 Instrument Operator's Name: Thomas G. Carlson 15. If well is jg Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FWL Bottom Hole: FNL/FSL FEL/FWL 663 FSL 659 EUFFWL 663 FSL 659 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area?(Rule 603b)? Yes fr< No 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 811 ft 19. Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4.etc.) Niobrara Codell NB-CD 407-87 80 S/2SW/4 Sussex Shannon SX-SN N/A 80 S/2SW/4 • Date Run:9/8/2010 Doc(#400081583]Well Name: Coors Energy 14-25D Page 1 of 3 21. Mineral Ownership: ER Fee State ! Federal Indian Lease#: 22. Surface Ownership: IX Fee . State Federal Indian 23. Is the Surface Owner also the Mineral Owner? Yes R No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? Yes . No 23b. If 23 is No : Surface Owners Agreement Attached or f525,000 Blanket Surface Bon I- $2,000 Surface Bond r $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NEI4NE/4, NW/4NW/4, SE/4NW/4,S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 659 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes FR No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? Yes I No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? ! . Yes R No 30. If questions 27 or 28 are yes, is this location in a sensitive area(Rule 903)? Yes ! No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: Ig Offsite I Onsite Method: f Land Farming Land Spreading I,-- Disposal Facility Other: CI OSED LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,220 525 7,220 0 32. BOP Equipment Type: Annular Preventer Double Ram ( Rotating Head . .None 33. Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D,23-25D, 25PD, 25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. Waivers attached. 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan ? ( Yes I No 36. Is this application part of submitted Oil and Gas Location Assessment? IX Yes I No I hereby certify all statements made in this form are, to the best of my knowledge,true, correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: .Ic oc0�, '?7cao.�- Director ofCOGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 • 05 123 32174 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc(#400081583)Well Name: Coors Energy 14-25D Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in • this Permit-to-Drill. COGCC ENG COA-SME 1) Note surface casing setting depth change from 650' to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 317.i and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@2535182I2510532 400081583 FORM 2 SUBMITTED LF@2524727I400081583 400081588 DEVIATED DRILLING PLAN LF@25247281400081588 400081589 PLAT LF@2524729I400081589 400081591 EXCEPTION LOC WAIVERS LF@2524730I400081591 400081592 EXCEPTION LOC REQUEST LF@2524731 1400081592 400081593 30 DAY NOTICE LETTER LF@25247321400081593 400081609 TOPO MAP LF@25247331400081609 Total Attach: 8 Files Error: Subreport could not be shown. • Date Run:9/8/2010 Doc(#400081583)Well Name:Coors Energy 14250 Page 3 of 3 FORM State of Colorado STawOSeo DE ET OE ES 2 Oil and Gas Conservation Commission ," a > Rev 1120 Lincoln Street,Suite 801,Denver,Colorado 80205 Phone:(303)894-2100 Fax.(303)894-2109 • 12/05 "GAS APPLICATION FOR PERMIT TO: Document Number 400081610 1, Ig Drill, Deepen, 1 Re-enter, I Recomplete and Operate 2. TYPE OF WELL /_ Plugging Bond Surety Reding OIL f - GASIg COALBED OTHER 20090078 SINGLE ZONE'i- MULTIPLE ZONE Sidetrack I rX COMMINGLE ZONE 3. Name of Operator PETROLEUM DEVELOPMENT CORPORATION 4. COGCC Operator Number 69175 5.Address: 1775 SHERMAN STREET-STE 3000 City: DENVER State: CO Zip: 80203 6. Contact Name: Kelly Huffman Phone: (303)831-3974 Fax: (303)860-5838 Email: khuffmanCdoetd.com 7.Well Name: Coors Energy Well Number: 25LD 8. Unit Name (if appl): Unit Number 9. Proposed Total Measured Depth: 7171 WELL LOCATION INFORMATION 10. QtrQtr: SESW Sec: 25 Twp: 3N Rng: 64W Meridian: 6 Latitude: 40.191300 Longitude: -104.503540 FNUFSL FEL/FWL Footage at Surface: 789 FSL 1583 FWL 11. Field Name: Wattenberq Field Number:ii 90750 12. Ground Elevation: 4815 13.County: WELD 14. GPS Data: Date of Measurement: 06/23/2010 PDOP Reading: 6.0 Instrument Operator's Name: Thomas G. Carlson 15. If well is OT Directional Horizontal(highly deviated) submit deviated drilling plan. Footage at Top of Prod Zone: FNUFSL FEUFWL Bottom Hole: FNL/FSL FEL/FWL 155 FSL 1317 FWL 155 FSL 1317 FWL Sec: 25 Twp: 3N Rng: 64W Sec: 25 Twp: 3N Rng: 64W 16. Is location in a high density area? (Rule 603b)? I. Yes FRNo 17. Distance to the nearest building, public road, above ground utility or railroad: 1447 ft 18. Distance to nearest property line: 789 ft 19. Distance to nearest well permitted/completed in the same formation: 605 ft 20. LEASE, SPACING AND POOLING INFORMATION Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration(N/2,SE/4,etc.) Niobrara Codell NB-CD 407-87 160 GWA • Date Run:9/8/2010 Doc(#4000816101 Well Name:Coors Energy 25W Page 1 of 3 21. Mineral Ownership: E( Fee State . Federal I Indian Lease#: 22. Surface Ownership: fX Fee I State Federal Indian 23. Is the Surface Owner also the Mineral Owner? ! Yes ig No Surface Surety ID#: 19990086 • 23a. If 23 is Yes: Is the Surface Owner(s)signature on the lease? ' Yes I No 23b. If 23 is No i Surface Owners Agreement Attached or ig$25,000 Blanket Surface Bon !I $2,000 Surface Bond $5,000 Surface Bond 24. Using standard QtrQtr, Sec, Twp, Rng format enter entire mineral lease description upon which this proposed wellsite is located (attach separate sheet/map if you prefer): Township 3 North, Range 64 West,6th P.M. Section 25:NE/4NE/4, NW/4NW/4, SE/4NW/4, S/2(and lands in other sections) 25. Distance to Nearest Mineral Lease Line: 155 ft 26. Total Acres in Lease: 2889 DRILLING PLANS AND PROCEDURES 27. Is H2S anticipated? Yes IR No If Yes, attach contingency plan. 28. Will salt sections be encountered during drilling? Yes ig No 29.Will salt(>15,000 ppm TDS CL)or oil based muds be used during drilling? • . Yes fR No 30. If questions 27 or 28 are yes, is this location in a sensitive area (Rule 903)? 1 . Yes I No If 28,29,or 30 are"Yes"a pit permit may be required. 31. Mud disposal: (R Offsite I _ Onsite Method: IR Land Farming I.... Land Spreading ,.. Disposal Facility Other: CLOSED LOOP Note:The use of an earthen pit for Recompletion fluids requires a pit permit(Rule 905b). If air/gas drilling, notify local fire officials. Casing Type Size of Hole Size of Casing Weight Per Foot Setting Depth Sacks Cement Cement Bottom Cement Top SURF 12+1/4 8+5/8 24 725 500 725 0 1ST 7+7/8 4+1/2 10.5 7,171 525 7,171 0 32. BOP Equipment Type: f Annular Preventer Double Ram i Rotating Head None 33.Comments Conductor casing will not be used. The Coors Energy 25B, 13-25D,23-25D,25PD, 25HD, 14-25D and 25LD wells will be drilled from the same pad. The wells will be tied into a tank battery facility located approximately 260'SSE of the well site. Operator requests approval of a Rule 318Aa and Rule 318Ac exception location: Wellhead is to be located outside of a GWA drilling window and will be located more than 50'from an existing well location. waivers attached. Proposed spacing unit is S/2SW4 Sec 25, N/2NW4 Sec36 34. Location ID: 302588 35. Is this application in a Comprehensive Drilling Plan ? I Yes r No 36. Is this application part of submitted Oil and Gas Location Assessment? fR Yes i No I hereby certify all statements made in this form are,to the best of my knowledge, true,correct,and complete. Signed: Print Name: Kelly Huffman Title: Contract Land Tech Date: 8/17/2010 Email: khuffman@petd.com Based on the information provided herein,this Application for Permit-to-Drill complies with COGCC Rules and applicable orders and is hereby approved. COGCC Approved: attar Director of COGCC Date: 9/8/2010 API NUMBER Permit Number: Expiration Date: 9/7/2012 • 05 123 32185 00 CONDITIONS OF APPROVAL, IF ANY: Date Run:9/8/2010 Doc[#4000816101 Well Name: Coors Energy 25LD Page 2 of 3 All representations, stipulations and conditions of approval stated in the Form 2A for this location shall constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are enforceable to the same extent as all other representations, stipulations and conditions of approval stated in this Permit-to-Drill. • COGCC ENG COA-SME 1) Note surface casing setting depth change from 650'to 725'. Increase cement coverage accordingly. 2) Provide 24 hour notice of MIRU to Bo Brown at 970-330-6085 or email at bo.brown@state.co.us. 3) Comply with Rule 3171 and provide cement coverage from TD to a minimum of 200'above Niobrara and from 200' below to 200' above Sussex. Verify coverage with cement bond log. 4) Comply with Rule 321. Run and submit Directional Survey from TD to base of surface casing. Ensure that the wellbore complies with setback requirements in commission orders or rules prior to producing the well. Restore surface location. Attachment Check List Att Doc Num Name Doc Description 2510532 SURFACE CASING CHECK LF@2535180I2510532 400081610 FORM 2 SUBMITTED LF@25247351400081610 400081614 EXCEPTION LOC WAIVERS LF@25247361400081614 400081616 UNIT CONFIGURATION MAP LF@25247371400081616 400081617 DEVIATED DRILLING PLAN LF@25247381400081617 400081618 PLAT LF@25247391400081618 400081619 EXCEPTION LOC REQUEST LF@2524740I400081619 400081620 TOPO MAP LF@2524741 1400081620 400081621 30 DAY NOTICE LETTER LF@25247421400081621 400081623 CORRESPONDENCE LF@2524743I400081623 Total Attach: 10 Files •Error: Subreport could not be shown. • Date Run:9/8/2010 Doc(#400081610)Well Name: Coors Energy 25LD Page 3 of 3 LARGE MAPS AVAILABLE FOR VIEWING AT THE CLERK TO THE BOARD 'S OFFICE , IN THE PUBLIC REVIEW FILE . 2.05.5 POSTMINING LAND USES • Coors Energy Company anticipates reclaiming the entire Permit site to a postmining land use of"rangeland". The current exceptions to this designation are hydro-carbon production sites (wells with identified access), approved by Permit revisions [County codes indicate that oil and gas production facilities are a "use by right" in agricultural zone districts (includes the permit area) and therefore no zoning permits or separate approvals are required], with a post- mining land use of"industrial/commercial". These locations are identified on the Industrial Land Use Map (page 124a). Subsequent post-mining land use changes will be proposed by CEC as Permit revisions which address the criteria in Section 4.16.3 of the Regulations. 2.05.6 MITIGATION OF IMPACTS 1. Air Pollution Control Plan Emission Control Permits No. C-12WE438F and 88WE031, issued by the Air Pollution Control Division of the Colorado Department of Public Health and Environment, have been cancelled. Based on emission levels, the ash disposal and reclamation operations are now subject to the Air • Pollution Emission Notice (APEN)procedures, administered by the same agency. Coors remains subject to all Rules and Regulations of the Colorado Air Pollution Commission and the Colorado Air Pollution Control Act (25-7-101 et seq.), as a basic condition of the Permit. 2. Fish and Wildlife Plan Coors and the Division have agreed that no major mitigation measures need to be taken to reduce the impact on fish and wildlife. Coors has or will implement a number of objectives for mitigating impacts on birds and animals. A. Coors has used guidelines set forth in"Environmental Criteria for Electric Transmission Systems". Drawings of the system are provided in Appendix P-1 and P-2. B. The permit area will be fenced to restrict access by large animals. C. Hunting will not be allowed within the permit area. D. Coors will establish raptor perches in the area if deemed advisable by the Division of Wildlife. There is a colony of burrowing owls in the area and small-eared owls are sited frequently. Depending on the • area, there appears to be only a moderate infestation of burrowing animals in the reclamation at this time, and the numerous cottontail rabbits have not migrated to the reclamation from their present close 124 11/10 • proximity to the shop/office and its human activity. Daylight raptors have been seen migrating through the permit area, but are only occasionally observed perched on fence posts or power poles. E. Coors seeding plan is filed in L-4. It is hoped that this seed mix will improve both the domestic and wildlife range habitat. (See letters on pages 129 and 129a of this Section.) See also Section 2.04.11, Fish and Wildlife Resource Information. 3. Protection of Hydrologic Balance Detailed descriptions, maps and cross-sectional drawings regarding the quality and quantity of surface and subsurface water at the Keenesburg Mine is summarized in Section 2.04.7, Hydrological Description, and at Appendix I of previous permit submittals. The focus of this permit renewal (five year plan) is on reclamation, to the exclusion of further mining operations. The previous mine pits ("A" and "B") have both been reclaimed to at least five feet above the ground water level, and are lined with the clay spoils to create an impervious barrier between the ground water and the ash/mine waste rock which is being deposited in those pits. The sub-surface water gradient, to the extent that it exists in the spoil, still • tends to slope to the east. Recharge of the spoil aquifer appears now to be limited to a single source, infiltration by precipitation, since the pit areas have been isolated and any standing water cannot communicate to the sub- surface water interval. There is still no indication that any significant recharge from the Ennis Draw fluvial ground water system exists. Sub- surface water elevations in the wells existing in Ennis Draw, adjacent to the Keenesburg Mine site, are significantly higher than in either spoil monitoring well, as confirmed by both Appendix I-2 of previous permit submittals and the more recent data found in the Annual Hydrology and Reclamation Reports. The lack of recharge of the spoil aquifer system by the subsurface waters in Ennis Draw is thought to be the result of limiting the eastern extent of the mining operation (not penetrating the area of Ennis Draw itself). No appreciable effect on the hydrologic balance of the area is anticipated as a result of the mining and/or reclamation operations, and water levels in the mined area are expected to eventually recover to approximately their original levels following the cessation of mining operations (McWhorter). Water quality information gathered over the past 12 years confirms this (see Appendix J-1, J-2 of the 2nd Permit Renewal, and the Annual Hydrology and Reclamation Reports. Treatment of the sub-surface and ground water will not be necessary. • Appendix M-1, Existing Surface Features Map, shows the location of any significant water diversion, collection, conveyance, storage and discharge structures (these include the perimeter ditches, the Dugout Pond and 125 11/10 Sediment Pond 2 as permanent structures). Due to the highly permeable • sand mantle that surrounds the site, these structures do not convey/hold water for any period of time. The design of the perimeter ditch is to capture and carry water from all areas within the site which have been disturbed by mining and subsequent reclamation activity to Sediment Pond 2. While it was concluded by Coors, the Division and the Department of Public Health and Environment in 1990 that a NPDES permit was not needed for this site, since there has been no discharge, events subsequent to that last permit's cancellation resulted in Coors filing to obtain a new permit(# COG-850038). This new permit falls under the Colorado general permit COG-850000 FOR FACILITIES "engaged in mining and processing of coal". As such it expires (unless renewed) with that general permit on June 30, 1997. This new permit was obtained in conjunction with the revised Drainage Plan (Technical Revision#28, approved 2/13/95) when it was concluded, based on the best information available at the time, that the changes to drainage patterns within the permit area, combined with the elimination of both the Evaporation Ponds and the active plan to control water flow through the use of the mine pits, could result in flows to the remaining • sedimentation pond in excess of its design capability, and thus a potential discharge from the permit area (which would necessitate the NPDES permit). Coors intends to continue to monitor this situation and to collect date which would either justify continued renewal of the NPDES permit, or its further cancellation, based on a continued lack of any historical discharge from the permit area. At the time of the second permit renewal, Coors had submitted, and was awaiting formal approval from the Division I Water Court for a plan for water augmentation. The plan had been filed to augment calls on tributary water resulting from the consumptive use of water in conjunction with the mining operation. Subsequent decisions by Coors to cease all mining operations at the site and move to reclamation activities only resulted in the closing of sumps and the closing of the pits to levels on longer in contact with tributary waters. All remaining water use requirements at the site are being satisfied by the single remaining Laramie-Fox Hills well. The Water Court agreed to the withdrawal of the pending water augmentation plan on 7/31/91. 4. Protection of Public Parks and Historic Places These areas do not exist in or near the permit area. • 126 11/10 TABLE OF CONTENTS Application Index Maps and Legal Descriptions 2.03.4 Identification of Interests 2.03.5 Compliance Information 2.03.6 Right of Entry and Operation Information 2.03.7 Relationship to Areas Designated Unsuitable for Mining 2.03.8 Permit Term Information 2.03.9 Verification of Insurance 2.03.10 Identification of Other Licenses and Permits 2.03.11 Identification of Location of Public Office for Filing of Application 2.03.12 Newspaper Advertisement 2.04.3 Site Description and Land Use Information 2.04.4 Cultural and Historic Resource Information 2.04.5 General Description of Hydrology and Geology 2.04.6 Geological Description 2.04.7 Hydrological Description 2.04.8 Climatological Information • 2.04.9 Soils Resource Information 2.04.10 Vegetation Information 2.04.11 Fish and Wildlife Resource Information 2.04.12 Prime Farmland Investigation 2.05.3 Operation Plan - Permit Area 2.05.4 Reclamation Plan 2.05.5 Post Mining Land Uses 2.05.6 Mitigation of Impacts 2.06.8 Alluvial Valley Floors 2.08.5 Bond Information • 11/10 • APPENDICES A-1 Permit Area Map A-2 Surface and Mineral Ownership Map A-3 Adjacent Property Owners Map A-4 Access Road Easement 1 of 5 A-5 Access Road Easement 2 of 5 A-6 Access Road Easement 3 of 5 A-7 Access Road Easement 4 of 5 A-8 Access Road Easement 5 of 5 B Permits - Air Permit (replaced by APEN) Water Supply Well C-1 Legal Description(Historical) C-2 Legal Notice C-3 Proof of Publication D-1 Land Use Topographic Map E-1 Cultural Resources Report • F-1 Geology Map F-2 Geologic Cross-Section F-3 Buried Channel Investigation F-4 Paleo-Channel Locations F-5 Structural Contour Map - Top of Bedrock G Lithologic Logs—exploration holes H Coal Data(archived) I-I Water Resources and Impact Evaluation 1-2 Piezometric Surface Map 1-3 Well Completion and Abandonment Documentation Water Monitoring and Water Supply Wells J-1 Groundwater Quality Data J-2 Groundwater Monitoring Records K-1 Estimate of Runoff Report K-2 Sediment Production Report K-3 Sediment Pond Design Drawings • K-4 Dugout Pond Drawings K-5 Surface Water Runoff Control Memorandum ii/to • L-1 Soil and Vegetation Inventory& Revegetation Report L-2 Soils Map L-3 Vegetation Map (archived) L-4 Revegetation Research Report L-5 Vegetation Map with Sampling Locations M-1 Existing Surface Features Map N-1 through N-3 Site Plan Drawings N-4 Site Development Drawing N-5 Topsoil Piles - Location Map (archived) N-6 through N-9 Paved Access Road Drawings N-10 Access Road - Profile and Typical Cross-Section N-10a Light Duty Road - Typical Cross-Section O-1 Office and Shop Plans O-2 Office and Shop Elevations O-Al New Addition - Site Plan • O-A2 New Addition- Elevation P-1 and P-2 Electrical Distribution Line Drawings P-3 "Letter of Understanding" (05/28/93) Q-1 Reclamation Contour and Drainage Plan Map (Final) Q-la Topographic Map - Original Drainage Q-3 Pre Mining Contours R-1 TR#31 - Coal Supply Change R-2 MR#28 - Coal Supply Testing R-3 MR#32 - Coal Testing& Temporary Coal Supply R-4 MR#34 - Mine Waste Rock Addition R-5 MR#38 —Additions to the Reclamation Plan R-6 TR #34—Final Contour Modification Across Long Term Spoil R-7 TR #35 —Change of Coal Supply/Source of Ash R-8 TR #36 —Change Approved Post-Mining Land Use—Partial (1) R-9 TR #38—Change Approved Post-Mining Land Use— Partial (2) R-10 TR #39—Change Approved Post-Mining Land Use— Partial (3) R-11 MR#39 —Administrative Updates • R-12 MR#40—Variance from Contemporaneous Reclamation R-13 MR#41 —Mid-Tenn Review 11/10 0 R-14 MR#42 —Revisions to Weed Management R-15 MR#43 —Variance from Contemporaneous Reclamation R-16 TR#40—Modify Final Contours—Long Term Spoil R-17 MR#44—Modification &Update of Permit Text R-18 TR#41 —Change Approved Post-Mining Land Use—Partial (4) • 11/10 • VOLUME III APPENDICIES (continued) Appendix Description N-1 ) N-2 ) Site Plan (drawings) N-3 ) N-4 Site Development (drawing) N-5 Topsoil Piles - Location Map (archived) N-6 ) N-7 ) Service Road (main access paved road) Plan, Profile & Section N-8 ) (drawings) N-9 Main Access Road (drawing) N-I0 Access (Haul) Road Profile (drawing) N-10a Typical Existing Light-Duty Access Road Cross Section(drawing) O-1 Office and Shop Building—Floor Plans (drawing) O-2 Office and Shop Building- Exterior Elevations (drawing) O-3 Sewage Disposal System— Sections & Details (drawing KM-4-17) • A-1 Service Facility Addition - Site Plan(drawing) A-2 Service Facility Addition— Exterior Elevation (drawing) P-1 Electrical 13.2 KV Distribution System (drawing, KM-4-950, 1 of 5) P-2 Electrical 13.2 KV Distribution System (drawing, KM-4-950, 3 of 5) P-3 Letter of Understanding—Electric Service (05/28/93) Q-1 Reclamation Contour& Drainage Plan Map - final Q-1(a) Topographic Map - Original Drainage Directions & Slopes Q-3 Pre Mining Contours— 1 st 5-year Permit Area(map) R-1 TR #31 - Coal Supply Change (09/95) R-2 MR #28 - Coal Supply Testing(09/96) R-3 MR#32 - Coal Testing& Temporary Coal Supply(03/98) R-4 MR#34 - Mine Waste Rock Addition (08/98) R-5 MR#38 — Additions to the Reclamation Plan(05/01) R-6 TR #34—Modification of Final Contour Across Long Term Spoil (01/03) R-7 TR #35 —Change of Coal Supply/Source of Ash (12/03) R-8 TR #36 —Change Approved Post-Mining Land Use—Partial (I) R-9 TR#38—Change Approved Post-Mining Land Use— Partial (2) R-10 TR #39— Change Approved Post-Mining Land Use— Partial (3) • R-11 MR#39 —Administrative Updates R-12 MR#40—Variance from Contemporaneous Reclamation 11/10 • VOLUME III APPENDICES (continued) R-13 MR#41 —Mid -Term Review R-14 MR#42 — Revisions to Weed Management R-15 MR#43 — Variance from Contemporaneous Reclamation R-16 TR #40—Modify Final Contours—Long Term Spoil R-17 MR#44— Modification & Update of Permit Text R-18 TR#41 —Change Approved Post-Mining Land Use—Partial (4) • • 1I/10 • PUBLIC NOTICE Coors Energy Company, P.O. Box 467, Golden, CO 80402, (303) 927- 3648, has applied to the Colorado Division of Reclamation, Mining & Safety (DRMS) for a technical revision to change the approved post- mining land use for certain portions of the presently permitted Keenesburg Mine site. The affected land parcels will subsequently become an oil/gas well sites with access roads. Coors Energy Company owns and operates the Keenesburg Mine under the current DRMS Permit C-1981-028. The Keenesburg Mine is located 7 miles north of Keenesburg, Colorado, and is accessed by Weld County Road 59. The USGS 7.5-minute quadrangle maps "Klug Ranch" and "Tampa" contain the described operation. The permitted area is portions of Sections 25 and 36, T3N- R64W, 6`h Principal Meridian, Weld County, Colorado. A more exact description of the permit boundary, included herein by reference, may be found in the Permit Application Package under "Legal Description". • Copies of the application may be viewed at the Town Hall, 140 S. Main, Keenesburg, Colorado; at the Weld County Clerk and Recorder's Office, 1402 N. 17`h Ave., Greeley, Colorado; and at the Colorado Division of Reclamation, Mining & Safety, 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567. Copies of the Permit Application Package are on file at the Keenesburg Mine Site and at the offices of the Colorado Division of Reclamation, Mining & Safety. All comments, objections, and requests must be submitted in writing to the Colorado Division of Reclamation, Mining & Safety at the above address. The public comment period extends for ten days following the date of publication of this notice. Published in the Ft. Lupton Press on November _, 2010. Hello