HomeMy WebLinkAbout930653.tiff *R23104480 RESOLUTION
RE: APPROVE REQUEST FOR AN EXCEPTION LOCATION TO DRILL A COMMINGLED WELL FROM
ENERGY MINERALS CORPORATION AND AUTHORIZE CHAIRMAN TO SIGN
WHEREAS, the Board of County Commissioners of Weld County, Colorado,
pursuant to Colorado statute and the Weld County Home Rule Charter, is vested
with the authority of administering the affairs of Weld County, Colorado, and
WHEREAS, Weld County, Colorado, has received a request for an exception
location to drill a commingled well from Energy Minerals Corporation for the
purpose of facilitating extraction, and
WHEREAS, said well is situated on land more particularly described as
follows:
Township 3 North, Range 62 West, 6th P.M.
Section 32: SE* NE'-,
Weld County, Colorado
WHEREAS, Weld County is entitled to a one-eighth royalty interest on
production, and
WHEREAS, in order to receive said royalty interest, Weld County must
execute said request, a copy of which is attached hereto and incorporated herein
by reference, and
WHEREAS, said request has been reviewed by a member of the Weld County
Attorney's staff and found to be in order, and
WHEREAS, the Board deems it advisable to approve said request on the parcel
of land described herein.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the request for an exception location to drill a
commingled well from Energy Minerals Corporation, on the hereinabove described
parcel of land be, and hereby is, approved.
BE IT FURTHER RESOLVED by the Board that the Chairman be, and hereby is,
authorized to sign said request.
B 1395 REC 02344480 08/03/93 15:52 $0 .00 1/002
F 1175 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
930653
{, 6179 cc : Fit/LC( I T,r-7,l,. r
EXCEPTION LOCATION - ENERGY MINERALS CORPORATION
PAGE 2
The above and foregoing Resolution was, on motion duly made and seconded,
adopted by the following vote on the 28th day of July, A.D. , 1993.
BOARD OF COUNTY COMMISSIONERS
ATTEST: WEL COUNTY, COLORADO
Weld County Clerk ��e'std Board
i&1 15 Constance L. Ha ber , Cha'rman
BY: nekket, 11Deputy C rk to the Board W. H. Webste ,/Pro-Tem
APPROVED AS TO FORM: <
. Baxter
ounty A torn i Dale K. Hall
Barbara J. Kirkmeyer
B 1395 REC 02344480 08/03/93 15 :52 $0 .00 2/002
F 1176 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
930653
Energy Minerals Corporation
OIL AND GAS EXPLORATION
June 22, 1993
Weld County Commissioners
Post Office Box 758
Greeley, CO 80632
RE: Exception Location Waiver
HOBE-STATE #42-32
Township 3 North, Range 62 West
Section 32: SE/4NE/4
Weld County, Colorado
Gentlemen:
Energy Minerals Corporation (EM) is desirous of drilling the above
referenced well during August, 1993 at a location 1930' FNL and 400'
FEL. The primary target is the D Sand with a back-up in the J Sand
formation. The D Sand is under statewide spacing and the J Sand is on
160 acre spacing. The rules and regulations of the Colorado Oil and Gas
Commission order wells spaced on 160 acres to be located not less than
600 feet from the boundary of each quarter section and no closer than
1850 feet from another gas well producing from the same source of
supply.
EM has requested an exception location from the Oil and Gas Commission
to drill a commingled "D" and "J" Sand well 400 feet from the east
boundary of a quarter section/lease line, and approximately 1,100 feet
from a well producing from the J Sand formation. Find enclosed the
application for this request and back-up data sent to the Oil and Gas
Commission.
Please execute this letter agreement below and return it to our office
in the enclosed postage paid, self-addressed envelope.
Very truly yours,
EN Y NERALS CORPORATION
DEAN R. GACKLE
Exploration Manager
DRG/mkh
Enclosures
518 SEVENTEENTH STREET, SUITE 1010 • DENVER, COLORADO 80202-4111 • (303) 571-1010 930653 -jl
FACSIMILE (303) 571-1030
/ CA` ' q �y
Weld County Commissioners
June 22, 1993
Page Two
XXXX I approve the request of Energy Minerals Corporation for this
exception location.
I do not approve.
WELD garlSr.iferf—AcYlills,
OUNTY COMMISSIONERS
BY:Title: Chairman 0893
Dated: July 28, 1993
ATTEST: kg ' -21-4,4 _
,. a.,,m,
WELD COUNTY CLErA 0 THE BOARD
BY: 1Y _
930653
RECEIVED
BEFORE THE OIL AND GAS COMMISSION JUN 7 1993
OF THE STATE OF COLORADO
'tLO.OIL&GAS CONS.CO;.
IN THE MATTER OF THE APPLICATION OF )
ENERGY MINERALS CORPORATION FOR AN ) CAUSE NO. 307
ORDER ALLOWING AN EXCEPTION TO )
SPACING ORDER 307-1 ) ORDER NO. 307-
VERIFIED APPLICATION
The Applicant, Energy Minerals Corporation, by its attorneys, Moss, Morris & O'Dell,
P.C., petitions the Colorado Oil and Gas Conservation Commission as follows:
1. Energy Minerals applies for an exception location to drill a commingled "J" and "D"
Sand well 400 feet from the east boundary of a quarter section/lease line, and approximately
1,100 feet from another well. The applicable 1976 Commission order provides that "J" Sand
wells may be drilled not less than 600 feet from the quarter section boundary, and not closer
than 1,850 feet from another "J" Sand well. Energy Minerals is the "owner" as defined in
C.R.S. §34-60-103(1)(7).
2. In Cause No. 307, by Order No. 307-1 dated February 17, 1976, the Commission
established 160 acre drilling and spacing units for production of gas and associated
hydrocarbons from the "J" Sand formation. As part of its order, the Commission indicated
that such "J" Sand wells should be located not less than 600 feet from the boundary of each
quarter section and no closer than 1,850 feet from another gas well producing from the same
source of supply. A copy of Order No. 307-1 is attached as Exhibit A.
3. Energy Minerals Corporation wishes to drill the Hobe State #42-32 well located at
the SE/4 NE/4 of Section 32, Township 3 North, Range 62 West, 6th P.M., Weld County,
Colorado. The well is within the area covered by Order No. 307-1.
4. The proposed well will be located 400 feet from the east boundary of the NE/4 of
Section 32, which boundary is also a boundary of Energy Minerals Corporation's lease. The
location is approximately 1,100 feet from the State AJ well in Section 33. (See attached
Exhibit C, page 2).
93(3653
5. The primary drilling target of the proposed well is the "D" Sand formation which
produces from a narrow channel system which can be very difficult to find. Attached Exhibit
C is a statement of geological reasons supporting the exception. Attached Exhibit D is a map
indicating the location of the "D" Sand formation channel axis. The proposed location is
necessary in order to drill along the "D" Sand channel axis and at the same time mitigate
surface damages.
6. Order No. 307-1 does not involve the "D" Sand, which is the primary drilling target.
The closest well to the east of the proposed location (NW/4 of Section 33) does not produce
from the "D" Sand.
7. The IT Sand is a secondary drilling target. As described in Exhibit C, wells
producing from the "J" sand currently produce around 20-30 mcf per day and have likely
drained as much as possible from the reservoir. They should not be affected by the requested
well location. Existing wells in the area are shown on the second page of Exhibit C. It is the
Energy Minerals' intent to commingle gas and associated hydrocarbons from both the "3" and
"D" Sand formations.
8. The requested location also has the advantage of causing minimal interference with
agricultural activities. The location allows drilling along the "D" Sand channel axis outside
of the coverage of three center pivot irrigation systems in the NE/4 of Section 32. See attached
Exhibits B and E, and compare them with attached Exhibit E which shows the center pivot
irrigation systems on Section 32.
9. "Interested parties" as defined by Rule 114(d) are listed in attached Exhibit F. The
proposed drilling permit application is attached as Exhibit G.
WHEREFORE, Applicant Energy Minerals Corporation requests its Application be set
• for hearing by the Commission; that notice be given to interested parties as required by law;
and that upon such hearing the Commission enter an order allowing the drilling of the Hobe
State #42-32 well in the "D" and "3" Sand formations as an exception to Order No. 307-1 at
the following location: 1930 feet South of the North line, and 400 feet West of the East line
of Section 32, Township 3 North, Range 62 West of the 6th P.M., Weld County, Colorado.
Applicant further requests that the Commission in its order grant such other provisions
as it may find necessary or desirable in this matter.
•
930653
DATED: June, 1993.
MOSS, MORRIS & O'DEL , P.C.
By:
Edward . Moss, Esq., No. 7530
7700 E. Arapahoe Road, Suite 200
Englewood, Colorado 80112
Tel: (303) 488-9720
Fax: (303) 488-9727
VERIFICATION
STATE OF COLORADO )
Al( )ss.
l%1 2 COUNTY )
The undersigned, Donald French, being first duly sworn and being of lawful age, states:
That he is the landman for Energy Minerals Corporation and is personally familiar with
the facts set forth in the above application; and that the facts set forth are true and correct to
the best of his knowledge.
ENERGY MINERALS CO ORATION
B •
onald Frenc
Signed and sworn to this 7day of June, 1993, by Donald French. Witness my
hand and seal. ?''a; i
-- -4L.
eS Notary Public
Iuh�ep , `'A a (seal) €0 j$y commission expires: S " •P`
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930653
•
BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
•
IN THE MATTER OF THE PROMULGATION )
AND ESTABLISHMENT OF FIELD RULES TO ) CAUSE NO. 307
GOVERN OPERATIONS IN THE LOST CREEK )
FIELD, WELD COUNTY, COLORADO ) ORDER NO. 307-1 •
•
REPORT OF THE COMMISSION "J
..7
This cause came on for hearing before the Commission on February 17,
1976, at 9 a.m., in Room 532, State Services Building, Denver, Colorado, after giving
Notice of Hearing as required by law, on the Commission's own motion, to establish 160-
acre drilling and spacing units for the production of gas and associated hydrocarbons from
the "J"Sand underlying certain lands in Weld County, Colorado.
FINDINGS
/
The Commission finds as follows:
1. That due notice of the time, place and purpose of the hearing has been
given in all respects as required by law.
2. That the Commission has jurisdiction over the subject matter embraced
in said Notice, and of the parties interested therein, and jurisdiction to promulgate the hereinafter prescribed order.
3. That evidence presented at the hearing indicates that the "J"Sand con-
•
stitutes a common source of supply of gas and associated hydrocarbons underlying the
following described lands in Weld County, Colorado, to-wit:
Township 2 North, Range 62 West, 6th P.M.
Sections 2 through 9
Township 3 North, Range 62 West, 6th P.M. r
Sections 32 through 35
4. That in order to prevent the waste of oil and gas, as defined by law; to
• ' protect the correlative rights of all parties concerned; to prevent the drilling of unnecessary
wells, and to insure proper and efficient development and promote conservation of the oil
and gas resources of the State, an order should be made establishing 160-acre drilling and
spacing units for the production of gas and associated hydrocarbons from the "J" Sand,
common source of supply underlying the lands defined herein; that said units should be
160-acres, more or less, and consisting of a quarter section, according to the governmental
survey thereof; and that the permitted well for each such drilling unit should be located not
less than 600 feet from the boundary of each quarter section upon which it is located, and
closer than 1 50 feetlrnm another gas well producing from the same source of supply;
however, ell No. 1 State, located in the SElNW}SW}Sect ton 34 and Well-No. 44-R3
Premier, located in the SE:SE4 Seetinn 33, Township 3 North, Range 62 West, 6th P.M.,
should be considered exceptions and be the permitted wells for the units upon which they
are located.
5. That all available geological and engineering data concerning said "J"
Sand indicate that one well will efficiently and economically drain an area of approximately
160-acres, and that drilling units of the size and shape hereinabove described are not
smaller than the maximum area that can be efficiently drained by one well producing from
laid ".7" Sand.
(over)
EXHIBIT
• <= 930653
•
ORDER
NOW, THEREFORE, IT IS ORDERED, that the following rules and regula-
tions shall apply hereafter to wells drilled, completed, or recompleted in the "J" Sand
underlying the Lost Creek Field herein described, in addition to other applicable rules ann.-
regulations and orders of the Commission, if any, heretofore adopted and not in conflict
herewith: ..
Rule 1: 'One Hundred Sixty (160) acre drilling and spacing units shall be and
the same are hereby established for the production of gas and associated hydrocarbons from
the "J" Sand underlying the following described lands in the Lost Creek Field, Weld County,
Colorado, to-wit:
Township 2 North, Range 62 West, 6th P.M.
Sections 2 through 9
Township 3 North, Range 62 West, 6th P.M.
Sections 32 through 35
Rule 2: Said drilling units shall consist of one hundred sixty (160) acres,
and each such drilling unit shall be a quarter section, according to the governmental survey
thereof; and the permitted well for each such drilling unit shall be located not less than 600
feet from the boundary of each quarter section upon which it is locates and no closer than
165n fret from annther as well producing from the same source of sgpply.
IT IS FURTHER ORDERED, that Well No. 1 State, located in the SE:NW;SW}
Section 34 and Well No. 44-33 Premier, located in the SE}SE; Section 33, Township 3 North,
Range 62 West, 6th P.M. shall be considered exceptions and be the permitted wells for the
units upon which they are located.
IT IS FURTHER ORDERED, that the provisions contained in'this order shall
becbme effective forthwith.
IT IS FURTHER ORDERED, that the Commission expressly reserves its
right, after notice and hearing, to alter, amend or repeal any and/or all of the above orders,
rules and regulations.
ORDERED this 17th day of February, 1976.
OIL AND GAS CONSERVATION COMMISSION ,
OF THE STATE OF COLORADO ..
aa
By 179t"��K/a
Frank J. Pe, secretary
•
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(f 307-1,-
•
930653
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The accompanying plat is an accurate representation showing the location
of a. proposed well. This location nay be described as a point 1930 feet
South. of the North line, and 400 feet West of the East line of Section 32,
Township 3 North, Range 62 West of the 6th P.M., Weld County , Colorado.
The surface elevation at this point Is 4677 feet above n.s.l.
Note' This is not a .land survey plat.
There are no visible Improvements within 200 feet of the location, except
a center pivot irrigation system. ------
------ ----_ Pivot, No monument found
N 87'15'1 E 15269.2 FT Corn point I' used elates From
a previous survey For
' ; control
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ELEV. I
I NW 1/ I 4677' I Edge of
existing
i I center
pivot
• : Locatte; is 90• from � � , irrigation
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' edge of sprinkler J ¢0!)? systems •
I system / ,
F-
I I Location •
Iis in ' 4- - .
grassland j I Blasts of bearing
.—.._.. _, _. • ..—••-I __CI is the east line of
.._..—..—..—••-f-• Sec. 32 73N. R62V.
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F •I tn of the' 6th P.N.
i SEC. ' 32 . • to Veld County, Co.
I I bears S 00'32'50' V •
•m I I • 13 Busts of elevation ,
,•• •I , is a spot elevation
I tate of i • at the State of '• < <k:. i
a - - olorado AG S1 I N Colorado AG Al !
I l t i N well = 4678' ns.4
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REVISED 24 MAY ICJ •
REVISED 17 MAY 1993
Dual Producer1000 500 0 100A0
O Location Road
• Oil well • 0 CancelLed Loc. _� Trail Scale 1' = 1000' • - '
- • Gas Well . .........Fence Line —••— Half—Sec. Line
+ Reference Stake
Dry Hale , Section Line ® Survey Monument .
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. GREAT PLAINS ROBE-STATE #42-32
•
SURVEYING • .•
SE 1/4 NE 1/4 SEC. 32.' T3N, R62W m
.:40a"---- ENERGY MINERALS CORP. W`,
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P.O. Box 296 Phone•303-854-3602 V -; -
Holyoke, CO 80734 Fax 303-854-2926
VELD COUNTY, CO. 13 MAY 1993 .
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HOBE STATE #42-32
GEOLOGICAL REASONS FOR EXCEPTION LOCATION
1. Move Location from underneath Center Pivot Irrigation System.
2. Primary target is the D Sand Formation which produces from a
prolific channel system which can be very narrow and extremely
difficult to find. The mid point between the two closest data
points (NESE 32 and SWNW 33 - both of which have NO channel
development) is denoted with a red X and the axis of the channel,
as defined by well control, is drawn in red and intersects the
proposed location.
Drilling on this axis is of key importance as the channel is
very narrow and can be missed very easily. The narrow geometry of
the channel can be illustrated in areas with red circles.
As mentioned above the exception location is not encrouching upon
the rights of the mineral and lease owner to the east in Section 33
as the well located in the SWNW of the section has no D Sand
reservoir present in the wellbore.
3. The secondary target is the J Sand which produces from both the
direct offsets. These wells have produced for a long time and are
down to 20-30 MCF per day which is barely economic. They more than
likely have drained as much as possible with the reservoir present
in the wellbores and should not be affected by an additional well.
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\ n SeventeenthEnergy Minerals Car oration) . .
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LOST CREEK LAND & CATTLE CO
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EXHIBIT
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•
OGCC fONM1 STATE OF COLORADO
0...10/46 OIL AND GAS CONSERVATION COMMISSION •
•
. DEPARTMENT Of NATURAL RESOURCES
• - S.LLLSE DESIGNATION ANO SERIAL NO.
APPLICATION 85-1019
FOR PERMIT TO DRILL DEEPEN, OR RE-ENTER AND OPERATE ..Irino1aN.AU-LITTLE Olt CAME NAME.
I.nn Of WORE DRILL 0 DEEPEN 0 RE-ENTER 0 N/A
L CHIT AGREEMENT NAME
►nn of wtLL
w(LL ® w<LL ❑ OTN ER 20+? ® EOYI P''s 0 L FARM OR LEASE NAME
t 3.PHONE NO. HOBE STATE •
OPERATOR: Energy Minerals Corporation 1303 I t•WELL NO.
• ADDRESS: 518 17th Street, Suite 1010 571-1010 42-32
• CITY: Denver STATE CO ZIP. 80202 IO.FIELD ANO POOL UR WILOCAT •
S.LOCATION Of WELL IRepen IDO,I<n dearly and in aetordanc,...in met Susie requnmem- Lost Creek •
Au endue 400' FEL & 1930' FNL ii.cerA.QTLSEC.T.LANDMERIDIAN
A, proPnwd Fwd. ra,.. gee SENE S32-T3N-R62W-6th PM
IL DISTANCE IF LEES THAN WD Ft. PROM ANY OCCUPIED SLOG.?UWC ROAD.AIOK GROUND UTTLRY LINE OR 12.COUNTY .
EAILROADISHOW POOTACES ON SURVEY NATI N/A Weld
II.DISTANCE FROM PROPOSED LOCATION ro NEAREST IS.NO. Of ACRES in LEASE• • I .NO.Of.ACAES ANO/OR DRILLING UNIT '
PROPERTY OR LEASE LINE. FT. 400' 240 ASSIGNED TO THIS WELL 160
•
:Alm to nearest dee. line.if ran
II.DISTANCE FROM PROPOSED LOCATION TO NEAREST WELL. IL PROPOSED OLFTH IL OSIECTIVE FORHAIION
ODa DRILLING.
OR ON COMPLETED.
LEASE. FT. N/A 6950' J-Sand
St ELEVATIONS dhow NINON?GE or CM 21.DRILLING CONTRACTOR PHONE NO. t<Amax. DATE WGRE WILL START
4677' GR _ _. July 20, 1993
a PROPOSED CASING AND CEMENflNG PROGRAM .
•
SIZE Of NOEL SIZE Of CASING WEIGHT PEI FOOT SETNNO DEPTH OJMIIFIN O,CEMENT
12_IF 8-5 LB 24 100 . 250 sx. _
7-7/8 4 11.6 FO50 : 175 cv
tali SURFACE OWNER ALSO THE MINERAL OWNER? YES C NO ft ePLEASEFlLLIN AffROfR1ATE
If NOT surface bond most be on Me or SW!of untoaERemem mar be fuenirll,d CODES
Ulmp,.d land.name I:.d of ISOB/is,egoi ed. 27550 •
OPEL NO.
• • DALE NO.
'DESCRIBE LEASE BY QTR.QTR.SEC..TWNSHP..;INC.. • 51600
• NEED NO.
Township 3 North, Range 62 West
Section 32: NE/4, E/2Sti/4 LEASE
ma
POPO CD. JSND
•
EL •
Donald M. Johnson
HUNT
SIGNED TTTLg Vice President-ODerationgEn May 28. 1993
TM.•rne M I.NJ—Ere,••.•
PERMIT NO. APPROVAL DAR EXPIRATION DATE
APPROVED IY TITLE Director • own •
•
08 t Cu.QM,.I%Comm.
CONDITIONS OF APPROVAL IF ANY: A.P.I. NUMBER
See Instructions On Reverse Side
IBIT
7....,. _c..-- . w: 930653
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