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HomeMy WebLinkAbout20240932.tiffCIVITAS Bonanza Creek Energy Operating Company, LLC March 13, 2024 WA CERTIFIED MAIL - RETURN RECEIPT REQUESTED Re: Notice of Completeness Determination Pronghorn OGDP Application — Docket No. 211100228 Township 5 North, Range 61 West. 6th P.M. Section 4: SENNSENN Section 10: NE1ANEA Section 16: NWANWN Section 22: NENNNE'.4 Wattenberg Field, Weld County, Colorado Dear Interested Party, RECEIVED MAR 222024 WELD COUNTY COMMISSIONERS The purpose of this letter is to formally notify you that in compliance with the Colorado Energy and Carbon Management Commission ("ECMC" or "Commission") Rule 303.e., Bonanza Creek Energy Operating Company, LLC (Operator No. 8960) ("BCEI" or "Applicant") filed the Pronghorn Oil and Gas Development Plan Application ("Pronghorn OGDP") with the Commission, and the Director made a completeness determination for the Pronghorn OGDP pursuant to Rule 303.b. on March 8, 2024. This Notice of Completeness Determination letter includes the following information relevant to the Pronghorn OGDP Application and associated completeness determination: i. The Operator's contact information including its electronic mail address, phone number, and physical addresses to which the public may direct questions and comments: Bonanza Creek Energy Operating Company, LLC A Wholly Owned Subsidiary of Civitas Resources, Inc. Attn: Jeff Annable, Manager, Well & Location Permitting 555 17th Street, Suite 3500 Denver, CO 80202 Tel: 303-312-8529 Email: jannabteleciviresources.com Co .&Ru n i co., -1 ; o.1 S 01-1/2.2./.2.1-1 cc: cTh CSR), CA (BB), OG (SM) 0y/ ll/21i 2024-0932 � CIVITAS Bonanza Creek Energy Operating Company, LLC ii. The contact information for the Relevant Local Government: Weld County Oil & Gas Energy Dept Attn: Kelly Holliday, Lead Regulatory Analyst 1402 N 17th Ave Greeley, CO 80631 Ted: 970-400-3582 Email: ogedOwetdgov.com iii. The Commission's website address, main telephone number and email address: Colorado Energy and Carbon Management Commission (formerly COGCC) 1120 Lincoln Street, Suite 801 Denver, Colorado, 80203 https://ecmc.state.co.us/#/home Phone: 303-894-2100 Email: Dnr.ecmc@state.co.us iv. The location of the Oil and Gas Locations (please see map below): Amended Expanded Pronghorn P-22 Pad (Location ID 432611): NE'/4NE'A4 of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. Amended Expanded Pronghorn T-4 Pad (Location ID 431481): SE'/4SE1A of Section 4, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado Amended Expanded Pronghorn P-10 Pad (Location ID 436242): NE'/4NE'/4 of Section 10, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. Amended Expanded Pronghorn F-16 Pad (Location ID 431197): NW'/4NW'/4 of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. Nearby Public Crossroads: C.R. 58 & C.R. 89 CIVITAS Bonanza Creek Energy Operating Company, LLC v. The anticipated dates that each phase of operations will commence (by month and year) is summarized below: P ronghorn P-22 Pad Construction: Oct 2025 Drilling: Dec 2025 Completion: Feb 2026 Production: April 2026 Interim Reclamation: Jun 2026 Pronghorn T-4 Pad Construction: July 2025 Drilling: Sept 2025 Completion: Nov 2025 P roduction: Feb 2026 Interim Reclamation: May 2026 P ronghorn P-10 Pad Construction: Aug 2025 Drilling: Oct 2025 Completion: Nov 2025 Production: Feb 2025 Interim Reclamation: May 2026 CIVITAS Bonanza Creek Energy Operating Company, LLC Pronghorn F-16 Pad Construction: Sept 2025 Drilling: Nov 2025 Completion: Jan 2026 Production: Mar 2026 Interim Reclamation: Jun 2026 In addition, this Notice of Completeness Determination letter contains the following details regarding the proposed Pronghorn OGDP development: How many Wells and Locations are proposed: BCEI seeks approval of an approximate 6,540 -acre OGDP for the development and production of 26 new horizontal wells and 6 existing horizontal wells, for a total of 32 horizontal wells, to be developed from a total of four amended expanded Oil and Gas Locations. BCEI proposes to drill 7 new horizontal wells from the Pronghorn P-22 Oil and Gas Location, 7 new horizontal wells from the Pronghorn T-4 Oil and Gas Location, 4 new horizontal wells from the Pronghorn P-10 Oil and Gas Location and 8 new horizontal wells from the Pronghorn F-16 Oil and Gas Location. ii. The proposed construction schedule by quarter and year is summarized below: Q4 Quarter, 2025: Construction Phase for the Pronghorn P-22 Pad Q3 Quarter, 2025: Construction Phase for the Pronghorn T-4 Pad Q3 Quarter, 2025: Construction Phase for the Pronghorn P-10 Pad Q3 Quarter, 2025: Construction Phase for the Pronghorn F-16 Pad iii. A description of each operational phase of development and what to expect during each phase. See Attachment A - Description of Operational Phases. iv. Proposed haul routes and traffic volume associated with each phase of operations. See Attachment B - Estimated Traffic during Active Operations. v. A description of any variances requested pursuant to Rule 502: BCEI is not seeking any Rule 502 variances for the Pronghorn OGDP Application. Q CIVITAS Bonanza Creek Energy Operating Company, LLC Furthermore, with this letter BCEI is including the following information from the Commission: 1. The issued Notice of Hearing for a May 15, 2024 ECMC Hearing Date for the Pronghorn OGDP; 2. The Pronghorn OGDP Hearing Application and Exhibits; 3. The Commission's information sheet about the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans; 4. The Commission's information sheet about the Commission's public comment process and the relevant deadlines; 5. The Commission's information sheet about hydraulic fracturing treatment; and 6. The Commission's information sheet about how the public mayviewthe status of the proposed Oil and Gas Development Plan application on the Commission's website. Please note that the ECMC Director did not identify any additional information to include in this notice in her completeness determination. To learn more details about the Pronghorn OGDP and ask questions about the Oil and Gas Development Plan prior to the closure of the public comment period, please contact me at 303-312-8529 or jannable@civiresources.com. Sincerely, Jeff Annable Manager, Well & Location Permitting Bonanza Creek Energy Operating Company, LLC A Wholly Owned Subsidiary of Civitas Resources, Inc. Enclosures Phases of Operations & What to Expect Attachent A Well Pad Construction • Initial construction includes clearing the access and pad site construction areas of vegetation and grading the surface. Once the surface has been graded, construction crews will install the base material to provide for the construction of the well pad. Final dressing of the working pad surface and seeding and stabilization of the topsoil stockpiles and stormwater controls will occur prior to final inspection. Prior to the arrival of the drilling rig, additional preparation for operational BMPs (i.e., noise mitigation) will be installed. Construction operations are limited to daylight hours only. Drilling • Initial operations include the mobilization of rig equipment to site, assembly of the drill rig to include the installation of the rig derrick, and the setting of surface casing per the issued drilling permits. Following the installation of surface casing on all wells, the rig then drills the remaining portions of each well. When total depth has been reached on all wells, the rig will be taken apart and mobilized from the site. Drilling operations occur 24 hours/day. Completions Initial operations include the mobilization of completions fleet to site, arrival of wireline vehicles, and spotting of the pumps, support vehicles, cranes, and operations command trailer. Once the equipment has been sited, operations begin by preparing the wellbore(s) for hydraulic stimulation. Once prepped, the stimulation starts by pumping fluid downhole for a pre -determined period of time. Once the stimulation is over, a plug is pumped downhole and the next wellbore is stimulated until all stages have been pumped. Completion operations occur 24 hours/day. Facility Construction • All access and facility assembly activities will be contained within the approved well pad; contractors will follow the Town -approved transportation route. Activities will include transportation of facility equipment to the well site, followed by assembly, and testing the functionality of the equipment prior to approving it for service. Facility construction occurs during daylight hours only. Production In preparation for production, the wellbore is cleaned out using a Coiled -tubing unit and production tubing is installed in each well. Following the installation of tubing, production is initiated from each well in sequential order. Initial production may flow through temporary or permanent equipment then into pipeline to be sold. Once a pad is in the production phase, there will be occasional well/equipment maintenance requiring equipment to be brought on location; otherwise, routine traffic will be pickup trucks and water trucks to remove produced water from location. Production operations occur 24 hours/day. Q CIVITAS 100% of Traffic on CR89, South of Access Points CIVITAS Bonanza Creek Energy Operating Company, LLC Pronghorn F-16 Pad Average Daily Roundtrip Activity Pad Construction Facility Construction Drilling Completions Flowback Interim Reclamation On Going Production Duration 20 60 48 39 6 20 On Going Operating Hours Daylight Hours Daylight Hours 24 hours 24 hours 24 hours Daylight 24 hours Truck Traffic 5 1 9 68 6 5 0 Employee Traffic 5 5 18 27 4 5 1 Table 1: Average Number of Roumdtrips per Dray during Drilling and Completions Operations Pronghorn P-10 Pad Average Daily Roundtrip Activity Pad Construction Facility Construction Drilling Completions Flowback Interim Reclamation On Going Production Duration 20 60 34 29 4 20 On Going Operating Hours Daylight Hours Daylight Hours 24 hours 24 hours 24 hours Daylight 24 hours Truck Traffic 5 1 7 60 3 5 0 Employee Traffic 5 5 18 22 4 5 1 Table 2: Average Number of Roundtriplsper Dray during Drilling and Completions Operations Suite 3700 - 55517th St, Denver, CO 80202 www.civitasresources.com (Bonanza Creek Energy Operating Company, LLC is a wholly owned subsidiary of Civitas Resources, Inc) 0 CIVITAS Bonanza Creek Energy Operating Company, LLC Pronghorn P-22 Pad Average Daily Roundtrip Activity Pad Construction Facility Construction Drilling Completions Flowback Interim Reclamation On Going Production Duration 20 60 49 43 6 20 On Going Operating Hours Daylight Hours Daylight Hours 24 hours 24 hours 24 hours Daylight 24 hours Truck Traffic 5 1 8 63 5 5 0 Employee Traffic 5 5 18 24 4 5 1 Table 3: Average Number of Roundtrips per Day during Drilling and Completions Ope►ations Pronghorn T-4 Pad Average Daily Roundtrip Activity Pad Construction Facility Construction Drilling Completions Flowback Interim Reclamation On Going Production Duration 20 60 49 43 6 20 On Going Operating Hours Daylight Hours Daylight Hours 24 hours 24 hours 24 hours Daylight 24 hours Truck. Traffic 5 1 8 63 5 5 0 Employee Traffic 5 5 18 24 4 5 1 Table 4: Average Number of Roundtrips per Day during Drilling and Completions Operations Suite 3700 - 55517th St, Denver, CO 80202 www.civitasresourcess.com (Bonanza Creek Energy Operating Company, LLC is a wholly owned subsidiary of Civitas Resources, Inc.) BEFORE THE ENERGY AND CARBON MANAGEMENT COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS FOR THE NIOBRARA, FORT HAYS, CODELL, AND CARLILE FORMATIONS, WATTENBERG FIELD, WELD COUNTY, COLORADO NOTICE OF HEARING CAUSE NO. 407 DOCKET NO. 211100228 TYPE: OIL & GAS DEVELOPMENT PLAN Bonanza Creek Energy Operating Company, LLC (Operator No. 8960) ("BCEI" or "Applicant"), a wholly owned subsidiary of Civitas Resources, Inc., filed an Application with the Commission for an order to establish an Oil & Gas Development Plan ("OGDP") on the lands identified below. Generally, an Oil & Gas Development Plan is the process whereby an applicant obtains approval to develop oil or gas resources at one or more oil and gas location by drilling a specific number of wells. Importantly, an OGDP is not a pooling application. This Notice was sent to you because the Applicant believes you may: 1) be an Owner of oil and/or gas ("mineral") interests to be developed by the proposed OGDP; 2) own, reside, or operate a first responder agency on property within 2,000 feet of a working pad surface included in the OGDP; or 3) be otherwise entitled to notice pursuant to Commission Rule 303.e.(1). APPLICATION LANDS Township 5 North, Range 61 West, 6th P.M. Section 3: All Section 4: All Section 5: E% Section 8: E% Section 9: All Section 10: 9%; W%W%2 Section 15: E%; W%W%; S%SE%SW% Section 16: All Section 17: All Section 21: N%N%N% Section 22: EA; N%2N%NW% Township 6 North, Range 61 West, 6th P.M. Section 33: All Section 34: All Surface Location No. 1 Amended Expanded Pronghorn P-22 Pad Lands: Township 5 North, Range 61 West, 6th P.M. Section 22: NE%NE% 1211100220141 Surface Location No. 2 Amended Expanded Pronghorn T-4 Pad Lands: Township 5 North, Range 61 West, 6th P.M. Section 4: SE%SE% Surface Location No. 3 Amended Expanded Pronghorn P-10 Pad Lands: Township 5 North, Range 61 West, 6th P.M. Section 10: NE'%NE'/4 Surface Location No. 4 Amended Expanded Pronghorn F-16 Pad Lands: Township 5 North, Range 61 West, 6th P.M. Section 16: NW%NW% DATE, TIME, AND LOCATION OF HEARING (Subject to change) The Commission will hold a hearing only on the above -referenced docket number at the following date, time, and location: Date: May 15, 2024 Time: 9:00 a.m. Place: Colorado Energy and Carbon Management Commission The Chancery Building 1120 Lincoln Street, Suite 801 Denver, CO 80203 Parties to this hearing will be notified if this date, time, or place changes. For the most up- to-date information regarding the Commission's hearing schedule, please visit https://ecmc.state.co.us/+/home, click on "Commission Hearings," and click on "Preliminary Agendas." PUBLIC COMMENT Any party may file a public comment for the review of Commission Staff related to the above -described OGDP. All public comments will be included in the administrative record for the OGDP proceeding. Parties wishing to file a public comment on the above -described OGDP may follow the instructions at https://ecmc.state.co.us/documents/sb19181/Guidance/Mission Change Guidance/Info%20Sh eet 303.e.(2).D%20Public%20Comment 20210309.pdf, or may use the eFiling system outlined below. PETITIONS 2 (211100228) DEADLINE FOR PETITIONS BY AFFECTED PERSONS: April 15, 2024 Any interested party who wishes to participate formally in this matter must file a written petition with the Commission no later than the deadline provided above. Please see Commission Rule 507 at https://ecmc.state.co.us, under "Regulation," then select "Rules." Please note that, under Commission Rule 510.1, the deadline for petitions may only be continued for good cause, even if the hearing is continued beyond the date that is stated above. Pursuant to Commission Rule 507, if you do not file a proper petition, the Hearing Officer will not know that you wish to formally participate in this matter and the date and time of the hearing may change without additional notice to you. Parties wishing to file a petition must register online at https://oitco.hvlandcloud.com/DNRCOGExternalAccess/Account/Looin.aspx and select "Request Access to Site." Please refer to our "eFiling Users Guidance Book" at https://ecmc.state.co.us/documents/reg/Hearings/Extemal Efiling System Handbook Decemb er 2021 Final.pdf for more information. Any Affected Person who files a petition must be able to participate in a prehearing conference during the week of April 15, 2024, if a prehearing conference is requested by the Applicant or by any person who has riled a petition. ADDITIONAL INFORMATION For more information, you may review the Application, which was sent to you with this Notice. You may also contact the Applicant at the phone number or email address listed below. In accordance with the Americans with Disabilities Act, if any party requires special accommodations as a result of a disability for this hearing, please contact Margaret Humecki at Dnr ECMC Hearings Unit(@,state.co.us, prior to the hearing and arrangements will be made. Dated: March 12, 2024 ENERGY AND CARBON MANAGEMENT COMMISSION OF THE STATE OF COLORADO I Jon Peskin, Acting Secretary Applicant Bonanza Creek Energy Operating Company, LLC c/o Jamie L. Jost Kelsey H. Wasylenky Jost Energy Law, P.C. 3511 Ringsby Court, Unit 103 Denver, CO 80216 720-4465620 jjost(@lostenergylaw.com kwasylenky@jostenergylaw:cow BEFORE THE ENERGY AND CARBON MANAGEMENT COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE PROMULGATION ) CAUSE NO. 407 AND ESTABLISHMENT OF FIELD RULES TO ) GOVERN OPERATIONS FOR THE NIOBRARA, ) DOCKET NO. 211100228 FORT HAYS, CODELL AND CARLILE ) FORMATIONS, WATTENBERG FIELD, WELD ) TYPE: OIL AND GAS COUNTY, COLORADO ) DEVELOPMENT PLAN FOURTH AMENDED APPLICATION COMES NOW Bonanza Creek Energy Operating Company, LLC (Operator No. 8960) (°BCEI" or "Applicant"), a wholly owned subsidiary of Civitas Resources, Inc., by and through its attorneys Jost Energy Law, P.C., respectfully submits this Application to the Colorado Energy and Carbon Management Commission (the "Commission" or the "EMC") for an Oil and Gas Development Plan ("OGDP"). In support of its Application, Applicant states as follows: 1. The Applicant is a limited liability company and is a registered operator in good standing with the Commission. 2. Applicant seeks approval of an approximate 6,540 -acre OGDP for the development and production of 26 new horizontal wells and six existing horizontal wells, for a total of 32 horizontal wells, to be developed from a total of four amended expanded Oil and Gas Locations on the below -described lands ("Application Lands") (the "Pronghorn OGDP"): Township 5 North, Range 61 West, 6th P.M. Section -3: All Section 4: All Section 5: E'/2 Section 8: E% Section 9: All Section 10: E%2; W1 WY2 Section 15: E%2; W%W'/2; SYSE'/%SW'/a Section 16: All Section 17: All Section 21: N'A2N'%NY2 Section 22: EA; NVNY2NW% Township 6 North, Range 61 West, 6th P.M. Section 33: All Section 34: All Surface Locations: Amended Expanded Pronghorn P-22 Pad (Location ID 432611): NE'/%NE% of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. (211100228/407-XXXX) Amended Expanded Pronghorn T-4 Pad (Location ID 431481): SE%SE'/4 of Section 4, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado Amended Expanded Pronghorn P-10 Pad (Location ID 436242): NE%NE'/4 of Section 10, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. Amended Expanded Pronghorn F-16 Pad (Location ID 431197): NW'/NW'/4 of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado. Nearby Public Crossroads: CR 58 & CR 89 A reference map of the Application Lands is attached hereto as Exhibit A. 3. With this Application, BCEI is providing a copy of an Oil and Gas Lease and associated Assignment, Bill of Sale and Conveyance into BCEI for at least one portion of a mineral tract within the Application Lands showing the Applicant's status as an Owner in accordance with ECMC Rule 303.a.(1). See Exhibit B, attached and made a part hereto. 4. With this Application, BCEI submits an application for six new Drilling and Spacing Units, three amended Drilling and Spacing Units, and two new Wellbore Spacing Units. See Exhibit C. 5. With this Application, BCEI submitted a Form 2A for the development of seven new horizontal wells within the Application Lands from the proposed amended Pronghorn P-22 Oil and Gas Location (Location ID 432611) pursuant to Rule 303.a.(2) and Rule 304, Document No. 402766972. The Pronghorn P-22 Oil and Gas Location (Location ID 432611) has one active well that will be included in this OGDP, for a total of eight wells on this Location. BCEI attached the approved Weld County Pronghorn Comprehensive Development Plan approving the siting and the related surface disturbance as an Exhibit to the Form 2A, in accordance with Rule 303.a.(6).B. 6. With this Application, BCEI submitted a Form 2A for the development of seven new horizontal wells within the Application Lands from the proposed amended Pronghorn T-4 Oil and Gas Location (Location ID 431481) pursuant to Rule 303.a.(2) and Rule 304, Document No. 402766986. The Pronghorn T-4 Oil and Gas Location (Location ID 431481) has one shut in well that will be included in this OGDP, fora total of eight wells on this Location. BCEI attached the approved Weld County Pronghorn Comprehensive Development Plan approving the siting and the related surface disturbance as an Exhibit to the Form 2A, in accordance with Rule 303.a.(6).B. 7. With this Application, BCEI submitted a Form 2A for the development of four new horizontal wells within the Application Lands from the proposed amended Pronghorn P-10 Oil and Gas Location (Location ID 436242) pursuant to Rule 303.a.(2) and Rule 304, Document No. 402766991. The Pronghorn P-10 Oil and Gas Location (Location ID 436242) has one active well that will be included in this OGDP, for a total of five wells on this Location. BCEI attached the approved Weld County Pronghorn (211100228/407-XXXX) Comprehensive Development Plan approving the siting and the related surface disturbance as an Exhibit to the Form 2A, in accordance with Rule 303.a.(6).B. 8. With this Application, BCEI submitted a Form 2A for the development of eight new horizontal wells within the Application Lands from the proposed amended Pronghorn F-16 Oil and Gas Location (Location ID 431197) pursuant to Rule 303.a.(2) and Rule 304, Document No. 402766921. The Pronghorn F-16 Oil and Gas Location (Location ID 431197) has three active wells that will be included in this OGDP, for a total of eleven wells on this Location. BCEI attached the approved Weld County Pronghorn Comprehensive Development Plan approving the siting and the related surface disturbance as an Exhibit to the Form 2A, in accordance with Rule 303.a.(6).B. 9. With this Application, BCEI submitted a Form 2B Cumulative Impact Data Identification pursuant to Rule 303.a.(5), Document No. 402766937. 10. With this Application, BCEI submitted a Form 2C OGDP Certification pursuant to Rule 303.a.(7), Document No. 402766995. 11. With this Application BCEI submitted its required Rule 505 testimony. 12. BCEI certifies that pursuant to Rule 302.e, it notified Weld County as the Relevant Local Government that it planned to submit the Pronghorn OGDP Application no less than 30 days prior to submitting this Pronghorn OGDP Application. There are no Proximate Local Governments within 2,000 feet of the Working Pad Surface for the Pronghorn P-22 Pad, the Pronghorn T-4 Pad, the Pronghorn P-10 Pad or the Pronghorn F-16 Pad. The Rule 302.e 30 -day notice letter to Weld County is attached and made a part hereto as Exhibit D. The 30 -day pre -notice complied with the procedural and substantive requirements of Rules 303.e.(2) and (3). 13. BCEI certifies that copies of this Application and the Notice of Hearing will be served on each interested party as required by Rule 504.a, Rule 504.b.(1), Rule 504.b.(2), 504.b.(5) and Rule 303.e. The Interested Parties list is attached hereto and submitted with this Application as Exhibit E. 14. BCEI certifies that upon completeness determination by the Director of the Pronghorn OGDP, BCEI will provide notice of the Director's Completeness Determination to each interested party required by Rule 303.e. 15. The granting of this Application is in accord with the Oil and Gas Conservation Act, found at C.R.S. §§ 34-60-101 et seq., and the Commission Rules. 16. Applicant requests that relief granted under this Application should be effective on oral order by the Commission, and Applicant hereby agrees to be bound by said oral order. WHEREFORE, BCEI respectfully requests that this matter be set for hearing in accordance with applicable Commission Rules, that notice be given as required by law, and that upon such hearing this Commission enter its order to: A. Approve the approximate 6,540 -acre OGDP for the development of 26 new horizontal wells and six existing horizontal wells, for a total of 32 horizontal wells, within eleven Drilling and Spacing Units for the Application Lands; (211100228/407-XXXX) B. Provide that the subject wells shall be located on the amended expanded Pronghorn P- 22 Pad, Pronghorn T-4 Pad, Pronghom P-10 Pad and Pronghorn F-16 Pad within the Application Lands and approve the associated Form 2A(s) for the Pronghorn P-22 Pad, the Pronghorn T-4 Pad, the Pronghorn P-10 Pad and the Pronghorn F-16 Pad where applicable; C. Find that the Pronghorn OGDP will protect and minimize adverse impacts to public health, safety, and welfare, the environment, and wildlife resources and will protect against adverse environmental impacts on any air, water, soil or biological resource in compliance with C.R.S. § 34-60-106(2.5)(a); D. For such other findings and orders as the Commission may deem proper or advisable in this matter. Dated this 22nd day of November, 2023. Bonanza Creek Energy Operating Company, LLC By Jamie L. Jost Kelsey H. Wasylenky Jost Energy Law, P.C. Attorneys for Applicant 3511 Ringsby Court, Unit 103 Denver, Colorado 80216 (720) 446-5620 Jiosttmiostenergvlaw.com KwasvlenkytBtlostenergvlaw.com Applicant's Contact Information: Bonanza Creek Energy Operating Company, LLC A Wholly Owned Subsidiary of Civitas Resources, Inc. ATTN: Jeff Annable Manager, Well & Location Permitting Direct: 303-312-8529 jannable(civiresources.com 555 17th Street, Suite 3500 Denver, CO 80202 (211100228/407-)OOOQ VERIFICATION Jeff Annable, of lawful age, being first duly sworn upon oath, deposes and says that he is the Manager, Well & Location Permitting for Civitas Resources, Inc., and that he has read the foregoing Amended Application and that the matters therein contained are true to the best of his knowledge, information and belief. Dated November 22, 2023. Jeff Annable Manager, Well & Location Permitting Civitas Resources, Inc. (211100228/4074OOOQ Exhibit A Reference Map Legd Desatpti on Wattenbeg Field, Weld County Township 5 Noth, Range 61 West, 6th P.M. Sell on 3: All Secti on 4: All Secti on 5: E',4 Secti on 8: E% Secti on 9: All Secti on 10: Eth; WY2W1/2 %z Sell on 15: E%; W' W'/) S'/4SE'/aSW% Sedi on 16: All Sedi on 17: All Secti on 21: N%N'YN% Sedi on 22: E'/2; N%N%NW % Tow nshb 6 Noth, Range 61 West, 6th P .M. Sell on 33: All Sear on 34: All Surface Locations: Amended Expanded P onghon P -22P a i(Loati on ID 432611): NE% NE% of Sedi on 22, Townshp 5 Noth, Range 61 West, 6th P .M.,Weld County, Colotedo. Amended Ex panded P onghon T-4 P ad(Locli on ID 431481): SE' SE% of Sedi on 4, Township 5 Noth, Range 61 West, 6th P .M.,Weld County, Colorado Amended Ex paned P onghon P -10P ad(Locsi on ID 436242): NE' NE% of Sedi on 10, Townshp 5 Noth, Range 61 West, 6th P .M.,Weld County, Coloedo. Amended Expanded P onghon F-16 P at (Local on ID 431197): NW% N1/1/1,44 Secti on 16, Townshp 5 Noth, Range 61 West, 6th P .M., Weld County, Coloab. Nearby Public Crossroads: CR 58 & CR 89 Exhibit A Ref eience Map W atten berg Reid, Weld County IIIII IIII l INt.1 IIIII IIIII II IIIII IIII IIII 1r 3124160 1110612013 09:4611 Weld County, CO 1 of 6 R 31.00 0 0.00 Steve Moreno Clerk & Recorder SLB 193-6 Rev. 8/89 STATE OF COLORADO BOARD OF LAND COMMISSIONERS OIL AND GAS LEASE NO. 77993 Containing 640.00 acres, more or less: Land Fund Schoo THIS LEASE AGREEMENT, Dated this la,day of February. 2003 made and entered into by and between the STATE OF COLORADO, acting by and through the STATE BOARD OF L 5ND COMMISSIONERS. hereinafter called Lessor, and CFG Energy. In. 1846 Frontier Road. Greeley. C080634 hereinaflercalledLessee: ASSIGNED Exhibit B WITNESSETH WHEREAS, Said Lessee has applied to Lessor for an oil and gas lease covering the land herein described, and has paid a filing fee in the amount of $ ALL, plus a bonus consideration of1J121_0.00 10 40.00 fixed by Lessor as an additional consideration for the granting of this lease, and Lessee agrees to pay an annual rental of S 960.00 computed at the rate of $ 1.50 , per acre or fraction thereofper year. WHEREAS, All the requirements relative to said application have been duly complied with and said application has been approved and allowed by Lessor•, THEREFORE, In consideration of the agreements herein, on the part of Lessee to be paid, kept and performed, Lessor does lease exclusively to Lessee for the sole and only purpose of drilling for, development of and production of oil and gas, or either of them, thereon and therefrom with the right to own, except as set forth in the METHANE FROM COAL SEAMS paragraph herein, all oil and gas so produced and saved therefrom and not reserved as royalty by Lessor under the terms of this lease, together with rights -of -way, easements and servitudes for pipelines, telephone and telegraph lines, tanks and fixtures for producing and caring for such products, and any and all rights and privileges necessary for the exploration and operation of said land for oil and gas, the following described land situated in the County of Weld, State of Colorado, and more particularly described as foi our: DESCRIPTION OF LAND TOWNSHIP RANGE SEC!. ION All 5N Surface Patents: Yes X No _ 61W 16 TO HAVE AND TO HOLD Said land, and all the rights and privilegesgranted hereunderto Lessee until the hour of twelve o'clock noon on the 13th day of Februarv.2008 , as primary term, and so long thereafter as oil and gas, or either of them, is produced in paying quantities from said land or Lessee is diligently engaged in bona fide drilling or reworking operations on said land, subject to the terms and conditions herein. Drilling or reworking operations shall be deemed to be diligently performed if there is no delay or cessation thereof fora period greater than 60 consecutive days unless an extension in writing is granted by Lessor, provided that such drilling or reworking operations are commenced during said primary tens or any extension thereof or while this lease is in force by reason of production of oil and gas or either of them, or that such reworking is commenced within 60 days upon cessation of production for the purpose of re-establishingthe same, and provided further that such production is anntnrncred during such primrn• tern, or any .\tendon thereof, or while this leeon ig in lured by reacon of such drilling or reworking operations or other production. METHANE FROM COAL SEAMS - Coalbed methane may be produced, saved and/or sold by a coal mining lessee from mineable coal measures and from roofs and floors of mineable coal measures and the gas shall be the property of that lessee provided that the gas is removed only as a mining safety procedure prior to or during mining. Gas that is uneconomical to produce maybe vented or flared provided that such venting or faring complies with all Federal and State requirements. Gases produced by the oil and gas lessee from the mineable coal measures and from roofs and floors of mineable coal measures prior to, during, or alter mining shall be the property of the oil and gas lessee under the terms of this lease. Oil and gas operation shall not render coal seams unmineable. EXPLORATION - Lessor reserves the right to conduct exploration on the leased land provided such exploration does not interfere with rights granted herein. 1 111111 11111 MI 1111111 11111;41,1M Milli 101 3124155 11/0612003 09::455 Weld County, CO 2 of 6 R 31.00 0 0.00 Steve Moreno Clerk & Recorder In consideration of the premises, the parties covenant and agree as follows: 1. RENTAL - If lease is extended for any reason beyond primary tern rental will be determined by Lessor. The rental in effect at the time production is established shall not be increased due to the term of this lease being extended by such production. Rentals set at the time of established production shall be paid during the remaining life of this lease, annually, in advance. on or before each anniversary date hereof. There shall he no refuted of unused rental. 2. ROYALTY - Lessee shall account for any and all substances produced on the leased land and Lessee shall pay to Lessor a royalty on same in addition to the rentals provided. Products used on the leased laced, unavoidablylost or flared on the leased land, may be exempt with approval of Lesson (a) On oil, one -eighth of the oil produced and saved from the leased land. At the opteatfakah and with 60 days notice to Lessee, Lessor may take its royalty oil in kind. :vhich event Lessee shalt deliver such royalty oil to Lessor on the leased land, free of cost or deduction. into the pipelines or storage tanks designated by Lessor. but Lessee shall not in such case be required to provide free tankage for any such oil for a longer period than 1 month after the same is run into tanks. With 60 days notice to Lessee, Lessor may cease iakingoil royalty in kind. When paid in cash, the royalty shall be calculated upon the fair market value of the oil at the well which shall not be deemed to be less than the price actually paid to Lessee at the well by the purchaser thereof; and in no event shall the royalties be based upon a market value at the well less than the posted price in the field for such oil. or in the absence of a posted price in the field far such oil, upon a market value at the well less than the prevailing price received by other producers in the field for oil of like grade and gravity at the time such oil is nm into pipelines or storage tanks. (b) On gas, including casingheadgas or other gaseous substance. one -eighth of the fair market value at the well or of the price received by Lessee at the well, whichever is greater, of all has produced and sold from the leased land or utilized off the land by Lessee. A copy of all contracts for sale of gas shall be furnished to Lessor. Where gas is sold under a contract that has been approved by Lessor, the fair market value of such gas for determining the royalties payable lieretinder shall be the price at which such gas is sold under such contract. No approval by Lessor of the teeen of any such agreement shall operate to make Lens to n party thereto ne obligate it thereunder in any way. At the option of Lessor, and with 60 days' notice to. Lessee, Lessor eeey take its royalty in kind. With 60 days' notice to Lessee, Lessor may cease taking gas royalty in kited. (c) All costsof marketing the oil and'or gas produced shall be borne by Lessee and such costs shall not directly or indirectly reduce the royalty payments to Lessor. except that marketing costs for Lessor's in -kind royalty shall be borne by Lessor. (d) If Lessor owns a lesser interest in the oil and gas deposits of the above described land than the entire and undivided fee simple estate, then the royalties and rentals herein provided shall be paid to Lessor only in the proportion which its interest bears to the :thole and undivided fee. 3. RECORDS - Lessee agrees to keep and to have in possession complete and accurate boots and records showing the production and disposition of any and all substances produced on the leased land and to permit Lessor, at all reasonable hours, to examine the saute, or to furnish copies of same to Lessor upon request along with purchaser's support documentation. Lessor will not be unreasonable with requests. All said books and records shall be retained by Lessee and made available in Colorado to Lessor fora period of not less dean 5 years. A8s contracts and subsequent agreements and amendments shall be submitted to Lessor within 60 days of execution. 4. MEASUREMENTS - All production shall be accurately measured using standards established by the American Gas Assee(neien (AGA) antthe-t!te Aeeer3can Petroleum 4tta!•e to (Apt) amt al. epee *leg L' u en sttet bet tamperproof as nearly as possible. Oil royalties due within the tenets of this lease shall be calculated on actual and accurate measurements within API standards unless a different means ot'measurement. subject to Lessor's approval, is provided. e. PAYMENTS S. REPORTS - All payments and reports due hereunder shall be made on or before the day such payments and reports are due. Nothing in this paragraph shall be construed to extend the expiration of the primary term hereof Page 2 of 6 11111111!1111111111111111►'':IIliflits1101111 31241W 1110612003 09:4M Weld County, CO 3 of 0 R 31.00 D 1.00 Steve Moreno dirk d Recorder Oil royalty payments and supporting documents shall be submitted prior to the last day of the calendar month following each month's sale of production, and gas royalty payments and supporting documents shall be submitted prior to the last day of the second calendar month following each month's sale of production. Payments and supporting documents for new wells shall be submitted prior to the last day of the third calendar month following fast month's sale of production. All payments shall be made by cash, check, certified check or money order. Payments having restrictions, qualifications, or encumbrances of any kind whatsoever shall not be accepted by Lessor. A penalty for a late payment shall be charged as set forth in the PENALTIES paragraph herein. 6. PENALTIES - A penalty shall be imposed for, but not limited to, late payments, improper payments, operational deficiencies, violation of any covenant of this lease. or false statements made to Lessor. Penalties shall be determined by Lessor unless otherwise provided for by law and may be in the form of, but not limited to, interest, fees, fines, and/or lease cancellation. 7. LAW - The terms and conditions of this lease shall be performed and exercised subject to all laws, rules, regulations, orders, local ordinances or resolutions applicable to and binding upon the administrationof lands owned by the State of Colorado, and to laws, rules and regulationsgovemingoil and gas operations in Colorado. Violations shall result in penalties as provided for by law or as set forth in the aforementioned schedule or shall, at the option of Lessor, result in default as provided hereinafter. 8. SURRENDER - Lessee may at any time, by paying to Lessor all amounts then due as provided herein, surrender this lease insofar as the same covers all or any portion of the land herein leased and be relieved from further obligations or liability hereunder with respect to the land so surrendered; provided that no partial surrender or cancellation of this lease shall be for less than contiguous tracts of approximately 40 acres or Governmental lot corresponding to a quarter -quarter section; provided further that this surrender clause and the option herein reserved to Lessee shall cease and become absolutely inoperative immediately and concurrently with the institution of any suit in any court of law by Lessee, Lessor or any assignee of either to enforce this lease, or any of its tens express or implied. in no case shall any surrender be effective until Lessee shall have made full provision for conservation of the leased products and protection of the surface rights of the leased land. 9. ASSIGNMENTS - (a) Lessee, with written consent of Lessor, shall have the right to assign the entire leasehold interest of said Lessee in all or part of the land covered hereby, but not less however, than contiguous tracts of approximately 40 acres or Governmental lot corresponding to a quarter -quarter section for any partial assignment, and for approval of such assignment Lessor shall make an assignment charge in an amount to be determined by Lessor. Prior to written approval by Lessor of assignment of this lease, Lessee (assignor) shall not be relieved of its obligations under the tens and conditions herein. An assignment shall not extend the ten of this lease. (b) if any assignment of a portion of the land covered hereby shall be approved, a new lease shall be issued to the assignee covering the assigned land, containing the same terms and conditions as this lease, and limited as to term as this lease is limited, and the assignor shall be released and discharged from all further obligationsand liabilitiesas to that portion so assigned. (C) Lessee shall notify Lessor of all assignments of undivided percentage or other interests. Said interests will not be recognized or approved by Lessor, and the effect of any such assignments will be strictly and only between the parties thereto, and outside the terms of this lease; and no dispute between parties to any such assignment shall operate to relieve Lessee from performance of any terms or conditions hereof or to postpone the time therefor. However, if Lessee assigns 100 percent of said interest in this manner. a leasehold assignment must be received and approved by lessor to assure that a leasehold interest is maintained by the record lessee. Lessor shall at all times be entitled to look solely to Lessee or his assignee shown on its books as being the sole owner hereof, and for the sending of all notices required by this lease and for the performance of all tens and conditions hereof. (d) Although not binding on Lessor, all instrnments of every kind and nature whatsoever affecting this lease shall be filed in the records of the Mineral t!cpartment of Lessor. 10. OVERRIDING ROYALTY - Any and all onset :siytntentsof overriding royalties shall not exceed 5 percent, includingany overriding royalties pre, iousl din:. In the event that production drops to an amount that would cause the well to be shut-in or to be ptugge,:. dtci • ,verriding royalties based on last in fast Page 3of6 IIII111IIIIII11II11III11III111I0IIIII1IIIIIIIII f 3124155 1110612003 09:461 Moms*, Co 4 of 6 R 31.00 D 0.00 Stove Moreno Clerk & Recorder out, or prorated, maybe suspended to allow the well, if possible, to be economic. A reservation or assignment ofan overriding royalty inteest shall not relieve Lessee of any of its obligations for payment of royalties to Lessor as provided by ROYALTY paragraph herein. 11. OFFSET WELLS - Lessee agrees to protect the leased land from drainage by offset wells located on adjoining lands not owned by Lessor, when such drainage is not compensated for by counter -drainage. It shall be presumed that the production of oil and gas from offset wells results in drainage from the leased land, unless Lessee demonstrates to Lessor's satisfaction by engineering, geological, or other data that production from such offset well does not result in such drainage, or that the drilling of a well or wells on the leased land would not accomplish the purposes of protectingthe deposits under the leased land. Lessor'sdecision as to the existence of such drainage shall be final, and Lessee shall comply with Lessor's order thereon or surrender this lease as to any such undeveloped acreage as designated by Lessor. 12. DEVELOPMENT - Upon discovery of oil and gas or either of them on the leased land Lessee shall proceed with reasonable diligence to develop said land at a rate and to an extent commensurate with the economic development of the field in which the leased land lies. 13. UNITIZATION - COMMUNITIZATION - In the event Lessor permits the land herein leased to be included within a cornmunitiestionor unitization agreement, the terms of this lease may be deemed to be modified to conform to such agreement. When only a portion of the land under this lease is committed by an agreement, Lessor may segregate the land and issue a separate lease for each portion not committed thereunder, the term of such separate lease shall be limited as to the original term of this lease. The terms of the lease on that portion remaining in the unit shall be deemed to be modified to conform to such agreement. Nonproducing leases shall terminate on the first anniversary date of the lease following the termination date of the unit or part thereof modifying the lease. but in no evert prior to the end of the primaryte a of the lease or the extension tern of the lease. 14. DISPOSAL WELLS - No well on State land shall be used as a disposal or injection well without a Disposal Well Lease approved by Lessor. 15. PRODUCTION - Lessee shall, subject to applicable laws, regulations and orders binding upon the administration of state lands, operate and produce all wells upon the leased land so long as the same are capable of producing in paying quantities, and shall operate the same so as to produce at a rate commensurate with the rate of production of wells on adjoining lends within the same field and within the limits of good engineering practice. except for such times as there exist neither market nor storage therefor, and except for such limitations on or suspensions of production as may be approved m writing by Lessor. Lessee shall be responsible for adequate site security on all producing properties. 16. SHUT-IN WELLS - If Lessee shall complete a well on the leased land productive of oil and/or gas and Lessee is unable to produce such oil and/or gas due to a lack of suitable market therefor, Lessor may grant Lessee suspension of his obligations to produce hereunder until a suitable market for such oil and/or gas can be found, and during any such suspension period, it shall be deemed that oil and/or gas is being produced hereunder in paying quantities. Except, however, that beginning on the anniversary date next, of the year of an extension of the lease by reason of a shut-in well, Lessee shall pay to Lessor a shut-in royalty equal to S2 per acre of the lease per annum in addition to the annual rental. The minimum amount of such shut-in royalty payment shall be S320. Each year's shut-in royalty shall be forfeited to Lessor except for the shut-in royalty paid for the year during which the well begins production. The maximum extension of the lease, due to the existence of a shut-in well, shall be 5 years beyond the extension term as described in the EXTENSION paragraph herein. The granting of any further extensions shall be at the sole option of Lessor. 17. OPERATIONS - No exploration, drilling or production operation, including permanent installations, shall be within 200 feet of any existing building or other improvement, including water well or reservoir, without the written permission of the owner of said improvements. Lessee shall keep a correct log of each well drilled hereunder, showing by name or description the fermatieas passed through, the depth at which each fa:nation was reached the number of feet of each she casing set in each well, where set, and the total depth of each well drilled. Lessee, within 30 days after the completion or abandonment of any well drilled hereunder, shall file in the office of Lessor a complete and correct log of such well, together with a copy of the electric log and the radioactivity log of the well when such logs, or either of them, are run; and also a copy of all drill stem test results, core records and analyses, record of perforations and initial production tests, if any. If any of the information required by this paragraph is contained in reports required to be filed with the Oil and Gas Conservation Commission of Colorado, the requirements of this paragraph for such information may be satisfied by such filing with said Commission, except for copies of the repots as are required by the following paragraph, and provided that all such information is immediately available to Lessor. Any proprietary information so submitted shall not be subject to public inspection onderColorado law. Page 4 of 6 gyillosttaliggint � is{�r�i� Duily, CO 5 of 0 R 31.00 0 0.00 Stove Moreno Clerk dr Remitter Lessee shall bury pipelines below plow depth. Lessee shall set and cement sufficient surface casing to protect the fresh water wells of the area. 18. NOTIFICATION - Lessee shall notify Lessor and the surface lessee or surface owner of the location of each drill site at least two weeks prior to commencing drilling operations thereon. Lessee shall notify Lessor before commencing to plug and abandon any well by copy of Lessee's request for approval or sundry notice of intent to plug and abandon. 19. BONDS - Lessee shall be liable for all damages to the surface of the land, livestock, growing crops, water wells, reservoirs, or improvements caused by Lessee's operations on said land. No operations shall be commenced on the land hereinabove described unless and until Lessee shall have filed a good and sufficient bond with Lessor, in an amount to be fixed by Lessor, to secure the payment for such damages as may be caused by Lessee's operations on said land and to assure compliance with all the terms and provisions of this lease, the laws of the State of Colorado, and the rules and regutationsthereto appertaining. A bond maybe held in effect for the life of production of any well. 20. SETTLEMENT - Lessee shall not remove any machinery, equipment or fixtures placed on said land, other than drilling equipment, nor draw the casing from any well unless and until all payments and obligations currently due Lessor under the terns of this lease shall have been paid or satisfied. My machinery, equipment or fixtures left on this land fora period of more than 6 months after the expiration hereof, shall automatically become the property of Lessor. 21. OTHER DISCOVERY - Should Lessee discover any valuable products other than oil and gas, on or within the leased land, Lessee shall within 7 days report such discovery to Lessor, in which event Lessee and Lessor may negotiate a provision for production of such discovery. 22. WATER - This lease does not grant pemtission, express or implied, to Lessee for water exploration, drilling or establishing water wells without written permission of the surface owner and other required state permits. If Lessee desires to establisher adjudicate any water right for beneficial use on the leased land in direct relationship to lease operations this adjudication or application shall be in the name of Lessor if lessor is the surface owner. Water for use off the lease may only be used with permission of the surface owner and a charge maybe imposed for this use. 23. DEFAULT - Upon failure or defauit of Lessee to comply with any of the terms and provisions hereof, including but not limited to the failure to comply with laws, rules and regulations governing Colorado oil and gas operations and including Lessor's policy now or hereafter in force relative to this lease, provided that no policy made after the execution of this lease affecting either the length of the term hereof, the rate of royalty, or payment hereunder, or the assignment hereof, shall operate to alter the terms and conditions of this lease, Lessor is hereby authorized upon notice and hearing, as hereinafter provided, to cancel this lease as to all of the leased land so 'claimed ors possessed by Lessee hereunder. In the event of any such default or failure, Lessor shall, before making any such' cancellation, send to Lessee by certified mail, to the post office address of said lessee as shown by the records bf Lessor, a notice of intention to cancel for such failure or default, specifyingthe same, stating that if within 30 days froth the date of mailing said notice, Lessee shall correct such failure or default to the satisfaction of Lessor, no cancellation will be made. If such failure or default is not corrected within 30 days after the mailing of such notice, and if Lessee does not request a hearing on such notice within 30 days, this lease will terminate and be cancelled by operation of this paragraph without further action by Lessor, or further notice to Lessee. 24. EXTENSION - If, at the expiration of the primary term of this lease, production of oil or gas has not been obtained on the leased premises but drilling operations are being conducted thereon in good faith and in a good and workmanlike manner, Lessee may, on or before the expiration of the primary term, make written application to Lessor for an extension of this lease fora term equal to one year. Such application must be accompanied by a payment of $10 per acre or portion thereof. This lease shall not be extended for more than one year past the primary term unless production in paying quantities has been obtained or unless extended by some other provision hereof. 25. HOLD HARMLESS - Lessee shall indemnify Lessor against all liability and loss, and against all claims and actions, including the defense of such claims or actions, based upon or arising out of damage or injury, including death, to persons or property caused by or sustained in connection with operations on this leased land or by conditions created thereby, or based upon any violation of any statute, ord inane, or regulation. 26. CONDEMNATION -lf the leased lam! olotl lie t^' st in any condemnation procegding,tltis lease shall automatically terminate as of the date of taking. 7 I • nrd lin such condemnation shall bt`{ta tl'f6 Istssbc, except for any specific award(s) paid to Lessee for severed d r:rs reserves, in which event a ttert:edtoge osrioIs specific awards equal to royalty as specified under Item 2 (Rs, alty)shall be paid to Lessor in lieu of ioyalty lost by Page 5 of 6 IIl�ttttlliltllttllltNttlItttlltlllll�I � - 3124155 11/0612003 09:45A Weld Courtly. CD Oct 6 R 31.00 D 0.00 Steve Moreno Clerk d Recorder virtue of the condemnation. lmprovementsshall be removed by Lessee perr terms in the SETTLEMENT paragraph herein. If only a portion of the leased land is taken by condemnation, Lessee may, at its option, terminate this lease or terminate only that portion of the lease so taken. 27. ERRORS- Every effort is made by Lessor to avoid errors in all procedures including butnot limited to auction listings and lease preparation. Lessor shall not be liable for any inconvenience or loss caused by errors which may occur. Lessee shall notify Lessor immediately upon discovery of any errors or discrepancy whatever. 28. ARCHAEOLOGY- Lessee shall not destroy, disturb, mar, collect, remove or alter any prehistoric or historic resources of any kind on state lands as provided by law. These resources include but are not limited to all artifacts of stone, wood or metal, pictographs, structures, and bones. A discovery of anything of prehistoric or historic nature shall be reportedto Lessor or the State Archacologistimmediately. 29. DEFINITIONS - A. "Gas" as used herein shall mean all gases (combustible and noncombustible), including but not limited to all gaseous hydrocarbons, gaseous compounds, carbon dioxide, and helium. B. "Oil and gas" as used herein shall include all substances produced as: by-products therewith, includingbut not limitedte sulfur. C. "Paying quantities" as used herein shall mean and refer to quantities of oil and gas or of either of them sufficient to return to Lessor an amount_ equal to the shut-in royalty. 30. TAXES - Lessee shall pay all property taxes, or payments in lieu of taxes, lawfully assessed for the leased premises or improvements thereon. 3]. HEIRS AND ASSIGNS The benefits and obligations of this lease shall inure to and be binding upon the heirs, legal representatives, successors or assigns of Lessee; but no sublease or assignment hereof, or of any interest herein, shall be binding upon Lessor until the same has been approved by Lessor as explained in the ASSIGNMENTS paragraph provided. 32. IN WITNESS WHEREOF, Lessor has hereunto signed and caused its name to he signed by the STATE BOARD OF LAND COMMISSIONERS, with the seal of the office affixed, and Lessee has ei . , ,,; cement, the day and year first above written. Recommended: Mark W. Davis, MineralsDirector ATTEST State of COLORADO County of WILD The foregoing instrumentcvas acknowledgedbefore me this 2ND day of APRIL 2003 by Tt5O0AS B 00000 as being authorized to execute same. ST s TE BOARD OF LAND Diane C tnstoy ` `rJ. Cast lian, Division LESSEE CFt //F. if c y,/�Nffe3 . byy I/l-r0 0, SFal or Authority . C,11 4`.4*. Notary Public My Commission Expires v7aa3 Page 6of6 3UTam Crete ]3F5 FmnticrRl) Gresfcy,CO5s 0 43? RECORDING REQUESTED BY & WHEN RECORDED MAIL TO: BONANZA CREEK OPERATING COMPANY, LLC 4900 CALIFORNIAAVE, SUITE 3508 BAKERSFIELD, CA 93309 IIIIIIIIIIIIIIIIIlIIIlIIIIf'1'411 V1!IIffI 111 11113318437 1111 CO 1 of 22 08/31/2005 111p 001 iMereno County, Recorder ASSIGNMENT, BILL OF SALE AND CONVEYANCE THIS ASSIGNMENT, BILL OF SALE AND CONVEYANCE ("Assignment") is dated effective July 1, 2005, andis made from CFG Energy, Inc. ("CFG'), a Colorado corporation whose address is 3932 West 18th Street Lane, Greeley, Colorado 80634; Thomas B. Croke, HE, and Laura L. Croke, husband and wife, whose address is also 3932 West 18th Street Lane Greeley, Colorado 80634; RAAM Production, LLC, a Colorado limited liability company, P.O. Box 269, Sterling, Colorado 80751; Ronald E. Yetter and Tonle E. Yetter, husband and wife, 20037 Highway 52, Fort Morgan, Colorado 80701; and Albert E. Yetter, 1020 Seventh Avenue; Sidney, Nebraska 69162 (collectively, the "Assignors") to Bonanza Creek Operating Company, LLC ("Bonanza Creek"), a California limited liability company whose address is 4900 California Avenue, Suite 350-B, Bakersfield, California 93390, as Assignee. For $100.00 and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Assignors hereby sell, assign, transfer, grant, bargain and convey all of their right, title and interest in and to the Assets to Bonanza Creek. As used in this Assignment, the term "Assets" means the following real and personal property interests: the wells (the 'Wells") described in Exhibit A; the oil and gas leases (the "Leases") listed in Exhibit B attached hereto, but only insofar as they cover the lands (the "Lands") specifically described in Exhibit B; the personal property and fixtures located on, in and under the Lands, including without limitation the equipment shown in Exhibit C; the surface owner agreements, operating agreements, marketingagreements, pooling agreements, rights of way, easements, surface agreements, gas sale contracts, gas processing contracts, and other contracts and agreements that benefit or burden the Wells, Leases or Lands, including without limitation the particular agreements identified in Exhibit D; the oil, gas, casinghead gas, condensate, distillate, liquid hydrocarbons, gaseous hydrocarbons, products refined and manufactured therefrom, and other minerals, produced from the Wells and the accounts and proceeds from the sale of the foregoing and Assignment, Bi11 of Sale and Conveyance dated effective July 1.2005 between CFG Energy. Inc.. et al. Assignors and Bonanza Creek Operating Company, LLC, Assignee. 6.0i+taio•000 .z 1)111111 11111 nin III Ili1I lo 1111 n Lei 08/31/2005 02:41P Wel. county, CO 2 of 22 R 111.00 D 0.00 Steve Moreno Clerk & Recorder the files, records, seismic, seismic interpretation, electronic databases and seismic licensing and other documentary information (the "Information") relating to the Leases and Lands, but only to the extent that are in Assignors' possession and are not subject to third party confidentiality restrictions. Assignors hereby except and reserve an overriding royalty interest (subject to proportionate reduction based both on .the percentage leasehold interest being assigned to Bonanza Creek and on the percentage of the fee oil and gas estate covered by such Lease) on all oil, gas and other hydrocarbon substances produced, saved and sold under the terms of each Lease equal to the difference between 19% and all landowner royalties, overriding royalties and other burdens on production that are of record at the date hereof. The overriding royalty interest in each particular Lease is being reserved by each Assignor in the same manner and in the same proportion that it held its undivided leasehold interest in such Lease immediately prior to this Assignment, so that i.f for example, CFG owned a 50% leasehold interest in a Lease and Ronald E. Yetter and Tonic E. Yetter, as joint tenants, owned the rernaining 50% interest, and if the other Assignors had no interest, then the entire overriding royalty interest reserved hereby in. such Lease would be owned 50% by CFG and 50% by Ronald E. Yetter and Tonle E. Yetter, as joint tenants. No reservaticm to a stranger is intended. Overriding royalties due under this reservation in respect of production under a particular Lease shall be determined and calculated (for example, but not by way of limitation, in respect of value or proceeds and in. respect of permissible deductions) in the same manner as the landowner's royalty under that same Lease. Finally, these reserved overriding royalties shall burden all renewals, extensions, new leases and other similar arrangements in respect of a Lease that maybe obtained by Bonanza Creek before the expiration of such Lease or within six months after expiration of such Lease. TO HAVE AND TO HOLD the Assets unto Bonanza Creek and its successors and assigns forever. This Assignment is made subject to the following terms and conditions: A. This Assignment is being made pursuant to the termsofthe Purchase and Sale Agreement dated as of July 1, 2005, among Assignors and Bonanza Creek (the "PSA"). B. ASSIGNORS WARRANT TITLE TO THE ASSETS FROM AND AGAINST ALL PERSONS CLAIMING BY, THROUGH, AND UNDER ASSIGNORS BUT NOT OTHERWISE. EXCEPT FOR THIS FOREGOING SPECIAL WARRANTY OF TITLE, THE ASSIGNMENT IS MADE WITHOUT WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY. C. ASSIGNORS EXPRESSLY DISCLAIM AND NEGATE ANY WARRANTY AS TO THE CONDITION OF ANY PERSONAL PROPERTY, EQUIPMENT, FIXTURES AND ITEMS OF MOVABLE PROPERTY COMPRISING ANY PART OF THE ASSETS, INCLUDING (I) ANY IMPLIED OR EXPRESS WARRANTY OF MERCHANTABILITY, (ii) ANY IMPLIED OR EXPRESS WARRANTY OF FITNESS 2 Assignment. BID of Sale anti Conveyance dated effective July 1, 2005 between CPO Energy, fne., et al, Assignors and Banana Creek Operating Company, LLC, Assignee. :A INI11111 Ni111111111111I1111 ll" IIII lilt 3318437 08(3112005 02:41P Weld County, CO 3 of 22 R 111.00 D 0.00 Steve Moreno Clerk 8t Recorder FORA PARTICULAR PURPOSE, (iii) ANY IMPLIED OR EXPRESS WARRANTY OF CONFORMITY TO MODELS OR SAMPLES OF MATERIALS, (iv) ANY RIGHTS OF BONANZA CREEK UNDER APPLICABLE STATUTES TO CLAIM DIMINUTION OF CONSIDERATION, AND (v) ANY CLAIM BY BONANZA CREEK FOR DAMAGES BECAUSE OF DEFECTS, WHETHER KNOWN OR UNKNOWN. BONANZA CREEK ACKNOWLEDGES THAT SAID PERSONAL PROPERTY, FIXTURES, EQUIPMENT AND ITEMS ARE BEING CONVEYED TO IT "AS IS, WHERE IS," WITH ALL FAULTS AND IN THEIR PRESENT CONDITION AND STATE OF REPAIR D. To -the extent permitted by law, Bonanza Creek shall be subrogated to Assignors' rights in and to representations, warranties and covenants given with respect to the Assets. Assignors hereby grant and transfer to Bonanza Creek, its successors and assigns, to the extent so transferable and permitted by law, the benefit of and the right to enforce the covenants, representations and warranties, if any, which Assignors maybe entitled to enforce with respect to the Assets. E. The PSA contains an indemnification by Bonanza Creek for the benefit of Assignors and an indemnification by Assignors for the benefit of Bonanza Creek, which indemnifications are incorporated herein and which shall survive execution and delivery of this Assignment F. Separate governmental form assignments -of the Assets maybe executed on officially approved forms by the Assignors to Bonanza Creek, in sufficient counterparts to satisfy applicable statutory and regulatory requirements. Those assignments shall be deemed to contain all of the exceptions, reservations, warranties, rights, titles, power and privileges set forth herein as fully as though they were set forth in each such assignment. The interests conveyed by such separate assignments are the same, and not in addition -to, the Assets conveyed herein. G. This Assignment binds and inures to the benefit of Assignors and Bonanza Creek, together with their respective successors and assigns. IN WITNESS. WBEREOF, the parties have executed this Assignment, Bill of Sale and Conveyance as of the date first set forth above. ASSIGNORS: ASSIGNEE: CFG ENERGY, INC. BONANZA CREEK OPERATING COMPANY, LLC • B A /1 IL.. .s. By:y: ;�Thomas B. Croke, Ili, President ]Vfichael R. tarzer, President 3 Assignment, sill of Side and Carver= dated effective July I, 2005between CFO iasetgy, Inc., et al, Assignors and Bonanza Creek Opetatmg Company, LLC, Assignee. 111l1I1III1JIIIIIIIII1II Bl IIIIIII IIII l�I IIII 31/2005 02:41P Weld Cot , CL 4 of 22 R 111.00 D 0.00 Steve Moreno Clerk & Recorder / Thomas B. Croke, III, individually RAAM PRODUCTION, LLC Ronald E. Yetter, Mpeager Ronald E. Yetter, in " dually Tonle E. Yetter, individv Albert E. Yetter, indi ldually L. Croke, in vidually STATE OF COLORADO ) )ss. COUNTY OF WELD ) The foregoing instrument was acknowledged before me thisa .day of August, 2005, by Thomas B. Croke, III, both individually and as President of CFG En gy, Inc., a Colorado corporation, and also by Laura L. Croke, individually. My commission expires: Witness my hand and official seal. Notary Public 4 Assignment, Belt of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., et al, .Assignors and Bonanza Creek Operas. Canpany. LLC, Assignee. f. 11 11111111111111111111III Ills 111 C:;I 11111111 3318437 08/31/2005 02:41P Weld County, CO 5 of .22 R 111.00 0 0.00 Steve Moreno Clerk & Recorder STATE OF COLORADO ) ) ss COUNTY OF /IIJIJ) The foregoing instrument was acknowledged before me this .31 day of August , 2005, by Ronald E. Yetter, individually and as Manager of RAAM Production, LLC, a Colorado limited liability ccanpany, and also by Tonne E. Yetter, individually. Witness my hand and official seal. My commission expires: it- /c - STATE OF COLORADO ) ) ss. COUNTY OF aLd ) The foregoing instrument was ac;: t' ged before me this ...... day of August, 2005, by Albert E. Yetter. My commission expires: `1-% State of California County of Kern se'µ •. ••- �� DARELLA L BL0CH .o Public On 4by t..6, 29 2005 before me, 1. . , Notary Public, personal ppeared . , personally known to ale • —O — riavC tl tv arc on the basis of catisfaetoryy evideaoe io be the personle)'whose name(,sr) islanrsubscribed to the within instrument and acknowledge to me that heishel4herexecuted the same in hisihen'diei authorized capacity000, and that by hissfren4heirsignature on the instrument the persons or the entity upon fehalf of which the oesso kt aacted, red the instalment. MONICA L WARD-KLL.ER Commtsalon g 1514772 NoblyCalifornia is S my d and official seal. Kam County comm,r�aoa2o.zoos My My commission expires: . z0,Cob Notary Public 5 Assignment. BM of Sale and Conveyance dated effective July 1.2005 between CFG Energy, lac., et al, Assignors and Bonanza Creek Operating Company. LLC, Assignee. • I1JIIIiI1RiIII.iJIIjii IIIIIII 1 11ICioi 3318437 01/3112005 02:41P Weld County, CO 6 of 22 0 111.00 0 0.00 Steve Moreno Clerk & Recorder Exhibit "A" Attached to and made a part of that certain Assignment, Bill of Sale and Conveyance dated effective Jnly 1, 2005 between CFG Energy, Inc., Thomas B. Croke, III and Laura L. Croke, RAAM Production, LLC, Ronald E. Yetter and Tonle E. Yetter, and Albert E. Yetter, Assignors and Bonanza Creek Operating Company, LLC, Assignee. WELLS North Riverside Project (Developed) Weld County, Colorado Well I API Field Location WI NRI MGF Williams 8-1 05-123- 10129 North Riverside NESW S8 T5N R61W 1.00000 0.77500 Pronghorn 14-4 05-123- 22430 North Riverside SWSW S4 T5N R61W 1.00000 0.81000 Pronghorn 32-8 05-123- 22052 North Riverside SWNE S8 T5N R61W • 1.00000 0.76250 Pronghorn 12-9 05-123- 22050 North Riverside SWNW S9 TSN R61W 1.00000 0.81000 Weld County 22-15 05-123- 19630 North Riverside SENW S15 TSN R61W 1.00000 0.81000 Pronghorn 41-16 05-123- 22768 North Riverside NENE S16 TSN R61W 1.00000 0.81000 Pronghorn 31-17 05-123- 22765 North Riverside NWNE S17 T5N R61W 1.00000 0:81000 Pronghorn 11-17 05-123- 22547 North Riverside NWNW S17 TSN R61W. 1.00000 0.81000 6 Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFO Energy, Inc., et al. Assignors and Bonanza Creek Operating Company, LLC, Assignee. 1.IIIiJ'IIIIIIIIIIillII IIIIIII III IIIIIII ►;MITI leal 1111 3318437 7 of � 08/3112,.. 11100 D 0 001 Steve,Morreno Clerk & Recorder Exhibit "B" Attached to and made a part of that certain Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., Thomas B. Croke, III and Laura L. Croke, RAAM Production, LLC, Ronald E. Yetter and Tonic E. Yetter, and Albert E. Yetter, Assignors and Bonanza Creek Operating Company, LLC, Assignee. The Lands North Riverside Project (Developed) Weld County, Colorado Spot Section Township Range WI NRI W/2 3 5N 61W 1.00000 0.81000 W/2 10 SN 61W 1.00000 0.81000 W/2 15 SN 61W 1.00000 0.81000 All 4 SN 61W 1.00000 0.81000 All 5 5N 61W 1.00000 0.81000 All 6 SN 61W 1.00000 0.81000 All 7 5N 61W 1.00000 0.81000 All 9 SN 61W 1.00000 0.81000 All 16 5N 61W 1.00600 0.81000 All 17 5N 61W 1.00000 0.81000 All 18 SN 61W 1.00000 • 0.81000 SW/4 8 SN 61W 1.00000 0.76250 NE/4 8 SN 61W 1.00000 0.76250 7 Assignment, BM of Sale and Conveyance dated effective July 1, 2005 between CFO Energy, Inc., et al, Assignors and BacemaCreek Operating Company, LLC. Assignee. Lessor Nancy Ann Blotter, a married woman dealing in tier sole and separate property Lessee CFG Energy, Inc. Dean N. Davis and CFG Energy, Inc. Lillian E. Davis, husband and wife Mary Evelyn Davis, a widow CFG Energy, Inc. Patricia Sue Fickes and CFG Energy, Inc. John Robert Fickes, Wife and husband Alice M. Flanagan, formerly known as Alice M. Mandelko and Donald J. Flanagan, her husband CFG Energy, Inc. George Richard Foreman and CFG Energy, Inc. Jessie M. Foreman, husband and wife James R. Harrison and CFG Energy, Inc. Janice A. Harrison, husband and wife Vicky L. Higginbotham, CFG Energy, Inc. Attorney -in -Fact for, Frances Irene Sublett H. Loraine Mandelko, CFG Energy, Inc. a single woman Recording Date Rec. No. Description o .a.. 11/19/2004 3236991 Township 5 North, Range 61 West, 6"' P.M. s Section 3: W1/2 t.ts 10/15/2004 3227722 Township 5 North. Range 61 West. 6"' P.M. Section 3: W1/2 5 =— 11/19/2004 3236992 Towgghip 5 North. Range 61 West 6° P.M. Section 3: W1/2 pa at. 10/15/2004 3227/21 Township 5 North. Range 61 West. 6'" P.M. a. Section 3: W1/2 9 10/15/2004 3227123 Township 5 North. Ranee 61 West. 6° P.M. Section 3: W1/2 11/19/2004 3236993 Township 5 North. Range 61 West. 6"' P.M. Section 3: W1/2 01/14/2005 32p018 11/19/2004 3236994 Township 5 North. Range 61 West. 6"' P.M, Section 3: W1/2 e6 Section 3: W1/2 01/14/2004 3293017 Township 5 North. Range 61 West. 6' P.M. Section 3: W1/2 8 Assignment, Bill of Sale and Conveyance dated effective July I, 2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. Penny Lee Reid, a married woman dealing in her sole and separate property Ann E. Armit as Custodian for Jolm E. Armit u/cutma Ann E. Annit as Custodian for Julia Ann Armit u/cutma James Foster and Karen Foster, husband and wife • Jolm Foster and Sylvia Foster, his wife Norman A. Foster and Dean F. Foster Robert P. Foster mid Treys Foster his wife Dennis W. Grotheer and Debra A. Grotheer, CO -Trustees of the Dennis W. Grotheer Living Trust K. S. Properties, LLC CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc CFG Energy, Inc. CFG Energy, Inc. • 11/19/2004 3236990 Township 5 North. Range 61 West. 6d' P.M. • Section 3: W1/2 11/05/2003 3124100 Township 5 North. Range 61 West, 6'h P.M. Section 4: W1/2NW1/4, 1/4, NE1/4 Section 5: Lot 1 (39.44), SE1/4NEl/4 11/05/2003 3124099 Township 5 North. Range 61 West. 6" P.M. Section 4: W1/2NW1/4, NE1/4 Section 5: Lot 1(39.44), SE1/4NE1/4 11/05/2003 3124093 Township 5 North. Range 61 West. 6'h P.M. Section 4: SE1/4 11/05/2003 3124097 Township 5 North. Range 61 West. el P.M. Section 4: SE1/4 03/08/2004 3160053 Township 5 North. Range 61 West. 6* P&L . Section 4: SE1/4 j ee s o e ea 06/02/2005 3291075 Township 5 North. Range 61 West. 6`h P.M. = Section 4: SEl/4 11/18/2003 3127857 Township 5 North. Range 61 West. 6" P.M. --!,',A=.;; Section4: W1/2SW1/4- c Section 9: E1/2 amm e � !rime 3' n 12/19/2003 3137006 Township 5 North. Range 61 West. 6W 1 P.M. g aa_ gam= o aaa� moots R 9 &u- p: a Section 4: SEl/4 Assignment, Bill or Sale and Conveyance dated effective July 1.2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, I.tC, Assignee. Alvin L. Sall and Marilyn A. Sall, husband and wife Brenda Fay Sall, a single woman Clarence Pierce Sall and Doris Darlene Sall, husband and wife Lillian II. Slolarczyk Smith, a married woman dealing in her sole and separate properly Weld County, Colorado, a political subdivision of the State of Colorado, acting by and through the Board of County Commissioners of the County of Weld, for its respective interests, c/o Board of County Commissioners Lloyd Linnebur acid Shirley A. Linnebur husband and wife Ruth Cabelka a married woman dealing in her sole and separate property CFO Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFO Energy, Inc. CFO Energy, Inc. CFO Energy, Inc. CFO Energy, Inc. 08/11/2003 3093790 Township 5 North, Range 61 West. 6"IP.M. cc, -v_, Section 4: SE1/4 11/05/2003 3124095 Township 5 North. Range 61 West, 6° P.M. M = Section 4: SE1/4 •• �" Ems MN j.2" 11/05/2003 3124096 Township 5 North. Range 61 West. 6s' P.M. g g! Section4: SE1/4 p1• 11/05/2003 3124094 Township 5 North. Range 61 West, 6° P.M. o Section 4: SE1/4 en 1 3"� 01/12/2004 3143332 Township 5 North. Range 61 West, 6tb P.M. a Section 4: Lot 3 and SE1/4NW 1/4; o El/2SW1/4 mom® Ae 03/03/2004 3158466 Township 5 North. Range 61 West. 6d' P.M. Section 5: Lots 1(39.44), 2 (39.45), 3 (39.49), and 4 (39.52), S1/21,11/2, S1/2 Section 6: SE1/4SW1/4, SW1/4SE1/4, NEl/4SW1/4, NW1/43E1/4, El/2SE1/4 Section 7: Lots 3 (39.51), 4 (39.57), E1/2W1/2, 01/2 11/05/2003 3124101 Towns p 5 North. Range 61 West. 6° P.M. Section 5: Lots 2 (39.45), SW1/4NE1/4 W1/2SE1/4 10 Assignment, Bill orSale and Conveyance dated effective July l , 2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. •a partnership Thomas Marvin Thompson, CFG Energy, Inc. a single man The American National Red Cross CFG Energy, Inc. Joan Brodie, a widow CFG Energy, Inc. Elmer Willis Ealey CFG Energy, Inc. Ism McGhee Investment Company, CFO Energy, Inc. 06/30/2003 3078350 Township 5 North, Range 61 West, 6'h P.M. oa,, Section 5: Lots 1(39.42), 2 (39.45), 3 (39.49), 4 (39.52), S1/2N1/2, S1/2 Section 6: SE1/4SW1/4, SW1/4SE1/4, EI/2SEI/4 Section 7: Lots 3 (39.51), 4 (39.57), E1/2W1/2, E1/2 Section 17: W1/2, SE1/4 • Section 18: Lots 1(39.62), 2 (39.62), 3 (39.72), 4 (39.78), E1/2W1/2, E1/2 a 11/05/2003 3124102 Township 5 North. Range 61 West. 6a' P.M. • Section 5: Lot 2 (39.45), SW 1/4NE1/4, W1/2SE1/4 • 03/08/2004 3160051 Township 5 North, Range 61 West. 6a' P.M. Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SEl/4NW1/4 Section 7: Lots 1(39.39), 2 (39.16) 11/05/2003 3124103 Township 5 North. Range 61 West. 6° P.M. Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW1/4 Section 7: Lots 1 (39.39), 2 (39.16) 04/22/2004 3172711 Township 5 North. Range 61 West. 6s' P.M. Section 6: SE1/4SW1/4, SW1/4SE1/4 Section 7: NE1/4NW1/4, NE1/4, 11 Assignment, Dili of Sale and Conveyance dated effective July 1, 2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. SEl/4NW 1/4 Gina M. Janak and David W. Janak, wife and husband CFG Energy, Inc. Gene F. Keyser Jones, CFG Energy, Inc. as Agent and Attorney -in -Fact for the Funkhouser Family Partnership G. N. Rupe CFO Energy, Inc. Joann L. Eisenbrandt CFG Energy, inc. Gene F. Keyser Jones, as Agent CFG Energy, Inc. and Attomey-In Fact for the Funkhouser Fatuity Partnership Theron Vannest, a single man CFG Energy, Inc. 08/22/2003 3098923 Township 5 North. Range 61 West. 6° P.M. Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW1/4 Section 7: Lots 1 (39.39), 2 (39.45) o 02/17/2005 3261726 Township 5 North. Range 61 West. 6° P.M, $ P Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), O pi 7 (39.34), SE1/4NW1/4 0- 06/02/2004 3185887 Township 5 North. Mange 61 West. 6'h P.M Its • Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), o SEI/4NW1/4 Section 7: Lots 1(39.39), 2 (39.16) o» 11/18/2003 3127856 Township 5 North,Range 61 West. 6d' P.m a = Section 7: Lots 3 (39.51), 4 (39.57), ttttttt� E1/2SW 1/4, SE1/4, also described g a. as the entire S1/2 03/08/2004 3160049 Township 5 North, Range 61 West. 6° P.M. Section 7: Lots 1(39.39), 2 (39.16) 02/07/2005 3259230 Township 5 North, Range 61 West, 6° P.M. Section 7: NE1/4, E1/2NW1/4 12 Assignment, Bill of Sale and Conveyance dated effective July I , 2005 between CFG Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. The Salvation Army National Corporation CFG Energy, Inc. Nancy Ann Blotter, a married CFG Energy, Inc. woman dealing in her sole and separate property Dean N. Davis Mary Evalyn Davis, a widow Patricia Sue Fickes Alice M. Flanagan, formerly Alice M. Mandelko George Richard Foreman James R. Harrison and Janice A. Harrison, husband and wife H. Loraine Mandelko CFG Energy, Inc. CFG Energy, inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. 03/08/2004 3160050 Township 5 North, Range 61 West. 6° P.M. i° Section 6: Lots 3 (39.83), 4 (39.16); 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW1/4 Section 7: Lots 1 (39.39), 2 (39.16) ' 03/08/2004 3160054 Township 5 North. Range 61 West. 6'" P.M, Section 9: SWI/4 Section 10: W/2 0{ 10/21/2003 3119293 Tovoship 5 North. Range 61 West, 6'" P.M. M Section 9: SW 1/4 Section 10: W/2 10/28/2003 3121340 11/03/2003 3123152 11/06/2003 3124260, 5.2 Section 10: W/2 �'� a� asss� 11/18/2003 3127855 T4}lpaship�5 North. Range 61 West. 6'" P.M g Section 9: SW1/4 • a . Section 10: W/2 TQ}laship 5 North. Range 61 West, 6° P.M. tfi'4°11- Section 9: SW 1/4 v MINIM Section 10: W/2 or. Township 5 North. Range 61 West. 6° P.M. * = Section 9: SW1/4 =N"" Section 10: W/2 1 �a Township 5 North. Range 61 West. 6th P.M Section 9: SW1/4 03/08/2004 3160052 Township 5 North. Range 61 West. 6a' P.M. Section 9: SW1/4 Section 10: W/2 12/08/2003 3133382 Township 5 North. Range 61 West. 6° P.M. Section 9: SW 1/4 13 Assigment, Bill of Sale and Conveyance dated effective July t, 2005 between CFO Energy, Inc„ et al. Assignors and Bonanza Creek Operating Company, U C, Assignee. Penny Lee Reed, a married CFG Energy, Inc. woman dealing in her sole and separate property Frances Irene Sublett CFG Energy, Inc. Weld County, Colorado, a CFG Energy, Inc. political subdivision of the State of Colorado, acting by and through the Board of County Commissioners of the County of Weld, for its respective interests, c/a Board of County Commissioners Nancy Lee Aston, a widow CFG Energy, Inc. James W. Heckman, a single man CFG Energy, Inc. Robert S. McLandress, a married CFG Energy, Inc. man dealing in his sole and separate property Katherine S. Shannon, a widow CFG Energy, Inc. Weld County, Colorado Section 10: W/2 nIza 04/22/2004 3172710 Township 5 North. Range 61 West. 6th P.M. 81 1 Section 9: SW 1/4 c7 Section 10: W/2 10/28/2003 3121341 Township 5 North, Range 61 West. 6°i P.M. if "4 Section 9: SW1/4 Section 10: W/2 0 e 01/06/2004 3141448 ' Township 5 North. Range 61 West, 6° P.M. Section 9: NW 1/4 a• 11/05/2003 3124098 Township 5 North. Range 61 West. 6°i P.M. Section 10: Wl/2 11/05/2003 3124105 Township 5 North Range 61 West, 6°i P.M. Section 10: W1/2 11/05/2003 3124106 Township 5 North. Range 61 West. 6th P.M. Section 10: W1/2 11/05/2003 3124104 Township 5 North. Range 61 West. 6th P.M. • Section 10: W1/2 El Camino Resources/ 08/18/2003 3096555 Township S North. Range 61 West, 6"IP.M. Raymond A. Tonella Section 15: NW/4 14 rms J Assignment, Hill or Sale and Conveyance dated effective July 1, 2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating.Company, LLC, Assignee. Geo. A. Henderson Co., a Colorado Corporation Wells Fargo Bank, N.A., as Successor Trustee of the Mildred H. Robbins Trust FBO Nancy R. Schrader Wells Fargo Bank, NA., as Successor Trustee of the Mildred H. Robbins Trust FBO Suzanne R. Oeklaus Wells Fargo Bank, N.A., as Successor Trustee of the Mildred H. Robbins Trust FBO George H. Robbins Wells Fargo Bank, N.A., as Successor Trustee of the Mildred H. Robbins Trust F13O Patricia Ann Robbins Wells Fargo Bank, N.A., as Successor' Trustee of the Mildred H. Robbins Trust IMO Holden Erie Shannon CFG Energy, Inc CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CFG Energy, Inc. CPU Energy, Inc. State of Colorado, acting by and CFG Energy, Inc. through the State Board of Land Commissioners (#7799.3) Roy & Beverly Carlson & Co., CFG Energy, Inc. a partnership 01/14/2005 03/28/2005 03/28/2005 03/28/2005 03/28/2005 03/28/2005 11/06/2003 06/04/2003 15 3253016 3271961 Township 5 NorthLRange 61 West, 6th P.M. Section 15: SW1/4 Township 5 North, Range 61 West, 6th P.M. Section 15: SW/4 3271962 Township 5 North, Range 61 West, 6th P.M. Section 15: SW/4 3271963 3271964 3271965 3124155 3069522 r Township 5 North, Range 61 West, 6th P.M; o Section 15: SW/4 Is Township 5 North. Range 61 West, 6111 P.M. Section 15: SW/4 Township 5 North, Range 61 West, 6th P.Mcn a Section 15: SW/4 Township 5 North. Range 61 West, 6th P.M. Section 16: All Township 5 North, Range 61 West, 6th' P.M. Section 17: NE 1/4 Erne . go CD 0 CD -V p 0 Ec). woes wSaMIIIMMEIP MEM 0 Cu 111.011 MCI LINA tt�t c, Assignment, Bill of sale and Conveyance dated effective July 1, 2005 between CFG Energy, inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. 1 111111 11111 11111 1111111 III I�IIIII III IIIIII III IIII'• County, CO 16 of 22 R 111.00 D 0.00 Steve Moreno Clerk &'Recorder Wells Fargo Bank of Denver of Denver Colorado, successor by merger to United Bank of Denver, Trustee under the Will of C.A. Bresnahan Carol L. Ritchie and A. Scott Ritchie as Trustees of the Carol L. Ritchie Revocable Living Trust Under Ded of Tust dated 3/31/92 James E. Thom, a single man Velma R. Wallace, a single woman The William E. Walker Living Trust, William E. Walker, Trustee Nobelene Jay French, a married woman dealing in her sole and separate property Robert H. Hamilton, a married man dealing in his sole and separate property Thomas 13. Croke, Ili and Laura L. Croke Tom Croke, lll and Laura L. Croke, husband and wife, JTWROS Tom Croke, III and Laura L. Croke, husband and wife, JTWROS Tom Croke,111 and Laura L. Croke, husband and wife, JTWROS Tom Croke, III and Laura L. Croke, husband and wife, JTWROS Tom Croke, III and Laura L. Croke, husband and wife, JTWROS Tom Croke, 131 and Laura L. Croke, husband and wife, JTWROS 07/09/2004 3197220 08/19/2004 3210917 09/02/2004 3215087 08/02/2004 3204448 06/02/2004 3185888 08/19/2004 3210914 08/02/2004 3204449 16 Township 5 North. Range 61 West. 61e P.M. ' Section 3: Wl/2 Section 9: SW 1/4 Section 10: W/2 Township 5 North, Range 61 West, 6°i P.M. Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW 1/4 Section 7: Lots 1 (39.39), 2 (39.16) Township 5 North. Range 61 West, 66 PM, Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW1/4 Section 7: Lots 1 (39.39), 2 (39.16) Township 5 North. ' - ge 61 West: 6'" P.M. Section 6: Lots ) (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SE1/4NW 1/4 Section 7: Lots 1 (39.39), 2 (39.16) Township 5 North. Rance 61 West. 6'a P.M. Section 6: Lots 3 (39.83), 4 (39.16), 5 (39.26), 6 (39.30), 7 (39.34), SEl/4NW 1/4 Section 7: Lots 1 (39.39), 2 (39.16) Township 5 North. Range 61 West. 6°i P.M. Section 7: NE1/4, E1/2NW1/4 Township 5 North. Range 61 West. 6°i P.M. Section 7: NE1/4, E1/2NW 1/4 Assignment, Bill of Sale and Conveyance dated effective July I, 2005 between CEO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. n3318437 um 11011111111111111111111111111111III1111111111111 17 oh 22 R 111.00 D 0.8131/2006 00P StteevedMoreno'Cterk dt Recorder Josette Henry, a widow Stanley Buford Henry and Florence Henry, husband and wife Patricia Louise Hocke, a married woman dealing in her sole and separate property John Bob Johnson, a married man dealing in Isis sole and separate property Shirley June Jolutson and Roy K. Johnson, wife and husband David Dean Klingenberg and Janice K. Klingenberg husband and wife Bonnie Jean Mascarenas, a married woman dealing in her sole and separate property Sharon L. McGee and Jansen M. McGee wife and husband Laura Mix and Duane Mix Tom Croke, lll and Laura L. Croke, husband and 'wife, JTWROS Tom Croke, ill and Laura L. Croke, husband and wife, JTWROS Tom Croke,131 and Laura L. Croke, husband and wife, JTWROS Tote Croke, III and Laura L. Croke husband and wife, JTWROS Tom Croke, III and Laura L. Croke, husband and wife, JTWROS Tom Croke, III and Laura L. Croke, husband and wife, JTWROS Tom Croke, 111 and Laura L. Croke, husband and wife, JTWROS Tom Croke III and Laura L. Croke, husband and wife, JTWROS Tom Croke 11I and Laura L. Croke, husband and wife, J1'WROS 08/02/2004 3204451 Township 5 North. Range 61 West. 6th P.M. • Section 7: NE1/4, E1/2NW1/4 08/02/2004 3204452 Township 5 North. Range 61 West. 6"' P.M. Section 7: NE1/4, E1/2NW1/4 08/02/2004 3204450 Township 5 North. Range 61 West. 6th P.M. Section 7: NE1/4, E1/2NW1/4 10/15/2004 3227718 Township 5 North. Range 61 West. 6a' P.M. Section 7: NE1/4, E1/2NW 1/4 09/02/2004 3215085 Township 5 North. Range 61 West. 6th P.M. Section 7: NE1/4, E1/2NW1/4 08/19/2004 3210916 Township S North. Range 61 West. 6s' P.M, Section 7: NE1/4, E1/2NW1/4 08/02/2004 3204447 Township. North. Ranee 61 West. 6th P.M, Section 7: NE1/4, E1/2NW1/4 10/15/2004 3227720 Township 5 North. Range 61 West. 6t P.M. Section 7: NE1/4, E1/2NW 1/4 10/15/2004 3227719 Township 5 North. Ranee 61 West. 6°i P.M. Section 7: NE1/4, E1/2NW1/4 17 Assignment, Bill of Sale and Conveyance dated effective July I, 2005 between CFO Energy, Inc., et al, Assignors and Romans Creek Operating Company, LLC, Assignee. Debbie Marie Phillips and Jay Phillips wife and husband Donald Lee Wilhelm, Sr. and Rose Anne Wilhelm husband and wife Guy Dean Wilhelm, a single man Phillip Wayne Hamilton and Julie M. Hamilton husband and wife U.S. AgBank, FCB fka Farrar Credit Bank of Wichita Wichita, Kansas, a corporation U.S. Agltank, FCB lka Farm Credit Bank of Wichita Wichita, Kansas, a corporation U.S. AgBank, FCB fka Farm Credit Bank of Wichita Wichita, Kansas, a corporation Ellen Rae Rubenstein, Era Ellen Rae Bergreen, !Ica Ellen Rae Dodge Tom Croke, III and . Laura L. Croke, husband and wife, JTWROS Tom Croke, Ill and Laura L. Croke, husband and wife, JTWROS Tom Croke, Ill and Laura L. Croke, husband and wife, JTWROS Tom Croke, Ill and Laura L. Croke husband and wife, JTWROS Thomas B. Croke, III and Laura L. Croke Thomas B. Croke, Ill and Laura.L. Croke Thomas B. Croke, BI and Laura L. Croke Thomas B. Croke, III and Laura L. Croke, as joint tenants • 1111111111111111111111111111 Ili 111111111111011 III IIII 3318437 08/3112005 02:41P Weld County, CO 18 of 22 R 111.00 D 0.00 Steve Moreno Clerk & Recorder 09/02/2004 3215086 Township 5 North. Range 61 West. 6°i P.M. Section 7: NE1/4, El/2NW1/4 08/19/2004 3210915 Township 5 North, Range 61 West, 6° P.M. Section 7: NE1/4, E1/2NW1/4 08/02/2004 3204446 Township 5 North, Range 61 West. 6°i P.M. Section 7: NEl/4, El/2NW1/4 02/07/2005 3259231 Township 5 North, Ranee 61 West, 6°i P.M. Section 7: NEI/4, E1/2NW1/4 04/06/2004 3167983 Township 5 North. Range 61 West, 6° P.M. Section 17: SW 04/06/2004 3167984 Township 5 North. Range 61 West. 6'" P.M. Section 17: SE 04/06/2004 3167985 Township 5 North. Range 61 West, 6°i P.M. Section 17: NW 05/25/2004 3183161 Township 5 North. Range 61 West, 6°i P.M. Section 18: Lots 1(39.62), 2 (39.58), 3(39.12), 4 (39.78), SEl/4NE1/4, SW 1/4NE1/4, NW 1/4SE1/4, NE 1/4SW 1/4 18 Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., et al, Assignor: and Bonanza Creek Operating Company, LLC, Assignee. 1.11111111111111111111111111111111111111 III 111111 Ill1111 3318437 0813112005 02:41P Weld County, CD 19 of 22 R 111.00 D 0.00 Steve Moreno Clerk & Recorder Michael Campbell Charles S. Williams and Margaret Williams CFG Energy, Inc. 08/17/2005 3313827 Township S North. Ranee 61 West. 6`h P.M, Section 3: W1/2 • Section 9: SW1/4 Section 10: W/2 Seaver Mesa 05/14/1976 1854504 Township 5 North, Range 61 West, 6* P.M. Section 8: SW/4, NE/4 19 Assigmnent, Bill of Sale and Conveyance dated effective July 1, 2005 between CFO Energy, lnc., el al, Assignors and Bonanza Creek Operating Company, LLC. Assignee. :be Exhibit "C" Attached to and made a part of that certain Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., Thomas B. Croke, III and Laura L. Croke, RAAM Production, LLC, Ronald E. Yetter and Tonie E. Yetter, and Albert E. Yetter, Assignors and Bonanza Creek Operating Company, LLC, Assignee. EOUIPMENT DESCRIPTION North Riverside Project (Developed) Weld County, Colorado • 250 psi Vertical, 2 Phase Separator ■ 300 psi Horizontal, 3 Phase Separator • 2 — 400 Bbls Tanks with Landing/Stairs ■ 2 — 300 Bbls Tanks with Landing/Stairs • 6' x 20' Nelco 50 psi Heater-Treator • 6' x 20' Nelco 50 psi Heater-Treator (Bad Bottom — subject to repair) • @2,300' IPSCO I80, 4'h" Casing (New, retested to 6,500 psi) • 2 —12'x15' — 300 bbl Steel Tanks (Nelco) — SN 228781 (50888) & 228881 (7678) • 2 -12'x20' - 400 bbl Steel Tanks (Eaton Metal) — SN 0017 & 0036 20 Assignment. Bill of Sale and Conveyance dated effective July 1, 2005 between CFO Energy, Inc., et al, Assignors and Bonanza Creek Operating Company, LLC, Assignee. Exhibit "D" Attached to and made a part of that certain Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., Thomas B. Croke, III and Laura L. Croke, RAAM Production, LLC, Ronald E. Yetter and Tonle E. Yetter, and Albert E. Yetter, Assignors and Bonanza Creek Operating Company, LLC, Assignee. 74r er' Surface Agreements � era r _ CM CONTRACTS North Riverside Project (Developed) . Weld County, Colorado 1) Grant of Road and Pipeline Easement dated July 13, 2005 between Dennis W. Grotheer, as Trustee of the Dennis W. Grotheer Living Trust, Grantor and CFG Energy, Inc., Grantee, recorded July 13, 2005 #3302769, Weld County Records. 2) Surface Damage Agreement dated February 27, 2005 between Dennis W. Grotheer Living Trust, Surface Owner and CFG Energy, Inc., recorded March 3, 2004 #3158465, Weld County Records. 3) Surface Damage Agreement dated July 23, 2005 between Dewey K. Ankeney, also known as Dewey Ankeny and Orlene M. Ankeney, also known as Orlene Ankeney, Surface Owner and Thomas B. Croke III and Laura L. Croke, Operator, recorded August 19, 2004 #3210930, Weld County Records. 4) Surface Use Agreement dated February 26, 2004 between Lloyd Linnebur and Shirley A. Linnebur and CFG Energy, Inc., recorded March 3, 2004 #3158468, Weld County Records. 5) Surface Damage Agreement dated February 4, 2005 between Roy & Beverly Carlson & Co., Surface Owner and CFG Energy, Inc., recorded February 7, 2005 #3259229, Weld County Records. • 6) Surface Damage Agreement dated July22, 2005 between Dennis W. Grotheer Living Trust, Surface Owner and CFG Energy, Inc., recorded July 22, 2005 #3305509, Weld County Records. Contracts 1) Frontier Contract No. P0506007 -CH dated June 23, 2005 between Frontier Oil and Refining Company, Buyer and CFG Energy, Inc., Seller. 2) Duke Gas Purchase and Processing Agreement #WEL0317 dated , 2005 between Duke Energy Field Services, LP, Buyer/Processor and CFG Energy, Inc., Seller. 21 Assignment Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., et al. Assignors and Bonanza Creek opaaung Company, U.C, Assignee. . • � s m °g Pooling Agreements -'- mss _gi ▪ 4.. 13 =_ a m - o `T � � T �lr9N N 1) Declaration of Pooling dated April 7, 2005 between CFG Energy, Inc., Albert E. Yetter, RAAM Production, LLC, Ronald E. Yetter and Tonle E. Yetter, covering the S/2 SW/4 of Section 4, T -5N, R -61W, W, Weld County, and recorded April 11, 2005 #3276054, Weld County Records. 22 i. its 1Tr Assignment, Bill of Sale and Conveyance dated effective July 1, 2005 between CFG Energy, Inc., at al, Assiglom rld Banaozi'iteek Operating Company, ILC, Assignee. • Amended Exhibit C To BCEI Pronghorn OGDP Application BEFORE THE ENERGY AND CARBON MANAGGEMENT COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF BONANZA CREEK ENERGY OPERATING COMPANY, LLC FOR AN ORDER TO ESTABLISH SIX NEW DRILLING AND SPACING UNITS, AMEND THREE EXISTING DRILLING AND SPACING UNITS, AND ESTABLISH TWO NEW WELLBORE SPACING UNITS FOR CERTAIN LANDS IN TOWNSHIP 5 NORTH, RANGE 61 WEST, 6T" P.M. AND TOWNSHIP 6 NORTH, RANGE 61 WEST, 6TH P.M., FOR THE DEVELOPMENT OF 26 NEW HORIZONTAL WELLS FROM FOUR AMENDED EXPANDED OIL AND GAS LOCATIONS WITHIN AN APPROXIMATE 6,540 -ACRE "PRONGHORN" OIL AND GAS DEVELOPMENT PLAN FOR THE NIOBRARA, FORT HAYS, CODELL AND CARLILE FORMATIONS, WATTENBERG FIELD, WELD COUNTY, COLORADO CAUSE NO. 407 DOCKET NO. 211100228 TYPE: SPACING FIFTH AMENDED APPLICATION COMES NOW Bonanza Creek Energy Operating Company, LLC (Operator No. 8960) ("BCEI" or "Applicant"), a wholly owned subsidiary of Civitas Resources, Inc., by and through its attorneys Jost Energy Law, P.C., respectfully submits this Application to the Colorado Energy and Carbon Management Commission (the "Commission" or the "ECMC") for an order to establish six new Drilling and Spacing Units (DSU), amend three existing DSUs, and establish two new Wellbore Spacing Units (WSU), as described below, for the production of oil, gas and associated hydrocarbons from the Niobrara, Fort Hays, Codell and Carlile Formations within the below - described Application Lands. In support of its Application, Applicant states and alleges as follows: 1. Applicant is a limited liability company duly organized and authorized to conduct business in the State of Colorado and is a registered operator in good standing with the Commission. 2. Applicant is an "Owner" as defined by the Oil and Gas Conservation Act and ECMC Rules, and owns leasehold interests or holds the right to operate on the following lands (hereafter "Application Lands"), to be developed by the following amended expanded Oil and Gas Locations: Pronghorn P-22 Pad: NE'/4NE% of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #1 — 2 Wells: Pronghorn T34-15-10XRLN Pronghorn Y44-15-10XRLN Township 5 North, Range 61 West, 6th P.M. Section 10: E% Section 15: EA Page 1 of 24 Approximately 640 -acres. DSU #2 — 2 Wells: Pronghorn 31-34-22HN Pronghorn 41-44-22HN Township 5 North, Range 61 West, 6th P.M. Section 22: EYz Approximately 320 -acres. DSU #3 — 2 Wells: State Pronghorn E-15-10XRLN Pronghorn 14-15-10XRLN Township 5 North, Range 61 West, 6th P.M Section 9: EIAEYZE/2 Section 10: W,4WYO Section 15: W'/ZWY% Section 16: E,4E%E'/z Approximately 480 -acres. WSU #1 - State Pronghorn Y-15-16XRLN Well: Township 5 North, Range 61 West, 6th P.M. Section 15: S'/%S'/%S'/z Section 16: S'%S'%SY0 Section 21: N'%N14NY2 Section 22: NYON%NYz Approximately 320 -acres. Pronghorn T-4 Pad: SEIASEY4 of Section 4, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: Amended DSU #4 (Order Nos. 407-380 and 407-633) — 2 Additional Wells: Pronghorn V-B-9HN Pronghorn 42-12-9HN Township 5 North, Range 61 West, 6th P.M. Section 9: All Approximately 640 -acres. DSU #5 — 4 Wells: Pronghorn Y44-4-33XRLN Pronghom O34-4-33XRLN Pronghorn O24-4-33XRLN Pronghorn J-4-33XRLN Page 2 of 24 Township 5 North, Range 61 West, 6th P.M. Section 4: All Township 6 North, Range 61 West, 6th P.M. Section 33: All Approximately 1,280 -acres. Pronghorn P-10 Pad: NE'/NE' of Section 10, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #6 — 5 Wells: Pronghorn 44-3-34XRLN Pronghorn O34-3-34XRLN Pronghorn O24-3-34XRLN Pronghorn J-3-34XRLN Pronghorn E14-3-33XRLN — to produce from the Pronghorn T-4 Pad Township 5 North, Range 61 West, 6th P.M. Section 3: All Township 6 North, Range 61 West, 6th P.M. Section 34: All Approximately 1,280 -acres. Pronghorn F-16 Pad: NWIANWIA of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: Amended DSU #7 (Order No. 407-768) — 2 Additional Wells: Pronghorn P31-T34-17HN Pronghorn 41-44-17HN Township 5 North, Range 61 West, 6th P.M. Section 17: All Approximately 640 -acres. DSU #8 — 2 Wells: Pronghorn 34-8-5XRLN Pronghorn 44-8-5XRLN Township 5 North, Range 61 West, 6th P.M. Section 5: E)6 Section 8: E% Approximately 640 -acres. Amended DSU #9 (Order Nos. 407-380 and 407-633) — 3 Additional Wells: State Pronghorn 21-24-16HN State Pronghorn K-O-16HN Page 3of24 State Pronghorn P-T-16HN Township 5 North, Range 61 West, 6th P.M. Section 16: All Approximately 640 -acres. WSU #2 — Pronghorn Y-8-5XRLN Well: Township 5 North, Range 61 West, 6th P.M. Section 4: W%W%W'/2 Section 5: EY2E14E'/2 Section 8: EYE'/2E'h Section 9: W'A2W%W%2 Approximately 320 -acres. Nearby Public Crossroads: CR 58 & CR 89 Reference maps of the Application Lands are attached hereto. 3. With this Application, BCEI is providing a copy of an Oil and Gas Lease and associated Assignment, Bill of Sale and Conveyance into BCEI for at least one portion of a mineral tract within the Application Lands showing the Applicant's status as an Owner in accordance with ECMC Rule 303.a.(1). See Exhibit B, submitted with the Pronghorn OGDP Application. 4. Rule 401.a. provides that a Well completion 2,500 feet or greater below the surface will be located not less than 600 feet from any lease line and not less than 1,200 feet from any other existing or permitted Well completion in the same common source of supply, unless authorized by order of the Commission or an exception under Rule 401.c is obtained. 5. On April 27, 1998, the Commission adopted Rule 318A, the Greater Wattenberg Area Special Well Location, Spacing and Unit Designation Rule. The Application Lands are subject to this Rule for the Niobrara and Codell Formations. Effective January 15, 2021, Commission Rule 318A was moved to Rule 402 and modified to have no effect on future operations and development in the Greater Wattenberg Area. However, Rule 402.c states that any wellbore spacing units established prior to January 15, 2021 will remain in effect unless the applicable Form 2s, if any, expire without spud. 6. On November 29, 2010, the Commission entered Order No. 407-380, which among other things, established 21 approximate 640 -acre drilling and spacing units for various lands in Township 5 North, Ranges 61 and 62 West, 6th P.M. and Township 6 North, Range 62 West, 6th P.M., and approved one horizontal well within each unit for development of the Codell and Niobrara Formations. The approximate 640 -acre drilling and spacing unit established for Section 4, Township 5 North, Range 61 West, 6th P.M. was vacated by Order No. 407-869. The approximate 640 -acre drilling and spacing unit established for Section 17, Township 5 North, Range 61 West, 6th P.M. was vacated by Order No. 407-768. Sections 5, 9, 10, 15 and 16, Township 5 North, Range 62 West, 6th P.M., are subject to Order No. 407-380 for the Niobrara and Codell Formations. Page 4 of 24 7. On February 22, 2011 (Corrected April 4, 2013), the Commission entered Order Nos. 407-779 and 535-4 which, among other things, established 74 approximate 640 -acre drilling and spacing units, and approved one horizontal well within each unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation. The approximate 640 -acre drilling and spacing unit established for Section 20, Township 5 North, Range 61 West, 6th P.M. was vacated by Order No. 407-947. The approximate 640 -acre drilling and spacing unit established for Section 28, Township 6 North, Range 61 West, 6th P.M. was vacated by Order No. 407-2717. Section 21, Township 5 North, Range 61 West, 6th P.M. is subject to Order Nos. 407-779 and 535-4 for the Niobrara Formation. 8. On April 16, 2012, the Commission entered Order No. 407-583 which, among other things, established nine approximate 640 -acre drilling and spacing units for certain lands including Sections 33 and 34, Township 6 North, Range 61 West, 6th P.M., and approved up to four horizontal wells within each unit for the production of oil, gas and associated hydrocarbons from the Niobrara Formation, with the treated interval of the permitted wellbore(s) to be located no closer than 460 feet from the boundaries of the proposed units, without exception being granted by the Director. The approximate 640 -acre drilling and spacing units established by Order No. 407-583 for Sections 33 and 34, Township 6 North, Range 61 West, 6th P.M. were vacated by Order No. 407-2720 for the Niobrara Formation. 9. On May 29, 2012, the Commission entered Order No. 407-633 which, among other things, approved one or more additional horizontal wells within each existing approximate 640 - acre drilling and spacing unit established for certain lands in Township 5 North, Ranges 61 and 62 West, 6th P.M., for the production of oil, gas and associated hydrocarbons from the Niobrara Formation. Order No. 407-869 vacated Order No. 407-633 as it applies to Section 4, Township 5 North, Range 61 West, 6th P.M. Order No. 407-768 vacated Order No. 407-633 as it applies to Section 17, Township 5 North, Range 61 West, 6th P.M. Sections 5, 9, 10, 15 and 16, Township 5 North, Range 62 West, 6th P.M., are subject to Order No. 407-633 for the Niobrara Formation. 10. On March 25, 2013, the Commission entered Order No. 407-768 which, among other things, vacated an approximate 640 -acre drilling and spacing unit established by Order Nos. 407-380 and 407-633 for Section 17, Township 5 North, Range 61 West, 6th P.M., and established an approximate 640 -acre drilling and spacing unit for Section 17, Township 5 North, Range 61 West, 6th P.M., and approved up to ten horizontal wells within the unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation. 11. On June 17, 2013, the Commission entered Order Nos. 407-795 and 535-361 which, among other things, approved up to eight horizontal wells within an approximate 640 -acre drilling and spacing unit established for Section 21, Township 5 North, Range 61 West, 6th P.M., for the production of oil, gas and associated hydrocarbons from the Niobrara Formation. 12. On July 29, 2013, the Commission entered Order Nos. 407-826 and 535-386 which, among other things, established an approximate 640 -acre drilling and spacing unit for Section 21, Township 5 North, Range 61 West, 6th P.M. and approved up to four horizontal wells within the unit for the production of oil, gas, and associated hydrocarbons from the Codell Formation. 13. On October 28, 2013, the Commission entered Order No. 407-868 which, among other things, pooled all interests within an approximate 640 -acre drilling and spacing unit established for Section 21, Township 5 North, Range 61 West, 6th P.M., to accommodate the Hawkins 5-61-21-3340BH Well (API No. 05-123-37756), Hawkins 5-61-21-4841BH Well (API No. Page 5 of 24 05-123-37755), Hawkins 5-61-21- 4956BH Well (API No. 05-123-37750), Hawkins 5-61-21- 6457BH Well (API No. 05-123-37751), Kunsemiller 5-61-21-0108BH Well (API No. 05-123- 38211), Kunsemiller 5-61-21-1 609BH Well (API No. 05-123-38212), Kunsemiller 5-61-21- 3225BH Well (API No. 05-123- 38223), and Kunsemiller 5-61-21-172 4BH Well (API No. 05-123- 38224) for the development and operation of the Niobrara Formation. 14. On October 28, 2013, the Commission entered Order No. 407-869 which, among other things, vacated an approximate 640 -acre drilling and spacing unit established by Order Nos. 407-380 and 407-633 for Section 4, Township 5 North, Range 61 West, 6th P.M., established an approximate 640 -acre drilling and spacing unit for Section 4, Township 5 North, Range 61 West, 6th P.M. and approved up to four horizontal wells within the unit for the production of oil, gas and associated hydrocarbons from the Niobrara Formation, with the productive interval of the horizontal wellbore to be no closer than 460 feet from the unit boundaries, and no closer than 150 feet from the productive interval of any other wellbore located in the unit, without exception being granted by the Director, and provided that the production from existing vertical and directional wells, including the existing Pronghorn 31-4 well (API No. 05-123-23929) and the Pronghorn 14- 4 well (API No. 05-123-22430), shall continue to pay in accordance with units established under Rule 318A or other prior orders of the Commission. 15. On July 28, 2014, the Commission entered Order No. 407-1087 which, among other things, pooled all interests within an approximate 640 -acre drilling and spacing unit established for Section 10, Township 5 North, Range 61 West, 6th P.M., and subjected any non - consenting interests to the cost recovery provisions of §34-60-116(7), C.R.S. for the Pronghorn K-O-10HNC Well (API No. 05-123-36583) and the Pronghorn F-J-10HNB Well (API No. 05-123- 36582), for the development and operation of the Niobrara Formation. 16. On December 17, 2018, the Commission entered Order No. 407-2720 which, among other things, 1) vacated two approximate 640 -acre drilling and spacing units established by Order No. 407-583 for Sections 33 and 34, Township 6 North, Range 61 West, 6th P.M., for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; and 2) established an approximate 1,280 -acre drilling and spacing unit for Sections 33 and 34, Township 6 North, Range 61 West, 6th P.M., for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations. 17. Prior to the date of this Application, the Commission entered various Orders establishing and/or pooling all interests in wellbore spacing units for development of the Niobrara and Codell Formations within portions of the Application Lands. These Orders are wellbore- specific and do not affect the relief requested in this Application. 18. The records of the Commission reflect that the following wells are currently producing in the Niobrara, Fort Hays, Codell and/or Carlile Formations within Rule 318A horizontal Wellbore Spacing Units overlapping portions of the Application Lands: Well Name API No. Location ID Pronghorn # U-Y-18HNB 05-123-45065 431029 Kunsemilller # 5-61-20-0801B2B 05-123-44296 434508 Kunsemiller # 5-61-21-1 609BH 05-123-38212 434508 19. The above -referenced wells will not be included within any of the Drilling and Spacing Units proposed for the Pronghorn OGDP and will continue to operate in accordance with Rule 318A. Page 6 of 24 20. The records of the Commission reflect that the following wells are currently producing in the Niobrara, Fort Hays, Codell and/or Carlile Formations within portions of the Application Lands pursuant to Rule 318A or an established Drilling and Spacing Unit, operated by Applicant, from the following Locations: Well Name API No. Location ID Pronghorn #T-P-3HNB 05-123-36465 431184 Pronghorn # P-T-8HNB 05-123-37091 432389 Pronghorn # 41-11-9HZ 05-123-35010 427503 Pronghorn # D-X-9HNB 05-123-39286 436843 Pronghorn # C-W-9HNB 05-123-39287 436843 Pronghorn # 13-43-9HNB 05-123-39288 436843 Pronghorn # P-10-15XRLNB 05-123-39005 436242 Pronghorn # O-K-15HNC 05-123-41160 440871 Pronghorn # J24-15-10XRLNC 05-123-41161 440871 Pronghorn # O24-15-10XRLNB 05-123-41162 440871 Pronghorn # 31-34-15HZ 05-123-35276 428205 Pronghorn # F-J-15HNB 05-123-36416 431111 State Pronghorn # F-J-16HNB 05-123-36469 431197 State Pronghorn # 11-1 4-16HNB 05-123-39064 431197 State Pronghorn # A-E-16HNB 05-123-39066 431197 Pronghorn # 31-34-17HZ 05-123-33331 305297 Pronghorn # 11-1 4-17HNB 05-123-39390 437059 Pronghorn # F-J-17HNC 05-123-39392 437059 Pronghorn # 21-24-17HNB 05-123-39393 437059 Pronghorn # P-T-17HNB 05-123-36347 430949 Esterling # 44-33H 05-123-35472 428695 Pronghorn # 21-24-22HNB 05-123-39545 437437 Pronghorn # K-O-22HNB 05-123-39546 437437 Pronghorn # 11-1 4-22HNB 05-123-39547 437437 Pronghorn # F-J-22HNB 05-123-39548 437437 Pronghorn # K21-O24-22HNC 05-123-40607 437437 Pronghorn # F21-J24-22HNC 05-123-40608 437437 Pronghorn # A-E-22HNB 05-123-42204 437437 Pronghorn # K-O-17HNB 05-123-45066 451287 Kunsemiller 5-61-21-3225BH 05-123-38223 434508 Kunsemiller 5-61-21-172 4BH 05-123-38224 434508 Hawkins 5-61-21-33 40BH 05-123-37756 433684 Hawkins 5-61-21- 4841BH 05-123-37755 433684 Hawkins 5-61-21- 4956BH 05-123-37750 433684 Hawkins 5-61-21- 6457BH 05-123-37751 433684 Page 7 of 24 21. BCEI requests that the above -referenced wells not be included within any of the Drilling and Spacing Units proposed for the Pronghorn OGDP and continue to operate in accordance with Rule 318A or their respective spacing unit. With respect to the Pronghorn # 31- 34-17HZ Well (API No. 05-123-33331), Applicant separately filed an Application with the ECMC in Docket No. 23110035 4 to amend Order No. 407-768 to make the Pronghorn # 31-34-17HZ Well (API No. 05-123-33331) subject to the drilling and spacing unit established by Order No. 407-768. 22. The records of the Commission reflect that the following wells are currently Shut - In for the production of the Niobrara, Fort Hays, Codell and/or Carlile Formations within portions of the Application Lands, which have produced pursuant to Rule 318A or an established drilling and spacing unit, operated by Applicant, from the following Locations: Well Name API No. Location ID Pronghorn # T-P-4HNB 05-123-36626 431481 Pronghorn # 14-11- 4HNB 05-123-37499 433145 Pronghorn # K-5-8XRLNB 05-123.40087 438694 Pronghorn # 14-44-9HNB 05-123-39289 436843 Pronghorn # F-J-10HNB 05-123-36582 431387 Pronghorn # K-O-10HNC 05-123-36583 431387 State Pronghorn # 41-44-16HZ 05-123-35220 428090 State Pronghorn # 31-34-16HNB 05-123-36470 428090 Pronghorn # P-T-22HNB 05-123-3718 6 432611 23. BCEI requests that the above -referenced wells not be included within any of the Drilling and Spacing Units proposed for the Pronghorn OGDP. While BCEI acknowledges that such wells have produced and/or are capable of production, BCEI intends to evaluate all shut-in wells for potential plug, abandon, return to production while maintaining existing spacing units, and/or reclamation operations with the Application Lands. With respect to the Pronghorn # T-P- 4HNB Well (API No. 05-123-36626) and the Pronghorn # 14-11-4HNB Well (API No. 05-123- 37499), Applicant separately filed an Application with the ECMC in Docket No. 23110035 4 to amend Order No. 407-869 to make the Pronghorn # T-P-4HNB Well (API No. 05-123-36626) and the Pronghorn # 14-11- 4HNB Well (API No. 05-123-37499) subject to the drilling and spacing unit established by Order No. 407-869. 24. The records of the Commission reflect that the following wells are currently permitted from the Pronghorn K-5 Pad (Location ID 438694) located within the Application Lands in Lot 2 located in Section 5, Township 5 North, Range 61 West, 6th P.M., with approved or expired Applications for Permit to Drill (APDs) within portions of the Application Lands for development of the Niobrara, Fort Hays, Codell and/or Carlile Formations, to be operated by Applicant in an adjacent 1,280 -acre drilling and spacing unit established by Order No. 407-2718: Well Name API No. Pronghorn K-5 FED # 32N-12-01 Pronghorn K-5 FED # 32N-20-06 Mule Deer # Y-U-32HNB (expired) Pronghorn K-5 # 31W-10-07 05-123-51210 05-123-51211 05-123-51212 05-123-51213 Page 8 of 24 Pronghorn K-5 FED # 32N-20-02 Pronghorn K-5 FED # 32N-20-03 Pronghorn K-5 FED # 32N-20-04 Mule Deer # 44-32-29XRLNB (expired) Pronghorn K-5 FED # 32N-20-05 Pronghorn K-5 # 31W-10-08 Pronghorn K-5 # 31W-10-09 05-123-5121 4 05-123-51215 05-123-5121 6 05-123-51217 05-123-51218 05-123-51219 05-123-51220 25. BCEI requests that the above -referenced APDs not be included within any of the Drilling and Spacing Units proposed for the Pronghorn OGDP and develop in accordance with Order No. 407-2718. 26. BCEI will utilize the following four amended expanded Oil and Gas Locations located within the Application Lands for development of the 26 new horizontal wells within the Application Lands: the Pronghorn P-22 Pad (Location ID 432611), the Pronghorn T-4 Pad (Location ID 431481), the Pronghorn P-10 Pad (Location ID 436242), and the Pronghorn F-16 Pad (Location ID 431197). With this Application, BCEI submitted sworn testimony pursuant to Rule 505 regarding the applicable criteria listed in Rule 304.b.(2).B that apply to the amended expanded Oil and Gas Locations. The amended expanded Pronghorn P-22 Pad, Pronghorn T-4 Pad, Pronghorn P-10 Pad and Pronghorn F-16 Pad are subject to the Pronghorn OGDP Application filed concurrently herewith. 27. Based on the locations of the amended expanded Pronghorn P-22 Pad, Pronghorn T-4 Pad, Pronghorn P-10 Pad and Pronghorn F-16 Pad, Weld County is the jurisdiction with siting authority. PDC has an approved Pronghorn Comprehensive Development Plan from Weld County for the siting and the related surface disturbance for the proposed Oil and Gas Locations (1041WOGLA21-0017 ). 28. BCEI anticipates that it will submit an application to pool all interests, including any non -consent interests, within the Application Lands at a future date. BCEI currently owns over 45% leasehold interest in the Application Lands, and therefore BCEI may pool the proposed Wells in the Application Lands pursuant to the requirements of C.R.S. § 34-60-11 6(6)(b)(I), subject to the requirement to tender a reasonable and good faith lease offer to all unleased mineral interest owners within the Application Lands in accordance with C.R.S. § 34-60-11 6(7)(d)(I). The mineral ownership within the Application Lands is in fee. 29. BCEI certifies that the approval of the eleven Drilling and Spacing Units requested herein for the development of the Application Lands will result in development that will protect and minimize adverse impacts to public health, safety, and welfare, the environment, and wildlife resources and will protect against adverse environmental impacts on any air, water, soil or biological resource in compliance with C.R.S. § 34-60-106(2.5)(a). BCEI certifies that its operations in the Application Lands will be conducted in a reasonable manner to protect and minimize adverse impacts to public health, safety, welfare, the environment, and wildlife resources. With this Application, BCEI submitted sworn testimony pursuant to Rule 505 supporting the protection of public health, safety, welfare, the environment and wildlife resources. 30. BCEI further certifies that the eleven Drilling and Spacing Units requested herein for the development of the Application Lands prevents waste of oil and gas resources, avoids the drilling of unnecessary Wells, and protects correlative rights. With this Application, BCEI Page 9of24 submitted sworn testimony pursuant to Rule 505 supporting the prevention of waste, the avoidance of drilling unnecessary Wells, and the protection of correlative rights. 31. BCEI requests that the spacing order provide that all horizontal wells will be no closer than 150 feet from the productive interval of any other wellbore located in the same formation or common source of supply, unless authorized by Rule 401.c or Rule 408.u.(1) as applicable, and establish the following subsurface setbacks for each unit: a. Drilling and Spacing Unit Nos. 1, 2, 3, 5, 6 and 8, Amended Drilling and Spacing Unit Nos. 7 and 9, and Wellbore Spacing Unit No. 2: 330 -foot productive interval setbacks from the eastern and western boundaries of the units and 90 -foot productive interval setbacks from the northern and southern boundaries of the units for the Niobrara, Fort Hays, Codell and Carlile Formations. All approved Wells in Drilling and Spacing Unit Nos. 1, 2, 3, 5, 6 and 8, Amended Drilling and Spacing Unit Nos. 7 and 9, and Wellbore Spacing Unit No. 2 will be drilled from a north -south or south -north lateral orientation. b. Wellbore Spacing Unit No. 1 and Amended Drilling and Spacing Unit No. 4: 90 -foot productive interval setbacks from the eastern and western boundaries of the units and 330 -foot productive interval setbacks from the northern and southern boundaries of the units for the Niobrara, Fort Hays, Codell and Carlile Formations. All approved Wells in Wellbore Spacing Unit No. 1 and Amended Drilling and Spacing Unit No. 4 will be drilled from an east -west or west - east lateral orientation. 32. The undersigned certifies that copies of this Application and the Notice of Hearing will be served on each interested party as required by Rules 504.a., 504.b.(2) and 504.b.(6). 33. The granting of this Application is in accord with the Oil and Gas Conservation Act, found at §§ 34-60-101 et seq., C.R.S., and the Commission Rules. 34. Applicant requests that relief granted under this Application should be effective on oral order by the Commission, and Applicant hereby agrees to be bound by said oral order. WHEREFORE, BCEI respectfully requests that this matter be set for hearing in accordance with applicable Commission Rules, that notice be given as required by law, and that upon such hearing this Commission enter its order to: A. Establish DSU #1 (2 Wells), DSU #2 (2 Wells), DSU #3 (2 Wells), DSU #5 (4 Wells), DSU #6 (5 Wells), DSU #8 (2 Wells), WSU #1 and WSU #2 for the production of oil, gas, and associated hydrocarbons from the Niobrara, Fort Hays, Codell and Carlile Formations; B. Amend Order Nos. 407-380 and 407-633 to authorize a total of seven horizontal wells within the approximate 640 -acre drilling and spacing unit established for Section 9, Township 5 North, Range 61 West, 6th P.M., for the Niobrara, Fort Hays, Codell and Carlile Formations, and to authorize 330 -foot subsurface setbacks on the northern and southern boundaries of the unit, 90 -foot subsurface setbacks on the eastern and western boundaries of the unit, and provide that all horizontal wells will be no closer than 150 feet from the productive interval of any other well producing in the same formation or common source, for the Niobrara, Fort Hays, Codell and Carlile Formations; C. Amend Order No. 407-768 to authorize a total of eight horizontal wells in the approximate 640 -acre drilling and spacing unit established for Section 17, Township 5 North, Page 10 of 24 Range 61 West, 6th P.M., for the Niobrara, Fort Hays, Codell and Carlile Formations, and to authorize 330 -foot subsurface setbacks on the eastern and western boundaries of the unit, 90 - foot subsurface setbacks on the northern and southern boundaries of the unit, and provide that all horizontal wells will be no closer than 150 feet from the productive interval of any other well producing in the same formation or common source, for the Niobrara, Fort Hays, Codell and Carlile Formations; D. Amend Order Nos. 407-380 and 407-633 to authorize a total of seven horizontal wells within the approximate 640 -acre drilling and spacing unit established for Section 16, Township 5 North, Range 61 West, 6th P.M., for the Niobrara, Fort Hays, Codell and Carlile Formations, and to authorize 330 90 -foot subsurface setbacks on the northern and southern boundaries of the unit, 90 330 -foot subsurface setbacks on the eastern and western boundaries of the unit, and provide that all horizontal wells will be no closer than 150 feet from the productive interval of any other well producing in the same formation or common source, for the Niobrara, Fort Hays, Codell and Carlile Formations; E. Provide that the productive interval of each proposed horizontal well will be no closer than 150 feet from the productive interval of any other wellbore located in the same formation or common source of supply, unless authorized by Rule 401.c or Rule 408.u.(1) as applicable, and establish the following subsurface setbacks for each unit: a. Drilling and Spacing Unit Nos. 1, 2, 3, 5, 6 and 8, Amended Drilling and Spacing Unit Nos. 7 and 9, and Wellbore Spacing Unit No. 2: 330 -foot productive interval setbacks from the eastern and western boundaries of the units and 90 -foot productive interval setbacks from the northern and southern boundaries of the units for the Niobrara, Fort Hays, Codell and Carlile Formations. All approved Wells in Drilling and Spacing Unit Nos. 1, 2, 3, 5, 6 and 8, Amended Drilling and Spacing Unit Nos. 7 and 9, and Wellbore Spacing Unit No. 2 will be drilled from a north -south or south -north lateral orientation; b. Wellbore Spacing Unit No. 1 and Amended Drilling and Spacing Unit No. 4: 90 -foot productive interval setbacks from the eastern and western boundaries of the units and 330 -foot productive interval setbacks from the northern and southern boundaries of the units for the Niobrara, Fort Hays, Codell and Carlile Formations. All approved Wells in Wellbore Spacing Unit No. 1 and Amended Drilling and Spacing Unit No. 4 will be drilled from an east -west or west - east lateral orientation; F. Provide that all approved wells shall be located on Pronghorn P-22 Pad (DSU #1, DSU #2, DSU #3 and WSU #1), Pronghorn T-4 Pad (DSU #4, DSU #5 and DSU #6), Pronghorn P-10 Pad (DSU #6) and Pronghorn F-16 Pad (DSU #7, DSU #8, DSU #9 and WSU #2), unless the Director grants an exception, and approve the associated Form 2As for the Pronghorn P-22 Pad, Pronghorn T-4 Pad, Pronghorn P-10 Pad and Pronghorn F-16 Pad; G. Find that the development of the Niobrara, Fort Hays, Codell and Carlile Formations as proposed within the Application Lands will prevent waste of oil and gas resources, avoid the drilling of unnecessary Wells, protect correlative rights, and protect public health, safety, welfare, the environment and wildlife resources; and H. For such other findings and orders as the Commission may deem proper or advisable in this matter. Page 11 of 24 DATED March 6, 2024. Bonanza Creek Energy Operating Company, LLC Jamie L. Jost Kelsey H. Wasylenky Jost Energy Law, P.C. Attorneys for Applicant 3511 Ringsby Court, Unit 103 Denver, Colorado 80216 (720) 446-5620 J iost(c�iosteneroylaw. com Kwasvlenkv(ciiostenerovlaw.com Applicant's Contact Information: Bonanza Creek Energy Operating Company, LLC A Wholly Owned Subsidiary of Civitas Resources, Inc. ATTN: Jeff Annable Manager, Well & Location Permitting Direct: 303-312-8529 jannableC0.civiresources.com 555 17th Street, Suite 3500 Denver, CO 80202 Page 12 of 24 AFFIRMATION Jeff Annable, of lawful age, being first duly sworn upon oath, deposes and says that he is the Manager, Well & Location Permitting for Civitas Resources, Inc., and that he has read the foregoing Amended Application and that the matters therein contained are true to the best of his knowledge, information and belief. Dated March 6, 2024. Jeff Annable Manager, Well & Location Permitting Civitas Resources, Inc. Page 13 of 24 Reference Map - DSU #1 Wattenberg Field, Weld County Pronghorn P-22 Pad: NE'/4NE% of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #1 — 2 Wells: Pronghorn T34-15-1 OXRLN Pronghorn Y44-15-10XRLN Township 5 North, Range 61 West, 6th P.M. Section 10: EA Section 15: E'/2 Approximately 640 -acres. Nearby Public Crossroads: CR 58 & CR 89 .........,„_. r.-..._ 31 32 a a 33 • , 01 • + n, - . _ . • 36 31 33 34 35 • • 5 f+- 54 12 C.R. 89* .--e r -Y DSU 1 2 •- • 1 • % 8 9 C.R.85 0 0 - ir. - . Mit -----.t I �; . 12 7 1e it 17 '6 if* s 18 i i • • • 17 ••• A • , • n-i-g fl f O • : AceO, .0 5. rY 4 _� d. r rong�iorn 'r. ,-22 Pad 13• e. II 20 21 iiiiiii4••• 24 , 4,4 aw . !it i fr---) ' ii 1. vs 24 - ,.i. 22r. 4,".. 1 _ 4 2T p • ..� S 30 • et 29 --<=1. 28 • 0. •-• 4) - # - • 25 2� a _ _2. _ -213 • _ , 4 4•:'t€€ 33 ,'' •• N • • 0 2500 5000 o;oa0 _ _ _ Page 14 of 24 Reference Map — DSU #2 Wattenberg Field, Weld County Pronghorn P-22 Pad: NE1 NE1A of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #2 — 2 Wells: Pronghorn 31-34-22HN Pronghorn 41-44-22HN Township 5 North, Range 61 West, 6th P.M. Section 22: E1/2 Approximately 320 -acres. Nearby Public Crossroads: CR 58 & CR 89 ongliorn -22 Pad Page 15 of 24 Reference Map — DSU #3 Wattenberg Field, Weld County Pronghorn P-22 Pad: NE%NE% of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #3 — 2 Wells: State Pronghorn E-15-10XRLN Pronghorn 14-15-10XRLN Township 5 North, Range 61 West, 6th P.M Section 9: E1/ZE'/2E1/2 Section 10: W�/ZW'/2 Section 15: WY2W'/2 Section 16: E�/ZE'/2E'/2 Approximately 480 -acres. Nearby Public Crossroads: CR 58 & CR 89 onghorn -22 Pad Page 16 of 24 Reference Map - WSU #1 Wattenberg Field, Weld County Pronghorn P-22 Pad: NE%NE% of Section 22, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: WSU #1 - State Pronghorn Y-15-16XRLN Well: Township 5 North, Range 61 West, 6th P.M. Section 15: SY2S1/2S1/2 Section 16: S1/2S1/2S1/2 Section 21: N%N1/2N1/2 Section 22: N%N1/%N1/2 Approximately 320 -acres. Nearby Public Crossroads: CR 58 & CR 89 33 34 35 4) Page 17 of 24 Reference Map — DSU #4 Wattenberg Field, Weld County Pronghorn T-4 Pad: SE1ASE% of Section 4, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: Amended DSU #4 — 2 Wells: Pronghorn V-B-9HN Pronghorn 42-12-9HN Township 5 North, Range 61 West, 6th P.M. Section 9: All Approximately 640 -acres. Nearby Public Crossroads: CR 58 & CR 89 Page 18 of 24 Reference Map — DSU #5 Wattenberg Field, Weld County Pronghorn T-4 Pad: SEASEA of Section 4, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #5 — 4 Wells: Pronghorn Y44-4-33XRLN Pronghorn 034-4-33XRLN Pronghorn 024-4-33XRLN Pronghorn J-4-33XRLN Township 5 North, Range 61 West, 6th P.M. Section 4: All Township 6 North, Range 61 West, 6th P.M. Section 33: All Approximately 1,280 -acres. Nearby Public Crossroads: CR 58 & CR 89 I • • • • e••,i•• • - -4 - 5000 Foec� 21 • �•- s 1 rr✓ DSU #5 29 28i • _..S 5000... - tV 21 • 27 3.1 • • en• 0 Page 19 of 24 26 _(.L • • 25 • 36 4 S 19 • 20 4•1 r �) r 30 s= 29 31 32 ? 1 12 1 1 13 6 car • 5 • • 18 y 8 43+ 17 Reference Map - DSU #6 Wattenberg Field, Weld County P ronghorn P-10 Pad: NE%NE1A of Section 10, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #6 — 5 Wells: Pronghorn 44-3-34XRLN Pronghorn O34-3-34XRLN Pronghorn O24-3-34XRLN Pronghorn J-3-34XRLN Pronghorn 514-3-33XRLN — to produce from the Pronghorn T-4 Pad Township 5 North, Range 61 West, 6th P.M. S ection 3: All Township 6 North, Range 61 West, 6th P.M. Section 34: All Approximately 1,280 -acres. N earby Public Crossroads: CR 58 & CR 89 Page 20 of 24 Reference Map — DSU #7 Wattenberg Field, Weld County P ronghorn F-16 Pad: NW1/4NW�/4 of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: Amended DSU #7 — 2 Wells: Pronghorn P31- T34-17HN Pronghorn 41-44-17HN Township 5 North, Range 61 West, 6th P.M. S ection 17: All Approximately 640 -acres. N earby Public Crossroads: CR 58 & CR 89 Page 21 of 24 Reference Map - DSU #8 Wattenberg Field, Weld County Pronghorn F-16 Pad: NWIANW1h of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: DSU #8 — 2 Wells: Pronghorn 34-8-5XRLN Pronghorn 44-8-5XRLN Township 5 North, Range 61 West, 6th P.M. Section 5: E1/2 Section 8: E1/2 Approximately 640 -acres. Nearby Public Crossroads: CR 58 & CR 89 - 0 2500 5000 - .0a! ••• I Page 22 of 24 affr 25 Reference Map — DSU #9 Wattenberg Field, Weld County Pronghorn F-16 Pad: NW'/4NW1A of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: Amended DSU #9 — 3 Wells: State Pronghorn 21-24-16HN State Pronghorn K-O-16HN State Pronghorn P-T-16HN Township 5 North, Range 61 West, 6th P.M. Section 16: All Approximately 640 -acres. Nearby Public Crossroads: CR 58 & CR 89 18 8 gb • • 3 g-% `— C. R. 89 34 S- 0 r 143tn e /4 Cif •aQ l! '% e'r a ,+ € Pronghorn Pgt c 10. eI w"•, N .s -.s 17 *a3•COI ••••• • • _! •___ 19 . f _ _- 30 —t t • • •1"=5000Fct' - 77 • I1 • 10 000 : vied CIS! )f $! / Jim .... '._'� Page 23 of 24 1/443. 35 e 0 4 33 4 9 16 21 26 33 e Reference Map - WSU #2 Wattenberg Field, Weld County Pronghorn F-16 Pad: NW%NW1A of Section 16, Township 5 North, Range 61 West, 6th P.M., Weld County, Colorado: WSU #2 — Pronghorn Y-8-5XRLN Well: Township 5 North, Range 61 West, 6th P.M. Section 4: Section 5: Section 8: Section 9: W1/2W%W1/2 EIAEY2E% EY2EY2EY2 W1Y2W1Ym% Approximately 320 -acres. Nearby Public Crossroads: CR 58 & CR 89 Page 24 of 24 Exhibit D to BCEI Pronghorn OGDP Application 00AfZfl CREEK August 26, 2021 Oil and Gas Energy, Weld County AEn: Jason Maxey 1301 N. 17' Ave. Greeley, CO 80631 Re: Notice to Relevant Local Government Pronghorn F-16 NW/414M/4 Section 16, TSN, 1(61 W, 6"e P.M. Weld County, Colorado Dear Director Maxey, 41017th Street Suite 1400 Denver, CO 80202 (720) 440-8100 phone (720) 305.0804 fax Bownmak min The purpose of this letter is to formally notify you that in compliance with the Colorado Oil and Gas Conservation Commission's ("Commission") Rule 302.e., and in accordance with the Weld County Code, Bonanza Creek Energy, Inc. ("BCEI") plans to submit the Pronghorn F-16 Oil and Gas Development Plan ("OGDP}') to the Commission on or about September 30th, 2021. The proposed OGDP encompasses one (1) oil and gas location, described below, drilling eight (8) wells located in the following lands: Township 5 North. Range 61 West, 6. P.M. Section 4: W2W2 Section 5: E2 Section 8: E2 Section 9: W2W2, SESW, S2SE Section 16: E2, E2W2, NWNW Section 17: ALL BCEI anticipates beginning construction ofthe Pronghorn F-16 location in the fourth quarter, 2022. The location of the proposed Oil and Gas surface is as follows: NWI4NW/4 Section 16, TSN, R61W, 6° P.M. Enclosed with this letter are the following documents: 1. BCE! Operational Guide, which outlines the anticipated date that each phase of operations will commence by month and year, the proposed construction schedule by quarter and year, and a description of each operational phase of development and what to expect during each phase; 2. Pronghorn F-16 Traffic Plan, which outlines the proposed haul routes and traffic volume associated with each phase of operations; 3. The Commission's information sheet about the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans; 4. The Commission's information sheet about the Commission's public comment process and the relevant deadlines; 5. The Commission's information sheet about Hydraulic Fracturing Treatments; and 6. The Commission's information sheet about how the public may view the status of the proposed Oil and Gas Development Plan application on the Commission's website. To receive more information about the proposed OGDP or to ask questions about the OGDP please contact Scott Park by email at spark@bonanzacrk.com, or by phone at (970) 415-0778, or by letter at 410 17" Street, Denver, CO 80202, or the COGCC (https://cogcc.state.co.usitilhome) at 303-894-2100. Sincerely, 5-:"<teri"‘ Scott Park Director, EHS & RC, Operations Management Enclosures: BCEI Operational Guide Traffic Plan Commission's Information Sheets Page 2 ��eonenzp CREEK 41017th Street, Suite 1400 Denver, CO 80202 (720) 440-6100 phone (720) 305.0604 fax Boogintacrkvolu liCE1 Operational Guide: BCEI is a Delaware company ("Operator"), submitting this Operational Guide to Weld County, CO outlining the anticipated timeframes that each phase of operations for the Pronghorn F-16 project will commence following the proposed construction scheduled quarter and year, and a description of each operational phase of development and what to expect during each phase. Construction Once all required permits have been issued by Weld County, CO and the Colorado Oil and Gas Conservation Commission ("COGCC"), the construction phase for Operator's Oil and Gas Location ("Location") may begin. Operator plans construction of the Pronghorn F-16 Location to be around the Fourth Quarter of 2022, An average pad construction takes approximately 14 days. The construction. process is done during daylight hours and during ideal weather conditions such to avoid construction inefficiencies and sediment migration from the site. This process may include equipment such as bulldozers, scrapers, loaders, backhoes, water wagons, rollers, graders, and gravel trucks to construct the pad and haul in the surface gravel to the Location There are between two and ten people on site during this phase of work. The pad location will be completed prior to the arrival of a drilling rig. Steps for pad construction are typically as follows: I) Installation of perimeter stormwater BIvIPs pursuantto the approved SWMP, COGCC, Weld County and CDPHE stormwater requirements. 2) Existing vegetation is cleared, and the topsoil is stripped. No burning of debris occurs. 3) Topsoil and spoil piles are clearly separated to ensure preservation of the topsoil for final site reclamation. 4) Once the basic grading is complete to level the well pad, establish drainage ditches, and spoils and topsoil stockpiles separated, gravel is hauled in to provide a stable surface for oil and gas operations. Gravel hauling generates heavy traffic, but generally only lasts a few days, and is more detailed in Operator's Traffic Plan (also attached). 5) A portion of the well site is then constructed with the permanent production facilities in mind. This area is located away from the planned wellheads to abide by numerous safety standards set by the Operator, the COGCC and the American Petroleum Institute. This work may occur simultaneously to drilling and completion operations. 6) All disturbed ground not needed for subsequent operations, including stockpiles and cut and fill slopes, are seeded and mulched in accordance with Operator's approved permits. 7) If necessary a perimeter fence is constructed to establish the well pad boundary, turn livestock and deter the public from entering the Location. 8) Cattle guards may be installed at the Location entrance, in addition to a locking gate. This perimeter fence will generally remain in place until after interim reclamation (as defined by the COGCC) has been performed, and all disturbed areas have re-established vegetation. Any additional fencing requirements under the OA will be installed after interim reclamation occurs. 9) The Well Site is left in a stable condition, ready for the rig. Comer. am. Stn... Svn.1400 Denver, CO 80202 tSffccP101440#10D Origin Following pad construction, a drill rig will be brought to the well pad, and will begin drilling each of the Pronghorn F-16 wells. Drilling rig operations are 24 hours per day, and Operator's drilling personnel work in shifts, with some that stay on site during the entire operation for safety purposes. The crew size can range from approximately 25 to 40 people at any given time. The Operator will conduct drilling operations in compliance with all County, State, and Federal rules and regulations. Drilling a single well will typically take between 5-1,0 days. The Pronghorn F-16 proposed plan contains 8 wells, therefore the drilling timeframe range will be between 40-80 days. Multi -well Sites take longer to drill than a single well Well Site Ina yield a smaller overall disturbance than drilling multiple single -well Well Sites. There will be a period of increased traffic prior to the rig arriving and while the rig moves off to the next Location. Standard operations equipment on the Location during the drilling phase consists of a drilling rig at the center of the pad along with water storage to be used in the drilling operations, pipe racks for temporarily storing drill piping, pumps, power generators, tool storage, fuel storage for said generators and pumps, and an enclosure to protect workers from inclement weather. The Operator utilizes a "closed Loop system" during drilling operations. Water used to support drilling operations may be trucked in or piped in and temporarily stored on -site. The Operator properly handles all drilling fluid in accordance with federal regulations. No fluid will be discharged on -she. Drilling fluid will be disposed of offsite, in a manner approved by the COGCC. Steps for the Drilling Process are typically as follows: 1) The drilling rig will drill vertically down to a specified depth and then horizontally to a specified distance. This target depth usually ranges from 6,000' 7,000' below the surface; The deepest freshwater source is approximately 5000' shallower than the target depth of the well. The wellbore is chilled in successive sections through the rock layers. Once the desired length of each wellbore section has been drilled, the drilling assembly is removed, and steel casing is inserted into the wellbore and cemented in place. 2) A typical wellbore contains surface casing and production casing strings designed to provide a barrier that protects groundwater resources from the contents that will later flow inside the wellbore. The Operator's standard surface casing design consists of 9 518" 36 lblfir graded steel casing. The Operator's standard production casing design consists of 5 4" 20 lb/ft graded steel pipe. The Operator will follow the COGCC regulations regarding wellbore integrity and testing to ensure water aquifer protection. The Operator will adhere to all COGCC requirements for easing setting depths necessary to protect ground water sources, and all drilling permits to ensure that those setting depths are achieved. To ensure the protection of all freshwater resources, 9-!a' steel surface easing will be set to a depth at least fifty (50) feet below the base of the deepest aquifer in water wells located within one mile of the surface location as required by the COGCC. The casing will be cemented from the bottom of the pipe up to surface. 3) for each well drilled from the Location, cement is installed between the wellbore and casing pipe and will be allowed to set. While the cement is setting, well control equipment is installed and tested. After the cement is set and installation of well control equipment is complete, a drill bit is run into the hole to drill the intermediate portion of the well into the potential oil and gas bearing formations. The well will be drilled horizontally and will be turned or steered such that a curve is achieved to approximately 90 degrees or parallel to the surface of the ground. The proposed vertical depth for the each well drilled from the Location is approximately 7,000 feet below ground level and the length of the horizontal leg being one to two (1 - 2) miles long. 4) Once the horizontal section of the wellbore is drilled, a string of production casing will be run into the wellbore. This casing will be 5'!z inches in outer diameter and weighs 20 pounds per linear Page 2 foot. The grade will be P110, which has a collapse rating of 11,080 psi and a burst rating of 12,640 psi. This casing will be cemented into place to isolate the productive zones of the reservoir. 5) Operator performs Bralenhead tests on all New Wells at all Location during the Drilling Phase and then annually during the Production Phase of the well. Once drilling operations are complete, the drilling rig is disassembled and moved offsite. At this stage, activity stops until the "completion" of the well occurs. Cnraaletion Prior to and following the Completion Phase of any New Well, Operator will assess the integrity of surrounding plugged and decommissioned wells, wells removed from use, and dry holes ("Previously Abandoned Wells") which are located within 1,500 feet of the proposed New Well borehole. Hydraulic Fracturing is just one portion of the completions process. There are also other minor activities that take place on the pad before and after fracturing, such as preparing the New Well for fracturing and. cleaning the sand out afterwards. Hydraulic fracturing is a completion method that has been used since the late 1940s. On average, it takes less than 10 days to complete a New Well and approximately 50-60 days to complete an eight -well Location. Again, the proposed Pronghorn F-16 Location consists of 8 wells and show take between the above mentioned 50-60 days to complete. Completion operations occur 24 -hours per day on the Location. The completions crews work in shifts, with some personnel living on -site during the entire operation. Crew size can vary but is typically made up of about 20 people, although up to 60 people may be on -site at any time. During hydraulic fracturing, fracturing materials, mainly sand, are brought in by truck and mixed on -site with water and other fracturing fluids. Pursuant to the terms of the OA, and to the maximum extent possible, the Operator will transport water onto the Location through temporary, above -ground water supply line (not trucks) for this work. Operator has a site -specific Water Delivery Plan, and Method that has been provided to the City with this application. All flowhack water is routed to temporary frac tanks which are mobile units and trucked off - site. These frac tanks also have secondary containment (temporary liner constructed 30-40 ml polyurethanes and the portable containment is installed with interlocking high -density plastic panels). The actual fracturing process uses rnacltioery capable of driving fracturing fluid down the length of the entire wellhore (potentially more than 17,000 feet). The fracturing fluid consists of water, proppant (typically sand), and some chemical additives. This fracturing fluid is pumped into the well at high pressures to crack the rock in difi rent stages in the targeted geologic horizon. Fracturing fluid is comprised of up to 99.5% water and sand. Small amounts of chemical additives are necessary to reduce fluid friction, kill bacteria that are present in the water source and enhance the fluid's ability to transport the propping agent To start the fracturing process, the well casing must first be perforated, At predetermined and specific intervals (stages) in the well, small perforations are made in the wellbore that allow the fracturing fluid to pass through the steel casing and exert pressure against the rock. The force of the fluid creates tiny cracks, or fractures, in the underground reservoir. Once fluid injection stops, pressure begins to dissipate, and the fractures previously held open by the fluid pressure begin to close. The proppant acts as a tiny wedge to hold these narrow fractures open, creating pathways for oil, natural gas and fracturing fluids to flow more easily to the welL After a stage has been hydraulically fractured, a plug is set inside the casing to isolate the stimulated section of the wellbore. The next stage is then perforated, fractured and isolated by a plug. The entire Page perforate -fracture -plug cycle is repeated at regular irtervals along the targeted section of the reservoir. A 10,000 ft. lateral in the Niobrara formation may have 4l} or more discrete stages associated with a frao job. Once all stages have been fractured, the plugs are drilled out by a coil tubing rig,, or workover rig, allowing the oil, natural gas, and fluids to flow into the well casing and up to the surface. Flowhack and Production Stag The last stage of the completions process is known as "flowback". Flowback describes the first few days of production from the well, after the plugs have been drilled out by a coil tubing rigor workover rig. The well produces an emulsion of hydrocarbon, formation water and produced water from the fracturing fluid. This emulsion flows through various pieces of temporary equipment on the surface to separate it out into various components. The flowback water is collected in tanks and may be recycled and blended with other water to be used at another fracturing site, or disposed of in accordance with all applicable rules, including COGCC's. This typically means the water is transported by thick to a state -approved injection well located outside of the City. At the end of this stage of development, all temporary equipment is removed from the Location, leaving only the wellhead and the permanent production facilities, including, separators, storage tanks and emissions control equipment. New well equipment and all existing equipment at the Location will be anchored to the extent necessary to prevent flotation, collapse, lateral movement, or subsidence in compliance with applicable Federal Emergency Management Agency ("FERIA") (as administered by the City) and COGCC rules and regulations. Operator's wells do not leave any anchors buried for future use. All anchoring is done through surface anchors or removable anchoring systems during Drilling and Completion Phases. After drilling and completion operations conclude, the well is "put on production" and may produce for 20+ years. Operator's commitment to safe and environmentally responsible operations continues through the entire life of each well. Wells produce an emulsion of oil, gas and naturally occurring water. Certain equipment is needed on the Location to separate the gas from the oil, and the oil from the water. The oil and gas are measured, metered, and sold as they leave the Location. The separated water, or "produced water", must be disposed of according to state and federal regulations. The plan is for oil to be transported from the Location via pipeline in order to minimize the truck traffic associated with production operations. Numerous engineering controls are in place to prevent or minimize the impact of unplanned events such as spills or leaks. Until a water gathering system is constructed, produced water will be piped, or trucked offsite. Produced water will be disposed of offsite to a stater approved injection well, as approved by the COGCC. Natural gas is sold through the meter and transported offsite through a gas gathering pipeline system in accordance with COGCC regulations. The physical dimensions of the production facilities may vary based on several factors, all of which are covered by the OA or in OGP Process. Operator will use electricity to power most equipment on -site. A combustion device must be available at each Location during the entire Production Phase for maintenance or emergencies only. • The combustion device must be fired with natural gas and designed to operate with a 98% or higher hydrocarbon destruction efficiency. • The combustion device must be designed and operated in a manner that will ensure no visible emissions during normal operation. Visible emissions mean observations of smoke for any period or periods of duration greater than or equal to one minute in any 15 -minute period during normal Pag54 operation, pursuant to EPA Method 22. Visible emissions do not include radiant energy or water vapor. The combustion device must always be operated with a flame present when emissions maybe vented to it, or other mechanism that does not allow uncontrolled emissions. All combustion devices must be equipped with an auto -igniter unless manned while in use. No permanent facilities will be placed outside of the designated pad. Location facilities must meet internal engineering standards, as well as operating and process integrity requirements. The facility plans go through a PHA -Hazard Operability Study by a certified facilitator. Any recommendations are incorporated into the design. Alarms and relief systems are regularly tested, and personnel are trained to operate facilities responsibly. During the production phase, tanks and separation equipment are secured to the ground using anchors engineered to resist floatation, collapse, lateral movement, or subsidence. To the extent flares, thermal oxidizers, or combustion devices are utilized, all such flares shall be designed and operated in accordance with the state and federal regulations. Operator will provide a safe and secure work environment to protect workers, our contractors and the community. Critical equipment will be secured by lock or with a security seal to prevent unauthorized tampering with equipment. Operator will use hard -rimmed rings at the Well Sites with sufficient capacity to contain l,5 times the maximum volume of the largest tank on location that such facility will contain at any given time plus sufficient freeboard to prevent overflow around all permanent tanks. All berms and containment devices will be inspected quarterly by Operator and maintained in good condition. No potential ignition sources will be installed inside the secondary containment area unless the containment area encloses a fired vessel or such sources are rated in accordance with industry codes and standards. Secondary containment such as duck ponds or lined earthen berms for temporary tanks may also be used. Containment berms will be constructed of hard - rimmed rings, designed and installed to prevent leakage and resist degradation from erosion or routine operation. Secondary containment for tanks will be constructed with a synthetic or 14 engineered liner that contains all primary containment vessels and is mechanically connected to the steel ring to prevent leakage. Well Sites will comply with the City's stormwater management requirements, including the me of stormwater best management practices to minimize water runoff from collecting in local waterways. An automated safety system, governed by safety devices and a programmable logic computer, will be installed at the Location. The automated safety system will include the installation, monitoring and remote control of a Surface Safety Valve ("SSV'T) among other engineered measures sad devices that are implemented to reduce or eliminate the potential fora well event. The SSV monitors flowing pressures and other operating parameters which have predetermined threshold values programmed and will remotely shut the well in should certain upset conditions be detected. Additionally, the automated safety system provides the ability to remotely shut-in wells on demand through operator remote intervention. The SSV will have documented annual testing to ensure functionality. During the Production Phase, Operator will maintain the Location. Debris and flammable material will be removed from the Location and any mud tracked from the Location to public roads will be addressed. Reclamation (Interim and Final) Interim reclamation: will occur within three months of the first production on Well Sites situated in crop lands, and within six months of first production for Well Sites situated in non -crop lands unless a timeline exception is granted by the surface owner and COOCC. Interim reclamation is performed in accordance with COGCC Rules. During this phase, portions of the Well Site that are no longer needed for production operations are reclaimed back to their original contours and reseeded with appropriate vegetative cover. Operator will monitor the condition of these reclaimed areas until sufficient vegetative cover is established. The final fencing is typically installed at this time to enclose the pad area and establish the site perimeter. The fence can serve multiple purposes including: visually screening the site from view, acting as a security measure to deter unauthorized access by members of the public and preventing livestock from Page 5 entering the site. At the end of a well's productive life which can be 20+ years, the Operator submits a Notice of Abandonment to the COGCC. The "Final Reclamation" of the Location is dictated by multiple documents, including COGCC Regulations, any conditions of approval associated with the City permits, the Surface Use Agreement, and/or Oil and Gas Lease or Leases. The reclamation process is typically as follows: Final reclamation; plans will include the appropriate surface reclamation necessary for approval from Weld County and the COGCC. All wellbores are plugged and abandoned in accordance with COGCC regulations and other applicable laws. At the time of final plugging and abandonment, all surface equipment is removed, and the Location is graded as nearly as practicable to the natural contours. Backfilling, leveling and recontouring is performed as soon as practicable after plugging or cessation of production and removal of production equipment rent and facilities. Stockpiled topsoil is redistributed evenly over the re -contoured surface. The Location and any associated access roads are treated to alleviate compaction that may have occurred during the oil and gas operations. The reclaimed area is reseeded with the approved seed mixture specifically designed to simulate adjacent undisturbed vegetation while maximizing utilization by both wildlife and domestic stock. The vegetation growth is monitored at the Location until the vegetation reaches adequate density per COGCC regulations. Page Page 1of1 V� BOflRflZA CREEK TRANSPORTATION PLAN RPG RE OU1ES Project Report County, location Name: Date: State: Townshi Pronghorn 8/10/2021 Weld •, Ran:e, Section : T5N, 1. County, R61W, Number F-16 516 CO of Roundtrips Region: Field Proposed / Day Name: Start Date: DJ Wattenberg 4th Basin Quarter 2022 Activity Phase Type/Roudtrips Size Weight Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Construction multi Unit Truck 50,000 - 70,000 lbs 15 Average RT Passenger/Pickup 4500 - 8500 lbs 5 Average RT Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Drilling Multi Unit Truck 50,000 - 70,000 lbs 10 Average RT Passenger/Pickup 4500 - 8500 lbs 30 Average RT Single Unit Truck 10,000 - 20,000 lbs 5 Average RT Completions Multi Unit Truck 50,000 - 70,000 lbs SO Average RT Passenger/Pickup 4500 - 8500 lbs 40 Average AT Single Unit Truck 10,000 - 20,000 lbs 1 Average FAT Production Multi Unit Truck 50,000 - 70,000 lbs 3 Average RT Passenger/Pickup 4500 - 8500 lbs 1 Average RT 2. Expected Haul Route Route ID Description Traffic will access the location from west along US Highway 34, north on WCR 87, continue Route 1 north on WCR 89, east on WCR 58 Route will access the location north from east on WCR along 89, east US Highway on WCR 34, north 58 on WCR 87, continue Traffic Traffic will access the location along CO Highway 392, east on WCR 68, south on from north Route 3 'NCR 89, east on WCR 58 3. Travel Distribution Route ID Construction Drilling Completions Route 1 100% 50% 0% Route 2 0% 50% 100% Route 3 0% 0% 0% 4. Expected Daily Peak Traffic Time Peak traffic vohumes are expected around 6am and 6pm when shift changes occur. This applies for drilling and completions which run on 24 hour operations. During construction activites, specific traffic peaks are not expected at any time throughout the day. Reviewed By: Joe Schultz Project Manager Title: Signature: Date: 8/10/2021 eonanzi CREEK BonRnzA CREEK August 26, 2021 Oil and Gas Energy, Weld County Attn: Jason Maxey 1301 N. 17th Ave. Greeley, CO 80631 Re: Notice to Relevant Local Government Pronghorn P-10 NW/4NW/4 Section 10, T5N, R61W, 6th P.M. Weld County, Colorado 410 17th Street, Suite 1400 Denver, CO 80202 (720) 440-6100 phone (720) 305-0804 fax Dear Director Maxey, The purpose of this letter is to formally notify you that in compliance with the Colorado Oil and Gas Conservation Commission's ("Commission") Rule 302.e., and in accordance with the Weld County Code, Bonanza Creek Energy, Inc. ("BCEI") plans to submit the Pronghorn P-10 Oil and Gas Development Plan ("OGDP") to the Commission on or about September 30th, 2021. The proposed OGDP encompasses one (1) oil and gas location, described below, drilling four (4) wells located in the following lands: Township 5 North, Range 61 West, 6th P.M. Section 3: ALL Section 10: N2N2 Township 6 North, Range 61 West, 6th P.M. Section 27: S2S2 Section 34: ALL BCEI anticipates beginning construction of the Pronghorn P-10 location in the first quarter, 2023. The location of the proposed Oil and Gas surface is as follows: NW/4NW/4 Section 10, T5N, R61W, 6th P.M. Enclosed with this letter are the following documents: 1. BCEI Operational Guide, which outlines the anticipated date that each phase of operations will commence by month and year, the proposed construction schedule by quarter and year, and a description of each operational phase of development and what to expect during each phase; 2. Pronghorn P-10 Traffic Plan, which outlines the proposed haul routes and traffic volume associated with each phase of operations; 3. The Commission's information sheet about the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans; 4. The Commission's information sheet about the Commission's public comment process and the relevant deadlines; 5. The Commission's information sheet about Hydraulic Fracturing Treatments; and 6. The Commission's information sheet about how the public may view the status of the proposed Oil and Gas Development Plan application on the Commission's website. To receive more information about the proposed OGDP or to ask questions about the OGDP please contact Scott Park by email at sparkhbonanzacrk.com, or by phone at (970) 415-0778, or by letter at 410 17th Street, Denver, CO 80202, or the COGCC (https://cogcc.state.co.us/#/home) at 303-894-2100. Sincerely, Scott Park Director, EHS & RC, Operations Management Enclosures: BCEI Operational Guide Traffic Plan Commission's Information Sheets Page 2 ��eonAnzA CREEK 410 17th Street, Suite 1400 Denver, CO 80202 (720) 440-6100 phone (720) 305-0804 fax Honatiracti-corn BCEI Operational Guide: BCEI is a Delaware company ("Operator"), submitting this Operational Guide to Weld County, CO outlining the anticipated timeframes that each phase of operations for the Pronghorn P-10 project will commence following the proposed construction scheduled quarter and year, and a description of each operational phase of development and what to expect during each phase. Construction Once all required permits have been issued by Weld County, CO and the Colorado Oil and Gas Conservation Commission ("COGCC"), the construction phase for Operator's Oil and Gas Location ("Location") may begin. Operator plans construction of the Pronghorn P-10 Location to be around the First Quarter of 2023. An average pad construction takes approximately 14 days. The construction process is done during daylight hours and during ideal weather conditions such to avoid construction inefficiencies and sediment migration from the site. This process may include equipment such as bulldozers, scrapers, loaders, backhoes, water wagons, rollers, graders, and gravel trucks to construct the pad and haul in the surface gravel to the Location. There are between two and ten people on -site during this phase of work. The pad location will be completed prior to the arrival of a drilling rig. Steps for pad construction are typically as follows: I) Installation of perimeter stormwater BMPs pursuant to the approved SWMP, COGCC, Weld County and CDPI-IE stonnwater requirements. 2) Existing vegetation is cleared, and the topsoil is stripped. No burning of debris occurs. 3) Topsoil and spoil piles are clearly separated to ensure preservation of the topsoil for final site reclamation. 4) Once the basic grading is complete to level the well pad, establish drainage ditches, and spoils and topsoil stockpiles separated, gravel is hauled into provide a stable surface for oil and gas operations. Gravel hauling generates heavy traffic, but generally only lasts a few days, and is more detailed in Operator's Traffic Plan (also attached). 5) A portion of the well site is then constructed with the permanent production facilities in mind. This area is located away from the planned wellheads to abide by numerous safety standards set by the Operator, the COGCC and the American Petroleum Institute. This work may occur simultaneously to drilling and completion operations. 6) All disturbed ground not needed for subsequent operations, including stockpiles and cut and fill slopes, are seeded and mulched in accordance with Operator's approved permits. 7) If necessary a perimeter fence is constructed to establish the well pad boundary, turn livestock and deter the public from entering the Location. 8) Cattle guards may be installed at the Location entrance, in addition to a locking gate. This perimeter fence will generally remain in place until after interim reclamation (as defined by the COGCC) has been performed, and all disturbed areas have re-established vegetation. Any additional fencing requirements under the OA will be installed after interim reclamation occurs. 9) The Well Site is left hi a stable condition, ready for the rig. Corporate Office 410.17• Street, Suite 1401) Denver, CD 80202 Office{720)440.6100. DD !ing Following pad construction, a drill rig will be brought to the well pad, and will begin drilling each of the Pronghorn P-10 wells. Drilling rig operations are 24 hours per day, and Operator's drilling personnel work in shifts, with some that stay on -site during the entire operation for safety purposes. The crew size can range from approximately 25 to 40 people at any given time. The Operator will conduct drilling operations in compliance with all County, State, and Federal rules and regulations. Drilling a single well will typically take between 5-10 days. The Pronghorn P-10 proposed plan contains 4 wells, therefore the drilling timeframe range will be between 20-40 days. Multi -well Sites take longer to drill than a single -well Well Site but yield a smaller overall disturbance than drilling multiple single -well Well Sites. There will be a period of increased traffic prior to the rig arriving and while the rig moves off to the next Location. Standard operations equipment on the Location during the drilling phase consists of a drilling rig at the center of the pad along with water storage to be used in the drilling operations, pipe racks for temporarily storing drill piping, pumps, power generators, tool storage, fuel storage for said generators and pumps, and an enclosure to protect workers from inclement weather. The Operator utilizes a "closed loop system" during drilling operations. Water used to support drilling operations may be trucked in or piped in and temporarily stored on -site. The Operator properly handles all drilling fluid in accordance with federal regulations. No fluid will be discharged on -site. Drilling fluid will be disposed of offsite, in a manner approved by the COGCC. Steps for the Drilling Process are typically as follows: 1) The drilling rig will drill vertically down to a specified depth and then horizontally to a specified distance. This target depth usually ranges front 6,000' - 7,000' below the surface. The deepest freshwater source is approximately 5000' shallower than the target depth of the well. The wellbore is drilled in successive sections through the rock layers. Once the desired length of each wellborn section has been drilled, the drilling assembly is removed, and steel casing is inserted into the wellborn and cemented in place. 2) A typical wellbore contains surface casing and production casing strings designed to provide a barrier that protects groundwater resources from the contents that will later flow inside the wellbore. The Operator's standard surface casing design consists of 9 5/8" 361b/ft graded steel casing. The Operator's standard production casing design consists of 5 'L" 20 lblft graded steel pipe. The Operator will follow the COGCC regulations regarding wellbore integrity and testing to ensure water aquifer protection. The Operator will adhere to all COGCC requirements for casing setting depths necessary to protect ground water sources, and all drilling permits to ensure that those setting depths are achieved. To ensure the protection of all freshwater resources, 9-%" steel surface casing will be set to a depth at least fifty (50) feet below the base of the deepest aquifer in water wells located within one mile of the surface location as required by the COGCC. The casing will be cemented from the bottom of the pipe up to surface. 3) For each well drilled from the Location, cement is installed between the wellbore and casing pipe and will be allowed to set. While the cement is setting, well control equipment is installed and tested. After the cement is set and installation of well control equipment is complete, a drill bit is run into the hole to drill the intermediate portion of the well into the potential oil and gas bearing formations. The well will be drilled horizontally and will be turned or steered such that a curve is achieved to approxnnately 90 degrees or parallel to the surface of the ground. The proposed vertical depth for the each well drilled from the Location is approximately 7,000 feet below ground level and the length of the horizontal leg being one to two (1 - 2) miles long. 4) Once the horizontal section of the wellbore is drilled, a string of production casing will be run into the wellbore. This casing will be 5'/z inches in outer diameter and weighs 20 pounds per linear Page 2 foot. The grade will be P110, which has a collapse rating of 11,080 psi and a burst rating of 12,640 psi. This casing will be cemented into place to isolate the productive zones of the reservoir. 5) Operator performs Bradenhead tests on all New Wells at all Location during the Drilling Phase and then annually during the Production Phase of the well. Once drilling operations are complete, the drilling rig is disassembled and moved offsite. At this stage, activity stops until the "completion" of the well occurs. Completion Prior to and following the Completion Phase of any New Well, Operator will assess the integrity of surrounding plugged and decommissioned wells, wells removed from use, and dry holes ("Previously Abandoned Wells") which are located within 1,500 feet of the proposed New Well borehole. Hydraulic Fracturing is just one portion of the completions process. There are also other minor activities that take place on the pad before and after fracturing, such as preparing the New Well for fracturing and cleaning the sand out afterwards. Hydraulic fracturing is a completion method that has been used since the late 1940s. On average, it takes less than 10 days to complete a New Well and 50-60 days to complete an eight - well Location. Again, the proposed Pronghorn P-10 Location consists of 4 wells and should take between 25-30 days to complete. Completion operations occur 24 -hours per day on the Location. The completions crews work in shifts, with some personnel living on -site during the entire operation. Crew size can vary but is typically made up of about 20 people, although up to 60 people may be on -site at any time. During hydraulic fracturing, fracturing materials, mainly sand, are brought in by truck and mixed on -site with water and other fracturing fluids. Pursuant to the terms of the OA, and to the maximum extent possible, the Operator will transport water onto the Location through temporary, above -ground water supply line (not trucks) for this work. Operator has a site -specific Water Delivery Plan and Method that has been provided to the City with this application. All flowback water is routed to temporary frac tanks which are mobile units and trucked off - site. These frac tanks also have secondary containment (temporary liner constructed 30-40 ml polyurethanes and the portable containment is installed with interlocking high -density plastic panels). The actual fracturing process uses machinery capable of driving fracturing fluid down the length of the entire wellbore (potentially more than 17,000 feet). The fracturing fluid consists of water, proppant (typically sand), and some chemical additives. This fracturing fluid is pumped into the well at high pressures to crack the rock in different stages in the targeted geologic horizon. Fracturing fluid is comprised of up to 99.5% water and sand. Small amounts of chemical additives are necessary to reduce fluid friction, kill bacteria that are present in the water source and enhance the fluid's ability to transport the propping agent To start the fracturing process, the well casing must first be perforated. At predetermined and specific intervals (stages) in the well, small perforations are made in the wellbore that allow the fracturing fluid to pass through the steel casing and exert pressure against the rock. The force of the fluid creates tiny cracks, or fractures, in the underground reservoir. Once fluid injection stops, pressure begins to dissipate, and the fractures previously held open by the fluid pressure begin to close. The proppant acts as a tiny wedge to hold these narrow fractures open, creating pathways for oil, natural gas and fracturing fluids to flow more easily to the well. After a stage has been hydraulically fractured, a plug is set inside the casing to isolate the stimulated section of the wellbore. The next stage is then perforated, fractured and isolated by a plug. The entire perforate -fracture -plug cycle is repeated at regular intervals along the targeted section of the reservoir. A Page 3 10,000 ft. lateral in the Niobrara formation may have 40 or more discrete stages associated with a frac job. Once all stages have been fractured, the plugs are drilled out by a coil tubing rig, or workover rig, allowing the oil, natural gas, and fluids to flow into the well casing and up to the surface. Flowback and Production Stages The last stage of the completions process is known as "flowback". Flowback describes the first few days of production from the well, after the plugs have been drilled out by a coil tubing rig or workover rig. The well produces an emulsion of hydrocarbon, formation water and produced water from the fracturing fluid. This emulsion flows through various pieces of temporary equipment on the surface to separate it out into various components. The flowback water is collected in tanks and may be recycled and blended with other water to be used at another fracturing site, or disposed of in accordance with all applicable rules, including COGCC's. This typically means the water is transported by truck to a state -approved injection well located outside of the City. At the end of this stage of development, all temporary equipment is removed from the Location, leaving only the wellhead and the permanent production facilities, including, separators, storage tanks and emissions control equipment. New well equipment and all existing equipment at the Location will be anchored to the extent necessary to prevent flotation, collapse, lateral movement, or subsidence in compliance with applicable Federal Emergency Management Agency ("FEMA") (as administered by the City) and COGCC rules and regulations. Operator's wells do not leave any anchors buried for future use. All anchoring is done through surface anchors or removable anchoring systems during Drilling and Completion Phases. After drilling and completion operations conclude, the well is "put on production" and may produce for 20+ years. Operator's commitment to safe and environmentally responsible operations continues through the entire life of each well. Wells produce an emulsion of oil, gas and naturally occurring water. Certain equipment is needed on the Location to separate the gas from the oil, and the oil from the water. The oil and gas are measured, metered, and sold as they leave the Location. The separated water, or "produced water", must be disposed of according to state and federal regulations. The plan is for oil to be transported from the Location via pipeline in order to minimize the truck traffic associated with production operations. Numerous engineering controls are in place to prevent or minimize the impact of unplanned events such as spills or leaks. Until a water gathering system is constructed, produced water will be piped, or trucked offsite. Produced water will be disposed of offsite to a state - approved injection well, as approved by the COGCC. Natural gas is sold through the meter and transported offsite through a gas gathering pipeline system in accordance with COGCC regulations. The physical dimensions of the production facilities may vary based on several factors, all of which are covered by the OA or in OGP Process. Operator will use electricity to power most equipment on -site. A combustion device must be available at each Location during the entire Production Phase for maintenance or emergencies only. The combustion device must be fired with natural gas and designed to operate with a 98% or higher hydrocarbon destruction efficiency. The combustion device must be designed and operated in a manner that will ensure no visible emissions during normal operation. Visible emissions mean observations of smoke for any period or periods of duration greater than or equal to one minute in any 15 -minute period during normal operation, pursuant to EPA Method 22. Visible emissions do not include radiant energy or water Page 4 vapor. • The combustion device must always be operated with a flame present when emissions may be vented to it, or other mechanism that does not allow uncontrolled emissions. • All combustion devices must be equipped with an auto -igniter unless manned while in use. No permanent facilities will be placed outside of the designated pad. Location facilities must meet internal engineering standards, as well as operating and process integrity requirements. The facility plans go through a PHA -Hazard Operability Study by a certified facilitator. Any recommendations are incorporated into the design. Alarms and relief systems are regularly tested, and personnel are trained to operate facilities responsibly. During the production phase, tanks and separation equipment are secured to the ground using anchors engineered to resist floatation, collapse, lateral movement, or subsidence. To the extent flares, thermal oxidizers, or combustion devices are utilized, all such flares shall be designed and operated in accordance with the state and federal regulations. Operator will provide a safe and secure work environment to protect workers, our contractors and the community. Critical equipment will be secured by lock or with a security seal to prevent unauthorized tampering with equipment. Operator will use hard -rimmed rings at the Well Sites with sufficient capacity to contain 1.5 times the maximum volume of the largest tank on location that such facility will contain at any given time plus sufficient freeboard to prevent overflow around all permanent tanks. All berms and containment devices will be inspected quarterly by Operator and maintained in good condition. No potential ignition sources will be installed inside the secondary containment area unless the containment area encloses a fired vessel or such sources are rated in accordance with industry codes and standards. Secondary containment such as duck ponds or lined earthen berms for temporary tanks may also be used. Contaimnent berms will be constructed of hard - rimmed rings, designed and installed to prevent leakage and resist degradation from erosion or routine operation. Secondary containment for tanks will be constructed with a synthetic or 14 engineered liner that contains all primary containment vessels and is mechanically connected to the steel ring to prevent leakage. Well Sites will comply with the City's stormwater management requirements, including the use of stonnwater best management practices to minimize water runoff from collecting in local waterways. An automated safety system, governed by safety devices and a programmable logic computer, will be installed at the Location. The automated safety system will include the installation, monitoring and remote control of a Surface Safety Valve ("SSV") among other engineered measures and devices that are implemented to reduce or eliminate the potential for a well event. The SSV monitors flowing pressures and other operating parameters which have predetermined threshold values programmed and will remotely shut the well in should certain upset conditions be detected. Additionally, the automated safety system provides the ability to remotely shut-in welts on demand through operator remote intervention. The SSV will have documented annual testing to ensure functionality. During the Production Phase, Operator will maintain the Location. Debris and flammable material will be removed from the Location and any mud tracked from the Location to public roads will be addressed. Reclamation (Interim and Final) Interim reclamation: will occur within three months of the first production on Well Sites situated in crop lands, and within six months of first production for Well Sites situated in non -crop lands unless a timeline exception is granted by the surface owner and COGCC. Interim reclamation is performed in accordance with COGCC Rules. During this phase, portions of the Well Site that are no longer needed for production operations are reclaimed back to their original contours and reseeded with appropriate vegetative cover. Operator will monitor the condition of these reclaimed areas until sufficient vegetative cover is established. The final fencing is typically installed at this time to enclose the pad area and establish the site perimeter. The fence can serve multiple purposes including: visually screening the site from view, acting as a security measure to deter unauthorized access by members of the public and preventing livestock from entering the site. Paae 5 At the end of a well's productive life which can be 20+ years, the Operator submits a Notice of Abandonment to the COGCC. The "Final Reclamation" of the Location is dictated by multiple documents, including COGCC Regulations, any conditions of approval associated with the City permits, the Surface Use Agreement, and/or Oil and Gas Lease or Leases. The reclamation process is typically as follows: Final reclamation: plans will include the appropriate surface reclamation necessary for approval from Weld County and the COGCC. All wellbores are plugged and abandoned in accordance with COGCC regulations and other applicable laws. At the time of fmal plugging and abandonment, all surface equipment is removed, and the Location is graded as nearly as practicable to the natural contours. Backfilling, leveling and recontouring is performed as soon as practicable after plugging or cessation of production and removal of production equipment and facilities. Stockpiled topsoil is redistributed evenly over the re -contoured surface. The Location and any associated access roads are treated to alleviate compaction that may have occurred during the oil and gas operations. The reclaimed area is reseeded with the approved seed mixture specifically designed to simulate adjacent undisturbed vegetation while maximizing utilization by both wildlife and domestic stock. The vegetation growth is monitored at the Location until the vegetation reaches adequate density per COGCC regulations. Page 6 Page lof1 (� eonRnzA CHEEH TRANSPORTATION PLAN RESOURCES Project Report County, Location Name: Date: •, Ran:e e, Section): Pronghorn 8/10/2021 Weld TS N, 1. R61W, County, Number P-10 S10 CO of Roundtrips Region: Field Proposed / Day Name: Date: Di Wattenberg 1st Basin Quarter 2023 State: Townshi Start Activity Phase Type/Roudtrips Size Weight Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Construction Multi Unit Truck 50,000 - 70,000 lbs 15 Average RT A Passenger/Pickup 4500 - 8500 lbs 5 Average RT Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Drilling Multi Unit Truck 50,000 - 70,000 lbs 10 Average RT Passenger/Pickup 4500 - 8500 lbs 30 Average RT Single Unit Truck 10,000 - 20,000 lbs 5 Average RT Completions Multi Unit Truck 50,000 - 70,000 lbs 50 Average RT Passenger/Pickup 4500 - 8500 lbs 40 Average RT Single Unit Truck 10,000 - 20,000 lbs 1 Average RT Production Multi Unit Truck 50,000 - 70,000 Ibs 3 Average RT Passenger/Pickup 4500 - 8500 lbs 1 Average RT 2. Expected Haul Route Route ID Description Traffic will access the location from west along US Highway 34, north on WCR 87, continue Route 1 north on WCR 89, east on WCR 60 Traffic will access the location from east along US Highway 34, north on WCR 87, continue Route 2 north on WCR 89, east on WCR 60 Traffic will access the location from north along CO Highway 392, east on WCR 68, south on Route 3 WCR 89, east on WCR 60 3. Travel Distribution Route ID Construction Drilling Completions Route 1 100% 50% 0% Route 2 0% 50% 100% Route 3 0% 0% 0% 4. Expected Daily Peak Traffic Time Peak traffic volumes are expected around 6am and 6pm when shift changes occur. This applies for drilling and completions which run on 24 hour operations. During construction activites, specific traffic peaks are not expected at any time throughout the day. Reviewed By: Joe Schultz Title: Project Manager Signature: Date: 8/10/2021 O"2:211 August 26, 2021 Oil and Gas Energy, Weld County Attn: Jason Maxey 1301 N. 17th Ave. Greeley, CO 80631 Re: Notice to Relevant Local Government Pronghorn P-22 NEMNE/4 Section 22, TSN, R61W, 60' P.M. Weld County, Colorado Dear Director Maxey, 41017th Street, Suite 1400 Denver, CO 80202 (720)4404100 phone (720) 305.0804 fax The purpose of this letter is to formally notify you that in compliance with the Colorado Oil and. Gas Conservation Commission's ("Commission") Rule 302.e., and in accordance with the Weld County Code, Bonanza Creek Energy, Inc. ("BCEI") plans to submit the Pronghorn P-22 Oil and Gas Development Plan ("OGDP") to the Commission on or about September 30th, 2021. The proposed OGDP encompasses one (1) oil and gas location, described below, drilling seven (7) wells located in the following lands: Township 5 North. Ranee 61 West. 6th P.M. Section 9: E2E2 Section 10: E2, W2W2 Section 14: SWSW Section 15: E2, W2W2, S2E2SW Section 16: E2E2, S2SW, S2W2SE Section 17: SESE Section 20: NENE Section 21: N2N2 Section 22: E2, N2NW Section 23: NWNW BCEI anticipates beginning construction of the Pronghorn P-22 location in the fourth quarter, 2022. The location of the proposed Oil and Gas surface is as follows: NE14NE/4 Section 22, T5N,11.61 W, 6a' P.M. Enclosed with this letter are the following documents: 1. BCEI Operational Guide, which outlines the anticipated date that each phase of operations will commence by month and year, the proposed construction schedule by quarter and year, and a description of each operational phase of development and what to expect during each phase; 2. Pronghorn P-22 Traffic Plan, which outlines the proposed haul routes and traffic volume associated with each phase of operations; 3. The Commission's information sheet about the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans; 4. The Commission's information sheet about the Commission's public comment process and the relevant deadlines; 5. The Commission's information sheet about Hydraulic Fracturing Treatments; and 6. The Commission's information sheet about how the public may view the status of the proposed Oil and Gas Development Plan application on the Commission's website. To receive more information about the proposed OGDP or to ask questions about the OGDP please contact Scott Park by email at spark r3bonanzacrk.com, or by phone at (970) 415-0778, or by letter at 410 17'h Street, Denver, CO 80202, or the COGCC (https://cogcc.state.co.u.s/#/home) at 303-894-2100. Sincerely, Scott Park Director, EHS & RC, Operations Management Enclosures: BCEI Operational Guide Traffic Plan Commission's Information Sheets t \eonAnzA CREEK 41017th Street, Suite 1400 Denver. CO 88202 (720)440-6100 phone (720) 305-0804 fax Ocsuonslissas BCEI Operational Guide: BCEI is a Delaware company ("Operator"), submitting this Operational Guide to Weld County, CO outlining the anticipated timeframes that each phase of operations for the Pronghorn P-22 project will commence following the proposed construction scheduled quarter and year, and a description of each operational phase of development and what to expect during each phase. Construction Once all required permits have been issued by Weld County, CO and the Colorado Oil and Gas Conservation Comrnission C‘COGCC"), the construction phase for Operator's Oil and Gas Location ("Location") may begin. Operator plans construction of the Pronghorn P-22 Location to be around the Fourth Quarter of 2022. An average pad construction takes approximately 14 days. The construction process is done during daylight hours and during ideal weather conditions such to avoid construction inefficiencies and sediment migration from the site. This process may include equipment such as bulldozers, scrapers, loaders, backhoes, water wagons, rollers, graders, and gravel trucks to construct the pad and haul in the surface gravel to the Location. There are between two and ten people on -site during this phase of work. The pad location will be completed prior to the arrival of drilling rig. Steps for pad construction are typically as follows: 1) Installation of perimeter storntwater BMPs pursuant to the approved SWMP, COGCC, Weld County and CDPHE stormwatcr requirements. 2) Existing vegetation is cleared, and the topsoil is stripped. No burning of debris occurs. 3) Topsoil and spoil piles are clearly separated to ensure preservation of the topsoil for final site reclamation. 4) Once the basic grading is complete to level the well pad, establish drainage diiches, and spoils and topsoil stockpiles separated, gravel is hauled in to provide a stable surface for oil and gas operations. Gravel hauling generates heavy traffic, but generally only lasts a few days, and is more detailed in Operator's Traffic Plan (also attached). 5) A portion of the well site is then constructed with the permanent production facilities in mind. This area is located away from the planned wellheads to abide by numerous safety standards set by the Operator, the COGCC and the American Petroleum Institute. This work may occur simultaneously to drilling and completion operations. 6) All disturbed ground not needed for subsequent operations, including stockpiles and cut and fill slopes, are seeded and mulched in accordance with Operator's approved permits!. 7) If necessary a perimeter fence is constructed to establish the well pal boundary, usia livestock and deter the public from entering the Location. 8) Cattle guards may be installed at the Location entrance, in addition to a locking gate. This perimeter fence will generally remain in place until after interim reclamation (as defaced by the COGCC) has been performed, and all disturbed areas have re-established vegetation. Any additional fencing requirements under the OA will be installed after interim reclamation occurs. 9) The Well Site is left in a stable condition, ready for the rig. si 41017y' Stye; Suite 1. Dn'liime Following pad construction, a drill rig will be brought to the well pad, and will begin drilling each of the Pronghorn P-22 wells. Drilling rig operations are 24 hours per day, and Operator's drilling personnel work in shifts, with some that stay on -site during the entire operation for safety purposes. The crew size can range from approximately 25 to 40 people at any given time. The Operator will conduct drilling operations in compliance with all County, State, and Federal rules and regulations. Drilling a single well will typically take between 5-10 days. The Pronghorn P-22 proposed plan contains 7 wells, therefore the drilling timeframe range will be between 35-70 days. Multi -well Sites take longer to drill than a single -well Well Site but yield a smaller overall disturbance than drilling multiple single -well Well Sites. There will be a period of increased traffic prior to the rig arriving and while the rig moves off to the next Location. Standard operations equipment on the Location during the drilling phase consists of a drilling rig at the center of the pad along with water storage to be used in the drilling operations, pipe racks for temporarily storing drill piping, pumps, power generators, tool storage, fuel storage for said generators and pumps, and an enclosure to protect workers from inclement weather. The Operator utilizes a "closed loop system" during drilling operations. Water used to support drilling operations may be trucked in or piped in and temporarily stored on -site. The Operator properly handles all drilling fluid in accordance with federal regulations. No fluid will be discharged on: site; Drilling fluid will be disposed of offsite, in a manner approved by the COGCC. Steps for the Drilling Process are typically as follows. 1) The drilling rig will drill vertically down to a specified depth and then horizontally to a specified distance. This target depth usually ranges front 6,000' - 7,000' below the surface. The deepest freshwater source is approximately 5000' shallower than the target depth of the well. The wellbore is drilled in successive sections through the rock layers. Once the desired length of each wellbore section has been drilled, the drilling assembly is removed, and steel casing is inserted into the wellbore and cemented in place. 2) A typical wellbore contains surface casing and production casing strings designed to provide a barrier that protects groundwater resources from the contents that will later flow inside the wellbore, The Operator's standard surface casing design consists of 9 518" 36 lb/ft graded steel casing. The Operator's standard production casing design consists of 5'/A" 20 lb/ft graded steel pipe. The Operator will follow the COGCC regulations regarding wellbore integrity and testing to ensure water aquifer protection. The Operator will adhere to all COGCC requirements for casing setting depths necessary to protect ;ground water sources, and all drilling permits to ensure that those setting depths are achieved. To ensure the protection of all freshwater resources, 9-=%" steel surface casing will be set to a depth at least fifty (50) feet below the base of the deepest aquifer in water wells located within one mile of the surface location as required by the COGCC. The casing will be cemented from the bottom of the pipe up to surface. 3) For each well drilled from the Location, cement is installed between the wellbore and casing pipe and will be allowed to set. While the cement is setting, well control equipment is installed and tested. After the cement is set and installation of well control equipment is complete, a drill bit is run into the hole to drill the intermediate portion of the well into the potential oil and gas bearing formations. The well will be drilled horizontally and will be turned or steered such that a curve is achieved to approximately 90 degrees or parallel to the surface of the ground. The proposed vertical depth far the each well drilled from the Location is approximately 7,000 feet below ground level and the length of the horizontal leg being one to two (1 - 2) miles long. 4) Once the horizontal section of the wellbore is chilled, a string of production casing will be run into the wellbore. This casing will be 5i4 inches in outer diameter and weighs 20 pounds per linear Page 2 foot The grade will be P110, which has a collapse rating of 11,080 psi and a burst rating of 12,640 psi. This casing will be cemented into place to isolate the productive zones of the reservoir, 5) Operator performs flradenhead tests on all New Wells at all Location during the Drilling Phase and then annually during the Production Phase of the well. Once drilling operations are complete, the drilling rig is disassembled and moved offsite. At this stage, activity stops until the "completion" of the well occurs. Completion Prior to and following the Completion Phase of any New Well, Operator will assess the integrity of surrounding plugged and decommissioned wells, wells removed from use, and dry holes ("Previously Abandoned Wells") which are located within 1,500 feet of the proposed New Well borehole. Hydraulic Fracturing is just one portion of the completions process. There are also other mince` activities that take place on the pad before and after fracturing, such as preparing the New Well for fracturing and cleaning the sand out aftenvards. Hydraulic fracturing is a completion method that has been used since the late 1940s. On average, it takes less than 10 days to complete a New Well and approximately 50-60 days to complete an eight -well Location. Again, the proposed Pronghorn P-22 Location consists of 7 wells and should take between the above mentioned 44-53 days to complete. Completion operations occur 24 -hours per day on the Location. The completions crews work in shifts, with some personnel living on -site during the entire operation. Crew size can vary but is typically made up of about 20 people, although up to 60 people may be on -site at any time. During hydraulic fracturing, fracturing materials, mainly sand, are brought in by truck and mixed on -site with water and other fracturing fluids. Pursuant to the terms of the OA, and to the maximum extent possible, the Operator will transport water onto the Location through temporary, above -ground water supply line (not trucks) for this work. Operator has a site -specific Water Delivery Plan and Method that has been provided to the City with this application* All flowback water is routed to temporary frac tanks which are mobile units and trucked off - site. These frac tanks also have secondary containment (temporary liner constructed 30-40 ml polyurethanes and the portable containment is installed with interlocking high -density plastic panels). The actual fracturing process uses machinery capable of driving fracturing fluid down the length ofthe entire wellbore (potentially more than 17,000 feet). The fracturing fluid consists of water, proppant (typically sand), and some chemical additives. This fracturing fluid is pumped into the well at high pressures to crack the rock in different stages in the targeted geologic horizon. Fracturing fluid is comprised of up to 99.5% water and sand. Small amounts of chemical additives are necessary to reduce fluid friction, kill bacteria that are present in the water source and enhance the fluid's ability to transport the propping agent To start the fracturing process, the well casing must first be perforated. At predetermined and specific intervals (stages) in the well, small perforations are made in the wellbore that allow the fracturing fluid to pass through the steel casing and exert pressure against the rock. The force of the fluid creates tiny cracks, or fractures, in the underground reservoir. Once fluid injection stops, pressure begins to dissipate, and the fractures previously held open by the fluid pressure begin to close. The proppant acts as a tiny wedge to hold these narrow fractures open, creating pathways for oil, natural gas and fracturing fluids to flow more easily to the well After a stage has been hydraulically fractured, a plug is set inside the casing to isolate the stimulated section of the wellbore. The next stage is then perforated, fractured and isolated by a plug. The entire Page 3 perforate -fracture -plug cycle is repeated at regular intervals along the targeted section of the reservoir. A 10,000 ft. lateral in fire Niobrara formation may have 40 or more discrete stages associated with a frac job, Once all stages have been fractured, the plugs are drilled ottt by a coil tubing rig, or workover rig, allowing. the oil, natural gas, and fluids to flow into the well casing and up to the surface. Flowback and Production Stares The last stage of the completions process is known as "fowback". Plowbaek describes the rust few days of production from the well, after the plugs have been drilled out by a coil tubing rigor workover rig. The well produces an emulsion of hydrocarbon, formation water and produced water from the fracturing fluid. This emulsion flows through various pieces of temporary equipment on the surface to separate it out into various components. The flowback water is collected in tanks and may be recycled and blended with other water to be used at another fracturing site, or disposed of in accordance with all applicable rules, including COClCC's. This typically means the water is transported by truck to a state -approved injection well located outside of the City. At the end of this stage of development, all temporary equipment is removed from the Location, leaving only the wellhead and the permanent production facilities, including, separators, storage tanks and emissions control equipment New well equipment and all existing equipment at the location will be anchored to the extent necessary to prevent flotation, collapse, lateral movement, or subsidence in compliance with applicable Federal Emergency Management Agency (" MA") (as administered by the City) and COGCC rules and regulations. Operator's wells do net leave any anchors buried for future use. All anchoring is done throws surface anchors or removable anchoring systems during Drilling and Completion Phases. After drilling and completion operations conclude, the well is "put on production" and may produce for 20+ years. Operator's commitment to safe and environmentally responsible operations continues through the entire life of each well. Wells produce an emulsion of oil, gas and naturally occurring water. Certain equipment is needed on the Location to separate the gas from the oil, and the oil from the water. The oil and gas are measured, metered, and sold as they leave the Location. The separated water, or "produced water", must be disposed of according to state and federal regulations. The plan is for oil to be transported from the Location via pipeline in order to minimize the truck traffic associated with production operations. Numerous engineering controls are in place to prevent or minimize the impact of unplanned events such as spills or leaks. Until a water gathering system is constructed, produced water will be piped, or trucked offsite. Produced water will be disposed of offsite to a state - approved injection well, as approved by the COGCC. Natural gas is sold through the meter and transported offsite through a gas gathering pipeline system in accordance with COGCC regulations. The physical dimensions of the production facilities may vary based on several factors, all of which are covered by the OA or in OGP Process. Operator will use electricity to power most equipment on -site. A combustion device must be available at each Location during the entire Production Phase for maintenance or emergencies only. • The combustion device must be fired with natural gas and designed to operate with a 9t% or higher hydrocarbon destruction efficiency. • The combustion device must be designed and operated in a manner that will ensure no visible emissions during normal operation. Visible emissions mean observations of smoke for any period or periods of duration greater than or equal to one minute in any 15 -minute period during normal Page 4 operation, pursuant to EPA Method 22. Visible emissions do not include radiant energy or water vapor, • The combustion device must always be operated with a flame present when emissions maybe vented to it, or other mechanism that does not allow uncontrolled emissions. All combustion devices must be equipped with an auto -igniter unless manned while in use. No permanent facilities will be placed outside of the designated pad. Location facilities must meet internal engineering standards, as well as operating and process integrity requirements. The facility plans go through a PHA -Hazard Operability Study by a certified facilitator. Any recommendations are incorporated into the design. Alarms and relief systems are regularly tested, and personnel are trained to operate facilities responsibly. During the production phase, tanks and separation equipment are secured to the ground using anchors engineered to resist floatation, collapse, lateral movement, or subsidence, To the extent flares, thermal oxidizers, or combustion devices are utilized, all such flares shall be designed and operated in accordance with the state and federal regulations. Operator will provide a safe and secure work environment to protect workers, our contractors and the community. Critical equipment will be secured by lock or with a security seal to prevent unauthorized tampering with equipment. Operator will use hard -rimmed rings at the Well Sites with sufficient capacity to contain 1.5 times the maximum volume of the largest tank on location that such facility will contain at any given time plus sufficient freeboard to prevent overflow around all permanent tanks. All berms and containment devices will be inspected quarterly by Operator and maintained in good condition. No potential ignition sources will be installed inside the secondary containment area unless the containment area encloses a fired vessel or such sources are rated in accordance with industry codes and standards. Secondary containment such as duck ponds or lined earthen berms for temporary tanks may also ho used. Containment berms will be constructed of hard - rimmed rings, designed and installed to prevent leakage and resist degradation from erosion or routine operation. Secondary containment for tanks will be constructed with a synthetic or 14 engineered liner that contains all primary containment vessels and is mechanically connected to the steel ring to prevent leakage. Well Sites will comply with the City's storrnwater management requirements, including the use of stormwater best management practices to minimize water runoff from collecting in local waterways. An automated safety system, governed by safety devices and a programmable logic computer, will be installed at the Location. The automated safety system will include the installation, monitoring and remote control of a Surface Safety Valve ("SSV among other engineered measures and devices that are implemented to reduce or eliminate the potential fora well event. The SSV monitors flowing pressures and other operating parameters which have predetermined threshold values programmed and will remotely shut the well in should certain upset conditions be detected. Additionally, the automated safety system provides the ability to remotely shut-in wells on demand through operator remote intervention. The SSV will have documented annual testing to ensure functionality. During the Production Phase, Operator will maintain the Location. Debris and flammable material will be removed from the Location and any mud tracked from the Location to public roads will be addressed. Reclamation (Interim and Rinall Interim reclamation: will occur within three months of the first production on Well Sites situated in crop lands, and within six months of first production for Well Sites situated in non -crop lands unless a timeline exception is granted by the surface owner and COGCC. Interim reclamation is performed in accordance with COGCC Rules. During this phase, portions of the Well Site that are no longer needed for production operations are reclaimed back to their original contours and reseeded with appropriate vegetative cover. Operator will monitor the condition of these reclaimed areas until sufficient vegetative cover is established. The final fencing is typically installed at this time to enclose the pad area and establish the site perimeter. The fence can serve multiple purposes including: visually screening the site from view, acting as a security measure to deter unauthorized access by members of the public and preventing livestock from Pap 5 entering the site. At the end of a well's productive life which can be 20+ years, the Operator submits a Notice of Abandonment to the COGCC. The "Final Reclamation" of the Location is dictated by multiple documents, including COGCC Regulations, any conditions of approval associated with the City permits, the Surface Use Agreement, and/or Oil and Gas Lease or Leases. The reclamation process is typically as follows: Final reclamation: plans will include the appropriate surface reclamation necessary for approval from Weld County and the COGCC. All wellbores are plugged and abandoned in accordance with COGCC regulations and other applicable laws, At the time of final plugging and abandonment, all surface equipment is removed, and the Location is graded as nearly as practicable to the natural contours. Backfilling, leveling and recontauring is performed as soon as practicable after plugging or cessation of production and removal of production equipment and facilities, Stockpiled topsoil is redistributed evenly over the re -contoured surface. The Location and any associated access roads are treated to alleviate compaction that may have occurred during the oil and gas operations. The reclaimed area is reseeded with the approved seed mixture specifically designed to simulate adjacent undisturbed vegetation while maximizing utilization by both wildlife and domestic stock. The vegetation growth is monitored at the Location until the vegetation reaches adequate density per COGCC regulations. Page 6 Page 1of1 B0000IN CREEN TRANSPORTATION PLAN oRPG rt RE URGES Basin Project Report County, Name: Date: State: Pronghorn 8/14/2021 Weld County, P-22 CO Region: Field Proposed Name: Start Date: Di Wattenberg 4th Quarter 2022 Location Townshi • Ran: e Section : TSN, R61W, 1. Number 522 of Roundtrips / Day Activity Phase Type/Roudtrips Size Weight Construction Single Passenger/Pickup Multi Unit Unit Truck Truck 10,000 50,000 4500 - 20,000 - 70,000 - 8500 lbs lbs lbs 10 15 5 Average Average Average RT RT RT Drilling Single Passenger/Pickup Multi Unit Unit Truck Truck 10,000 50,000 4500 - 20,000 - 70,000 - 8500 lbs lbs Ibs 10 10 30 Average Average Average RT RT RT Completions Single Multi Unit Unit Truck Truck 10,000 50,000 - 20,000 - 70,000 lbs lbs S SO Average Average RT RT Passenger/Pickup 4500 - 8500 Ibs 40 Average RT Production Single Passenger/Pickup Multi Unit Unit Truck Truck 10,000 50,000 4500 - 20)000 - 70,000 - 8500 Ibs lbs lbs 1 3 1 Average Average Average RT RT RT 2. Expected Haul Route Route ID Description Route 1 Traffic will access the location f rom ,=.pest along US Highway 34, north on WCR 87, continue north on, 'MICR 89, east on WCR 56 Route 2 Traffic will access the location north from east on'NCR along 89, east U5 Highway on MICR 34, north 56 on WCR 87, continue Route 3 Traffic will access the location from north along CD Higinr.►ay 392, east on i+'CR 68, south on WCR 89, east on WCR 56 3. Travel Distribution Route ID Construction Drilling Completions Route 1 Route 2 0% 50 100% Route 3 4. Expected Daily Peak Traffic Time Peak traffic volumes are expected around 6at and 6pm when shift changes occur. This applies for drilling and completions which run on 24 hour operations. During construction actMtes, .specific traffic peaks are not expected at any time throughout the day. Reviewed Signature: fiy: Joe Schultz Title: Date: Project 8/10/2021 Manager ��eonpnzA CREEK August 26, 2021 Oil and Gas Energy, Weld County Attn: Jason Maxey 1301 N. 17tH Ave. Greeley, CO 80631 Re: Notice to Relevant Local Government Pronghorn T-4 SENSE/4 Section 4, TSN, R61W, 6th P.M. Weld County, Colorado Dear Director Maxey, 410 17th Street, Suite 1400 Denver. CO 802202 (120) 404100 phone (720) 305-0804 fax The purpose of this letter is to formally notify you that in compliance with the Colorado Oil and Gas Conservation Commission's ("Commission") Rule 302.e., and in accordance with the Weld County Cade, Bonanza Creek Energy, Inc. ("BCEI") plans to submit the Pronghorn T-4 Oil and Gas Development Plan ("OODP" ) to the Commission on or about September 30th, 2021. The proposed OGD? encompasses one (1) oil and gas location, described below, drilling seven (7) wells located in the following lands: Township S North. Ranee 61 West. Gtr P.M. Section 3: W2W2 Section 4: ALL Section 9: ALL Section 10: NWNW Township 6 North, Ranee 61 West. 6h P.M. Section 27: SWSW Section 28:12S2 Section 33: ALL Section 34: W2W2 BCEI anticipates beginning construction of the Pronghorn T-4 location in the first quarter, 2024. The location of the proposed Oil and Gas surface is as follows: SE/4SE/4 Section 4, TSN, R61W, Eta P.M. Enclosed with this letter are the following documents: 1. BCEI Operational Guide, which outlines the anticipated date that each phase of operations will commence by month and year, the proposed construction schedule by quarter and year, and a description of each operational phase of development and what to expect during each phase; 2. Pronghorn T-4 Traffic Plan, which outlines the proposed haul routes and traffic volume associated with each phase of operations; 3. The Commission's information sheet about the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans; 4. The Commission's information sheet about the Commission's public comment process and the relevant deadlines; 5. The Commission's information sheet about Hydraulic Fracturing Treatments; and 6. The Commission's information sheet about how the public may view the status of the proposed Oil and Gas Development Plan application on the Commission's website. To receive more information about the proposed OGDP or to ask questions about the OGDP please contact Scott Park by email at spark@bonanzacrk.com, or by phone at (970) 415-0778, or by letter at 410 17th Street, Denver, CO 80202, or the COGCC (https://cogcc.state.co.usfitibome) at 303-894-2100. Sincerely, Scott Park Director, EHS & RC, Operations Management Enclosures: BCEI Operational Guide Traffic Plan Commission's Information Sheets Page 2 �SeonpnzR CREEK 410 17th Street, Suite 1400 Denver, CO 80₹02 (720) 440-8100 phone (720) 3050804 fax finnan acrk u+tn BCEI Operational Guide: BCEI is a Delaware company ("Operator"), submitting this Operational Guide to Weld County, CO outlining the anticipated timeframes that each phase of operations for the Pronghorn T-4 project will commence following the proposed construction scheduled quarter and year, and a description of each operational phase of development and what to expect during each phase. Construction Once all required permits have been issued by Weld County, CO and the Colorado Oil and Gas Conservation Commission ("COGCC"), the construction phase for Operator's Oil and Gas Location ("Location") may begin. Operator plans construction of the Pronghorn T-4 Location to be around the First Quarter of 2024, An average pad construction takes approximately 14 days, The construction process is done during daylight hours and during ideal weather conditions such to avoid construction inefficiencies and sediment migration from the site. This process may include equipment such as bulldozers, scrapers, loaders, backhoes, water wagons, rollers, graders, and gravel trucks to construct the pad and haul in the surface gravel to the Location. There are between two and ten people on -site during this phase of work. The pad location will be completed prior to the arrival of a drilling rig. Steps for pad construction are typically as follows: 1) Installation of perimeter stormwater BMPs pursuant to the approved SWMP, COGCC, Weld County and CDPFIE stormwater requirements. 2) Existing vegetation is cleared, and the topsoil is stripped. No burning of debris occurs. 3) Topsoil and spoil piles are clearly separated to ensure preservation of the topsoil for fmal site reclamation. 4) Once the basic grading is complete to lever the well pad, establish drainage ditches, and spoils and topsoil stockpiles separated, gravel is hauled in to provide a stable surface for oil and gas operations. Gravel hauling generates heavy traffic, but generally only lasts a few days, and is more detailed in Operator's Traffic Plan (also attached). 5) A portion of the well site is then constructed with the permanent production facilities in mind. This area is located away from the planned wellheads to abide by numerous safety standards set by the Operator, the COGCC and the American Petroleum Institute. This work may occur simultaneously to drilling and completion operations. 6) All disturbed ground not needed for subsequent operations, including stockpiles and cut and fill slopes, are seeded and mulched in accordance with Operator's approved permits. 7) If necessary a perimeter fence is constructed to establish the well pad boundary, turn livestock and deter the public from entering the Location. 8) Cattle guards maybe installed at the Location entrance, in addition to a locking gate. This perimeter fence will generally remain in place until after interim reclamation (as defined by the COGCC) has been performed, and all disturbed areas have re-established vegetation. Any additional fencing requirements under the OA will be installed after interim reclamation occurs. 9) The Well Site is left in a stable condition, ready for the rig. aoc In irk, Suf.,. Dm , pa IMI41 9dln{7201110#100 Following pad construction, a drill rig will be brought to the well pad, and will begin drilling each of the Pronghorn T-4 wells. Drilling rig operations are 24 hours per day, and Operator's drilling personnel work in shifts, with some that stay on -site during the entire operation for safety purposes. The crew size can range from approximately 25 to 40 people at any given time. The Operator will conduct drilling operations in compliance with all County, State, and Federal rules and regulations. Drilling a single well will typically take between 5-i0 days. The Pronghorn T'-4 proposed plan contains 7 wells, therefore the drilling timeframe range will be between 35-70 days. Multi -well Sites take longer to drill than a single -well Well Site but yield a smaller overall disturbance than drilling multiple single -well Well Sites. There will be a period of increased traffic prior to the rig arriving and while the rig moves off to the next Location.. Standard operations equipment on the Location during the drilling phase consists of a drilling rig at the center of the pad along with water storage to be used in the drilling operations, pipe racks for temporarily storing drill piping, pumps, power generators, tool storage, fuel storage for said generators and pumps, and an enclosure to protect workers from inclement weather. The Operator utilizes a "closed loop system" during drilling operations. Water used to support drilling operations may be trucked in or piped in and temporarily stored on -site. The Operator properly handles all drilling fluid in accordance with federal regulations. No fluid will be discharged on -site. Drilling fluid will be disposed of offsite, in a manner approved by the COGCC. Steps for the Drilling Process are typically as follows: 1) The drilling rig will drill vertically down to a specified depth and then horizontally to a specified distance. This target depth usually ranges from 6,000' - 7,000' below the surface. The deepest freshwater source is approximately 5000' shallower than the target depth of the well. The wellbore is drilled in successive sections through the rock layers. Once the desired length of each wellbore section has been drilled, the drilling assembly is removed, and steel casing is inserted into the wellbore and cemented in place. 2) A typical wellbore contains surface casing and production casing strings designed to provide a barrier that protects groundwater resources from the contents that will later flow inside the wellbore. The Operator's standard surface casing design consists of 9 5/8" 36 lb/ft graded steel casing. The Operator's standard production casing design consists of 5 '/i" 20 lb/ft graded steel pipe. The Operator will follow the COGCC regulations regarding wellbore integrity and testing to ensure water aquifer protection. The Operator will adhere to all COGCC requirements for casing setting depths necessary to protect wound water sources, and all drilling permits to ensure that those setting depths are achieved. To ensure the protection of all freshwater resources, 9-%" steel surface casing will be set to a depth at least fitly (50) feet below the base of the deepest aquifer in water wells laded within one mile of the surface location as required by the COGCC. The casing will be cemented from the bottom of the pipe up to surface. 3) For each well drilled from the Location, cement is installed between the wellbore and ding pipe and will be allowed to set. While the cement is setting, well control equipment is installed and tested. After the cement is set and installation of well control equipment is complete, a drill bit is run into the hole to drill the intermediate portion of the well into the potential oil and gas bearing formations. The well will be drilled horizontally and will be turned or steered such that a curve is achieved to approximately 90 degrees or parallel to the surface of the ground. The proposed vertical depth for the each well drilled from the Location is approximately 7,000 feet below ground level and the length of the horizontal leg being one to two (1 - 2) miles long. 4) Once the horizontal section of the wellbore is drilled, a string of production casing will be run into the wellbore. This casing will be 514 inches in outer diameter and weighs 20 pounds per linear Paget foot. The grade will be P110, which has a collapse rating of 11,080 psi and a burst rating of 12,649 psi. This casing will be cemented into place to isolate the productive zones of the reservoir. 5) Operator performs Bradenhead tests on all New Wells at all Location during the Drilling Phase and then annually during the Production Phase of the well. Once drilling operations are complete, the drilling rig is disassembled and moved offsite. At this stage, activity stops until the "completion" of the well occurs. Completion Prior to and following the Completion Phase of any New Well, Operator will assess the integrity of surrounding plugged and decommissioned wells, wells removed from use, and dry holes ("Previously Abandoned Wells") which are located within 1,500 feet of the proposed New Well borehole. Hydraulic Fracturing is just one portion of the completions process. There are also other minor activities that take place on the pad before and after fracturing, such as preparing the New Well for fracturing and cleaning the sand out afterwards. Hydraulic fracturing is a completion method that has been used since the late 1940s. On average, it takes less than 14 days to complete a New Well and approximately 50-6(1 days to complete an eight -wen Location. Again, the proposed Pronghorn T-4 Location consists of 7 wells and should take between the above mentioned 44-53 day=s to complete< Completion operations occur 24 -hours per day on the Location. The completions crews work in shifts, with some personnel living on -site during the entire operation. Crew size can vary but is typically made up of about 20 people, although up to 60 people may be on -site at any time. During hydraulic fracturing, fracturing materials, mainly sand, are brought in by truck and mixed on -site with water and other fracturing fluids. Pursuant to the terms of the OA, and to the maximum extent possible, the Operator will transport water onto the Location through temporary, above -ground water supply line (not trucks) far this work. Operator has a site -specific Water Delivery Plan and Method that has been provided to the City with this application. All flowback water is routed to temporary frac tanks which are mobile units and trucked off - site. These frac tanks also have secondary containment (temporary liner constructed 30-40 ml polyurethanes and the portable containment is installed with interlocking high -density plastic panels). The actual fracturing process uses machinery capable of driving fracturing fluid down the length of the entire wellbore (potentially more than 17,000 feet). The fracturing fluid consists of water, proppant (typically sand), and some chemical additives. This fracturing fluid is pumped into the well at high pressures to crack the rock in different stages in the targeted geologic horizon. Fracturing fluid is comprised of up to 99.5% water and sand. Small amounts of chemical additives are necessary to reduce fluid friction, kill bacteria that are present in the water source and enhance the fluid's ability to transport the propping agent To start the fracturing process, the well casing must fast be perforated. At predetermined and specific intervals (stages) in the well, small perforations are made in the wellbore that allow the fracturing fluid to pass through the steel casing and exert pressure against the rock. The force of the fluid creates tiny cracks, or fractures, in the underground reservoir. Once fluid injection stops, pressure begins to dissipate, and the fractures previously held open by the fluid pressure begin to close. The proppant acts as a tiny wedge to hold these narrow fractures open, creating pathways for oil, natural gas and fracturing fluids to flow more easily to the well. After a stage has been hydraulically fractured, a plug is set inside the casing to isolate the stimulated section of the wellbore. The next stage is then perforated, fractured and isolated by a plug. The entire Pasta perforate -fracture -plug cycle is repeated at regular intervals along the targeted section of the reservoir. A 10,0011 ft. lateral in the Niobrara formation may have 40 or more discrete stages associated with a frac job. Once all stages have been fractured, the plugs are drilled out by a coil tubing rig, or workaver rig, allowing the oil, natural gas, and fluids to flow into the well casing and up to the surface. Flowback and Production Staves The last stage of the completions process is known as "flowback". Flowiback descry the first few days of production from the well, after the plugs have been drilled out by a coil tubing rig or worknver rig. The well produces an emulsion of hydrocarbon, formation water and produced water from the fracturing fluid. This emulsion flows through various pieces of temporary equipment on the surface to separate it out into various components. The flowback water is collected in tanks and maybe recycled and blended with other water to be used at another fracturing site, or disposed of in accordance with all applicable rules, including COGCC's. This typically means the water is transported by truck to a state -approved injection well located outside of the City. At the end of this stage of development, all temporary equipment is removed from the Location, leaving only the wellhead and the permanent production facilities, including, separators, storage tanks and emissions control equipment. New well equipment and all existing equipment at the Location will be anchored to the extent necessary to prevent flotation, collapse, lateral movement, or subsidence in compliance with applicable Federal Emergency Management Agency ("FEMA°') (as administered by the City) and COGCC rules and regulations. Operator's wells do not leave any anchors buried for future use. All anchoring is done through surface anchors or removable anchoring systems during Drilling and Completion Phases. After drilling and completion operations conclude, the well is "put on production" and may produce for 20, years. Operator's commitment to safe and environmentally responsible operations continues through the entire life of each well. Wells produce an emulsion of oil, gas and naturally occurring water. Certain equipment is needed on the Location to separate the gas from the oil, and the oil from the water. The oil and gas are measured, metered, and sold as they leave the Location. The separated water, or "produced water", must be disposed of according to state and federal regulations. The plan is for oil to be transported from the Location via pipeline in order to minimize the truck traffic associated with production operations. Numerous engineering controls are in place to prevent or minimize the impact of unplanned events such as spills or leaks. Until a water gathering system is constructed, produced water will be piped, or trucked offsite. Produced water will be disposed of offsite to a state - approved injection well, as approved by the COCC. Natural gas is sold through the teeter and transported offsite through a gas gathering pipeline system in accordance with COGCC regulations. The physical dimensions of the production facilities may vary based on several factors, all of which are covered by the OA or in OGP Process. Operator will use electricity to power most equipment on -site. A combustion device must be available at each Location during the entire Production Phase for maintenance or emergencies only. • The combustion device must be fired with natural gas and designed to operate with a 98% or higher hydrocarbon destruction efficiency. • The combustion device must be designed and operated in a manner that will ensure no visible emissions during normal operation. Visible emissions mean observations of smoke for any period or periods of duration greater than or equal to one minute in any 15-minrite period during normal Page 4 operation, pursuant to EPA Method 22. Visible emissions do not include radiant energy or water vapor; The combustion device must always be operated with a flame present when emissions may be vented to it, or other mechanism that does not allow tmcontrolled emissions. All combustion devices must be equipped with an auto -igniter unless manned while in use. No permanent facilities will be placed outside of the designate pad. Location facilities must meet internal engineering standards, as well as operating and process integrity requirements. The facility plans go through a PHA -Hazard Operability Study by a certified facilitator. Any recommendations are incorporated into the design. Alarms and relief systems are regularly tested, and personnel are trained to operate facilities responsibly. During the production phase, tanks and separation equipment are secured to the ground using anchors engineered to resist floatation, collapse, lateral movement, or subsidence. To the extent flares, thermal oxidizers, or combustion devices are utilized, all such flares shall be designed and operated in accordance with the state and federal regulations. Operator will provide a safe and secure work environment to protect workers, our contractors and the community. Critical equipment will be secured by lock or with a security seal to prevent unauthorized tampering with equipment. Operator will use hard -rimmed rings at the Well Sites with sufficient capacity to contain 1.5 times the maximum volume of the largest tank on location that such facility will contain at any given time plus sufficient freeboard to prevent overflow around all permanent tanks. All berms and containment devices will be inspected quarterly by Operator and maintained in good condition. No potential ignition sources will be installed inside the secondary containment area unless the containment area encloses a fired vessel or such sources are rated in accordance w≥tlu industry codes and standards. Secondary containment such as duck ponds or lined earthen berms for temporary tanks may also be used. Containment berms will be constructed of hard - rimmed rings, designed and installed to prevent leakage and resist degradation from erosion or routine operation. Secondary containment for tanks will be constructed with a synthetic or 14 engineered liner that contains all primary containment vessels and is mechanically connected to the steel ring to prevent leakage. Well Sites will comply with the City's stonmwater management requirements, including the use of stormwater best management practices to minimize water runoff from collecting in local waterways. An automated safety system, governed by safety devices and a programmable logic computer, will be installed at the Location. The automated safety system will include the installation, monitoring and remote control of a Surface Safety Valve ("SSV") among other engineered measures and devices that are implemented to reduce or eliminate the potential for awell event. The SSV monitors flowing pressures and other operating parameters which have predetermined threshold values programmed and will remotely shut the well in should certain upset conditions be detected. Additionally, the automated safety system provides the ability to remotely shut-in wells on demand through operator remote intervention. The SSV will have documented annual testing to ensure functionality. During the Production Phase, Operator will maintain the Location. Debris and flammable material will be removed from the Location and any mud tracked from the Location to public roads will be addressed. Reclamation (Interim and Final) Interim reclamation: will occur within three months of the first production on Well Sites situated in crop lands, and withinsix months of first production for Well Sites situated in non -crop lands unlessa timeline exception is granted by the surface owner and COGCC. Interim reclamation is performed in accordance with COOCC Rules. During this phase, portions of the Well Site that are no longer needed for production operations are reclaimed back to their original contours and reseeded with appropriate vegetative c -over. Operator will monitor the condition of these reclaimed areas until sufficient vegetative cover is established. The final fencing is typically installed at this time to enclose the pad area and establish the site perimeter. The fence can serve multiple purposes including: visually screening the site from view, acting as a security measure to deter unauthorized access by members of the public and preventing livestock from Page 5 entering the site. At the end of a well's productive life which can be 2U+ years, the Operator submits a Notice of Abandonment to the COGCC. The "Final Reclamation" of the Location is dictated by multiple decwnents, including COGCC Regulations, any conditions of approval associated with the City permits, the Surface Use Agreement, and/or Oil and Gas Lease or Leases. The reclamation process is typically as follows: Final reclamation: plans will include the appropriate surface reclamation necessary for approval frown Weld County and the COGCC. All wellbores are plugged and abandoned in accordance with COGCC regulations and other applicable laws. At the time of final plugging and abandonment, all surface equipment is removed, and the Location is graded as nearly as practicable to the natural contours. Backfilling, leveling and recontouring is performed as soon as practicable after plugging or cessation of production and removal of production equipment and facilities. Stockpiled topsoil is redistributed evenly over the re -contoured surface. The Location and any associated access roads are treated to alleviate compaction that may have occurred during the oil and gas operations. The reclaimed area is reseeded with the approved seed mixture specifically designed to simulate adjacent undisturbed vegetation while maximizing utilization by both wildlife and domestic stock. The vegetation growth is monitored at the Location until the vegetation reaches adequate density per COGCC regulations,. Page 6 Page 1 of 1 NV Bonanza CREEK TRANSPORTATION PLAN Project Report County, Location Name: Date: State: (Townshi •, Range, Section}: - -- - Pronghorn 8/10/2021 Weld T5N, 1. R61W, County, Number T-4 S4 - CO of Roundtrips / Day Region: Field Proposed Name: Start Date: Di Wattenberg First Basin Quarter of 2024 Activity Phase Type/Roudtrips Size weight Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Construction Multi Unit Truck 50,000 - 70,000 lbs 15 Average RT Passenger/Pickup 4500 - $500 lbs 5 Average RT Single Unit Truck 10,000 - 20,000 lbs 10 Average RT Drilling Multi Unit Truck 50,000 - 7Q000 lbs 10 Average RT Passenger/Pickup 4500 - 8500 lbs 30 Average RT Single Unit Truck 10,000 a 20,000 lbs 5 Average RT Completions Multi Unit Truck 50,000 - 70,000 lbs 50 Average RT Passenger/Pickup 4500 - 8500 lbs 40 Average RT Single Unit Truck 10,000 - 20,000 lbs 1 Average RT Production Multi Unit Truck 50,000 a 70,000 lbs 3 Average RT Passenger/Pickup 4500 - 8500 lbs 1 Average RT 2. Expected Haul Route Route ID Description Route 1 Traffic will access the location fromwest along US Highway 34, north on WCR 87, continue north on WCR 89, east on WCR 60 Route 2 Traffic will access the location from east along US Highway 34, north on WCR 87, continue d north on Vi/CR 89, east on WCR 60 Traffic will access the location from north along CO Highway 392, east on WCR 68, south on i Route 3 WCR 89, east on WCR 60 3. Travel Distribution Route ID Construction Drilling Completions Route 1 100% 50% 0% Route 2 0% 50% 100% Route 3 0% 0% 0% 4. Expected Doily Peak Traffic Time Peak traffic volumes are expected around 6am and 6pm when shift changes occur. This applies for drilling and completions which run on a 24 hour operations. During construction activites, specific traffic peaks are not expected at any time throughout the day. Reviewed By: Joe Schultz Title: Project Manager Signature: Date: 8/10/2021 Exhibit E Bonanza Creek Pronghorn OGDP Interested Parties List 303 Property Holdings, LLC 8801 Investment Co., LLC A & H Wheeler Co. A. H. and Maude Price A.H. Price Acme Oil Corp., LLC Acoma Energy, LLC Alvin L. Sall Anadarko E&P Onshore, LLC Ann Tobin Hevenor Ann Tobin Hevenor Anna Johanson Anschutz Exploration Corporation Archer Pearl Energy Archer Pearl Energy, LLC Ashley Behring Aspect Holdings, LLC Atomic Capital Minerals LLC B & J Resources, LLC Bank of the Hills, as Successor Trustee u/w of Edward F. Comegys dated 7/11/1970, f/b/o Edward L. White Bayard Walker Oil Trust Bernardine Kirchhof Beverly A. Schell Beverly McKee Eaton, Trustee Bison Oil & Gas II, LLC Blackriver Niobrara Partners II, LLC Blackriver Niobrara Partners, LLC Bonanza Creek Energy Operating Company, LLC Brett Stephan Colbert Bright Rock Holdings, LLC Brockton M. Bunnell Brockton Morrow Bunnell C. M. Smith C. Russell Talbott and Margret Talbott Carl Arthur Peterson Carolyn Jo Rogers Trust Carolyn Joyce Bohm Carver Minerals, LLC Celia Grimes Price Charlene Allmer Cheryl Ann Richmond Colorado Land Services, LLC ConocoPhillips Company Dana C. Pfrangle, Successor Beneficiary David Holl DDFS Partnership LP Delacosta Energy LP Diane H. Smith Trust Donald Edson Furrow Douglass Chandler Colbert Eda Marie Stockover Hull c/o Todd Hull Edward J. Tergeson Edward Ohler, II, heir to the Estate of Hazel Ohler Mertz Rensink Edward Tergeson Edwin M. Jones Oil Company Elaine Knox Elaine W. Fiske Family Limited Partnership Elizabeth Blunk Ernest Behring Estate of Avis Ora (Gross) Tyree Estate of Beverly McKee Eaton, dec. Estate of Carlos E. Morales Estate of Corwin Gross Estate of Dorothy Jean Baker Estate of Edward L. Behring, c/o Patrice Ewing Estate of Elaine Johnson Estate of Flossie Mae (Gross) Tomlinson Estate of Gentry D. Gross Estate of Gerald E. Williams Estate of H.A. Talbott, deceased. Estate of James Gross Estate of Luana M. Simmons c/o Melanie Simmons Estate of Mary Adeline Gross Blair Estate of Patrice Ewing, Irene June Kruse c/o Valerie Hinchee Jack Patterson Estate of Pauline Mae Gross McCann Jackie Bowland Jackson Halley Estate of Rex Carr Eaton Jr. James Lawrence Kirchhof d o Penny Ann Eaton James R. Harrison and Janice A. Harrison, Estate of Robert Wayne Gross JTS Estate of Sandra Stickler Jan Carp Estate of Shirley Hudgens Jeffrey B. Smith Estate of W. S. Garnsey, Jr. Jennifer E. Hall, f/k/a Jennifer E. Smith c/o W. Herrick Garnsey Jim Austin Esther Jean Smith (d) JoAnna M. Kennedy Excalibur Energy Company Johann Mandelko Fashion Institute of Technology John A. Thieke, Trustee of the Bayard Fernando Morales Walker Oil Trust Florence Beck, fka Florence Whitcomb John Edward McArthur Florence Whitcomb Beck John Frank Raizen Revocable Trust Frances Brenner John Kirchhof Frank C. Spinner John R. Moran, Jr. and Wells Fargo Bank, Gary L. Williams N.A., as Co -Trustees of the Moran Family George G. Vaught, Jr. Minerals Trust George R. Mandelko and Deborah Lynn Jon E. Jones Mandelko, JT Judith Lynn Smith Mendoza Gloria Furrow Julia Ann Mannion Gloria Morales Melo K. L. Beck Gold Lake Energy, LLC Kaiser -Francis Oil Company Gregory B. Williams Kathleen J. Furrow 2017 Trust dated GRP Energy LP October 4, 2017, Kathleen J. Furrow, H. Lorraine Mandelko Trustee Harry Clifford Peterson Kathleen L. Allen Heather Behring Kathleen Tobin Krueger Heirs of Ina Marie Withycombe, heir to Kathy Jane Emmons as heir of Audrey Arthur William Anderson Kathryn Buck Heirs of Jean Ellen Anderson Brizendine, Kerstin Marina Lundgren heir to Arthur William Anderson Kimberly Eaton a/k/a Kimberly Hoff a/k/a Henrietta Yerger Jones Kimberly Hoff-Gebhardt Hery Oil, LLC Kimberly Jane Monkman HighPoint Operating Corporation L&S Family, LP Horace Price Laurie Behring Howard T. Kingry and Vicki N. Kingry, JTS Lawrence Christopher Eaton Imogene and Harold Herndon Charitable Leigh Gonzalez Trust u/w/o Harold D. Herndon Lewis Family Resources, Ltd. Imogene and Harold Herndon Charitable LHB Ventures, LLC Trust u/w/o Imogene A. Herndon Inger Marie Grizzell Linda Jean Sedgeley, individually and as trustee of the Davis Family Trust dated April 11, 1991 Lisa McLain Sacripanti Lorna G. Anderson Lucile W. Hays Family Limited Partnership Luz Maria Orrego Margaret (Stoltman) Mitchell Margaret R. Stockover Maria Jose Morales Arteaga Marilyn J. Williams Mark T. Tobin Trust c/o Ann Tobin Hevenor, Trustee Mark T. Tobin Trust c/o Martha Tobin Bersch, Trustee Martha Fosmire Mary Catherine Armatas Mary Evalyn Davis Maude Price McArthur Minerals McCulliss Oil and Gas, Inc. McCulliss Resources Co., Inc. McGhee Investment Company McMahon Energy Partners, LP Mekusukey Oil Company, LLC Melissa Christine Elshoff Michael Buck as heir of Audrey Kathryn Buck and David Alan Buck Michael Campbell Michael Douglas Kirchhof Michael Kirchhof Living Trust, Leigh Gonzalez, Successor Trustee Michael Scott Colbert Michelle K. Easley Mike's Oil Well, LLC Nancy Lee Jackson Crespin Nancy Leigh Eaton, a/k/a Nancy Eaton Stuve New School for Social Research New York School of Interior Design O. S. Osborne Okreek Oil and Gas II, LLC Palmares Energy LP Pamela K. Goodrich Patricia Sue Fickes Patrick B. Tobin Paul F. Mandelko Paula Fisher as heir of Audrey Kathryn Buck PEC Minerals, L.P. Peggy Ann DeLidle Penny Eaton Hancock, f/k/a Penny Ann Eaton Penny Lee Reid Phillip P. Tobin Phillips Petroleum Company PNH Resources LLC Pratt Institute Raisa Funding I, LLC Randall Bruce Stewart Rex C. Eaton, III Richard Barton Furrow Richard L. Zisch & Roberta N. Zisch Trust #1 dated October 29, 1984 RJC Energy, Inc. RJC Ventures, LLC Robert Lawrence Eaton Robert Neil Wilkinson Robert Tracy Royalty Asset Holdings, LP Ryan Thomas Elshoff Santa Fe Minerals Schneider Energy Services Sean J. Kennedy, Successor Beneficiary Shawna Kaye Colbert Wagstaff Sheila Carter, heir to the Estate of Hazel Ohler Mertz Rensink Shirley Chandler, Trustee of the Shirley Chandler Living Trust uta dated 10/10/2005 Sigrid Becili Susan R. Swanson Suzanne Davis, LP The Estate of Mildred O. Evans The First National Bank and Trust Company of Tulsa, Successor Trustee of the Sidney H. Davis Trust C The National Non -Profit for Americans with Disabilities, Inc., Trustee of the Guardian Pooled Trust dated 6/6/2002 - Shelly Bunnell Account The Nordan Trust The Peter F. and Julie A. Kirchhof Family Trust dated February 15, 2016 The Petram Group, LLC, f/k/a Wolfhawk Energy Holdings, LLC The Walker B. Comegys, Jr. Family LLC, a Texas limited liability company The Walker N. Comegys, Jr. Family LLC c/o Cocke Willford & Eddins PC Therese Reichardt Thomas N. Kennedy, Beneficiary Tofte Energy Partners, Limited Partnership Top Brass Properties, Inc. Travis Buck as heir of Audrey Kathryn Buck and David Alan Buck Uni Roylaty Group, Ltd. Univestors, LLC Valerie Hinchee Vicky L. Higginbotham Virginia Ann Smith Foss Weld County, c/o Boad of County Commissioners Weld County, Colorado by and through the Board of County Commissioners Western Colorado Energy, LLC Whitetail Minerals, LLC William Carl Stockover William Vilas Hanks, as Trustee for the Louise H. Davis Irrevocable Trust, created August 31, 1976 Woody Creek, LLC Xor Chia Moua and May See Moua Dennis W. Grotheer Living Trust John Carlyle Daniel State of Colorado Barbara J. Synar, John Synar, Logan Steen Joseph J. Hawkins L&S Capital Ltd. Roy Alexander Jobes School District No. RE 50 Wiggins Fire Protection District Weld County Sherriff's Office Harold Leaman Jr. Irrevocable Trust Jason Maxey, Weld County LGD Colorado Parks and Wildlife Attn: Brandon Marette CDPHE, Attn: Tessa Sorensen Colorado State Land Board BLM Colorado State Office A. H. and Maude Price Anna Johanson C. M. Smith Estate of Corwin Gross Estate of Elaine Johnson Estate of Gentry D. Gross Estate of James Gross Estate of Mary Adeline Gross Blair Estate of Pauline Mae Gross McCann Estate of Robert Wayne Gross Estate of Sandra Stickler Estate of Shirley Hudgens Heirs of Ina Marie Withycombe, heir to Arthur William Anderson Heirs of Jean Ellen Anderson Brizendine, heir to Arthur William Anderson Kerstin Marina Lundgren O. S. Osborne Sigrid Becili The Estate of Mildred O. Evans 40 COLORADO Oil &Gas Conservation coin Departmental N'atural Resewe COGCC INFORMATION SHEET: PROCEDURAL STEPS FOR THE COMMISSION'S REVIEW OF OGDPs (As required by COGCC Rule 303.e.(2).C) Why am I receiving this information sheet? Oil and gas operating companies ("Operators") are required to obtain approval of an Oil and Gas Development Plan ("OGDP") from the Colorado Oil and Gas Conservation Commission ("COGCC") prior to undertaking any new operations such as drilling oil and gas wells or building oil and gas locations. When an Operator submits an OGDP application to the COGCC for consideration, and the application has been received and is deemed complete, COGCC staff begins a formal technical review of the application materials, and a public comment period starts. COGCC has prepared this information sheet to inform the public of the procedural steps involved with the Director's and Commission's review of an OGDP, so that the public is informed and may participate in the review process if they choose. As part of the process, Operators must provide this information sheet to certain recipients, like yourself, that include mineral owners within the area of proposed development and all landowners, homeowners, commercial property owners, tenants, and other entities within 2,000 feet of an oil and gas location proposed by a pending OGDP application. What is an Oil and Gas Development Plan (OGDP)? An OGDP is an Operator's plan to develop oil or gas resources ("minerals") from one or more surface locations. Operators prepare an OGDP and associated application materials, consistent with the requirements of COGCC Rule 303, and submit the plan for approval through the Commission's Hearings process. The application materials include a hearing application; one or more Form 2A, Oil and Gas Location Assessments; a Form 2B, Cumulative Impacts Data Identification; and a Form 2C, OGDP Certification. The application may also include a request for the establishment of one or more Drilling and Spacing Units ("DSUs"). The OGDP, along with its associated supporting documents, will be heard at a public hearing where the Commission will make a final determination to approve or deny the OGDP application. What are the procedural steps involved with the Director's and Commission's review of Oil and Gas Development Plans? 1. OGDP application is submitted: Operator/ Applicant submits a complete OGDP application with all supporting documents. The written portion of the application is submitted to the COGCC hearings unit via the eFilings system, and Forms 2A, 2B, and 2C are submitted to technical staff via the eForms system. (See Rules 303 ft 304) 2. OGDP application is received: The COGCC hearings unit reviews the written hearing application, assigns a docket number for the OGDP, and provides public notice for the hearing. (See Rules 303 Ft 504) 3. Completeness determination: The COGCC technical staff and Director review the application materials for completeness. When deemed complete: a. the OGDP application materials are posted on COGCC's website; b. the Operator provides notice (including this information sheet) to relevant persons; c. the public comment period begins; d. the formal consultation period commences as applicable (including relevant/ proximate local governments and other agencies such as Colorado Parks and Wildlife ("CPW") or Colorado Department Page 2 of Public Health and Environment ("CDPHE")); and e. COGCC staff begin their technical review of the OGDP components. (See Rule 303). 4. Director's review of application (technical review): COGCC technical staff conducts the technical review of all application materials to ensure compliance with COGCC Rules, ensure the protection of public health, safety, welfare, the environment, and wildlife resources, and to evaluate potential Cumulative Impacts. The technical review includes analysis and assessment of: a. DSUs and protection of mineral owner's correlative rights; b. proposed surface locations and alternative locations; c. downhole and engineering considerations; d. best management practices; e. public comments and recommendations provided by consulting agencies; financial assurance; and the need for conditions of approval. (See Rule 306) 5. Director's recommendation: Once the Director has reviewed the application materials, the Director provides a written recommendation to the Commission in support of the approval or denial of the OGDP application. The Director will post the recommendation on COGCC's website, notify relevant parties', and submit it to the COGCC hearings unit in preparation for hearing. (See Rule 306.c) 6. Commission's consideration and final action (public hearing): The Commission receives the f. g. ' Parties who receive this information sheet will not necessarily be included in the notice of the Director's recommendation. Parties who make a public comment on the Form 2A and include their email address will receive the notice of the Director's recommendation. Director's recommendation of the OGDP and begins review of the OGDP with support from the COGCC hearings unit. The review includes all supporting documents, written testimony, public comments, consulting agency recom- mendations, and Director's recommendation. The Commission considers the OGDP at a public hearing, which may include oral testimony provided during the hearing. The Commission makes a final determination and presents its findings in a written order based on the evidence in the record; the Commission's order to approve or deny the OGDP application is final. (See Rule 307) Where can I get additional information? For more information about the COGCC administrative hearing process and OGDPs, please refer to the COGCC website at http://cogcc.state.co.us. You may also contact the COGCC at dnrogcc®state.co.us or 303-894-2100. Please note, COGCC staff are not available to provide legal advice. COGCC recommends that you engage an attorney with knowledge of oil and gas matters to assist you with reviewing any offers you receive from an oil and gas operator or other person. Version 1.0 March 9, 2021 COLORADO Oil Er Gas Conservation Commission Department of Natural Resources COGCC INFORMATION SHEET: PUBLIC COMMENTS (As required by COGCC Rule 303.e. (2)D) Purpose This information sheet provides details on how to make public comments on an Oil and Gas Development Plan submitted to the Colorado Oil and Gas Conservation Commission via the Form 2A, Oil and Gas Location Assessment permit application. Why am I receiving this Information Sheet? You have received this Colorado Oil and Gas Conservation Commission ("COGCC") information sheet because an oil and gas operator ("the Operator") has submitted an application for an Oil and Gas Development Plan ("OGDP"), and that application is under review by the COGCC. Per COGCC Rule 303.e. (1), the Operator is required to provide this information to you within seven days of the application materials being posted on the COGCC website. COGCC Rule 303.d requires the COGCC to open a formal "public comment period" upon posting the OGDP application to our website. This public comment period allows the public to review OGDP applications and their components (i.e., proposed Oil and Gas Locations), and provide comments on those pending permit applications. How can I provide comments on pending permits in an OGDP? Members of the public can access OGDP applications through the COGCC website to review permit information and provide comments. Public comments may be made directly on Form 2A, Oil and Gas Location Assessment permit applications ("Form 2A") through the COGCC website. 1. Go to the COGCC website https://cogccestate.co.us 2. On the green menu bar, click on the "Permits" page. This will take you to the "Drilling and Location Permits Search" tool for Pending Permits. las in !COIORADO -s ..�„r” j --cr. C -r' tta hit Moat 1k S Daata crrd Deg Go tmad Main Mays ) Medu 111.11%.1 cry1•_.gzts,n ) 5B19181 18] 1 'Ottawa tan= I -kers- fseer. aS-c--•nS trgaxn: Asrr_ !s n Firm= Hre; 3. Under "Pending Permits", find "Oil and Gas Location Assessment Permits (Form 2A)". Select the county of interest from the dropdown menu and click "Go!" Pending Permits (Riad ON or AFTER January 15th, 2Q21) 01 & Gas Locadon Assessment Per;nks (Form 2A): 4. This will generate a table of pending applications and will indicate the status of the public comment period for each permit within the COGCC review process. 5. Scroll through the list of pending permits to find the one you would like to review. You may wish to use "crtl + f" to search for a specific document number, operator name, or location name. 6. To view the submitted Form 2A and its associated attached documents, click the "Location Name" link for any permit application. Pending Location Permits - All Counties Back Export to Excel Doc State (Public C Link) Final Gay of Pubic Comment Ptnad (Closes at Mengbq Racnrad LC:ahon Kama Status Status (Documents unx Data 63.1t 2021 ;71C£2=1 f - n it = ' g r s StrcSeri1 7. To make a public comment on a specific permit application, click the "Doc Number" of the permit on which you wish to comment. Pending Location Permits - All Counties » Export to Frr$ Doc NI:inner (r :iblic Comment Link) Final cay of Public Comment Parlay poses at Midntaht) Recalwd Location Stain Status t (Docants Link) ur c Date - • - ?}1L21221 ,c, ii, -e' i !V PROCESS CV26.2 721 07.ir12t'21 ____ After clicking the Doc Number link, you will be taken to the Public Comment portal. 8. In the Public Comment portal, you may review the Form 2A application including the PDF and all attachments. Selected Vile€i 1 Location: Document Number Form Type I4D2165141 02A COL Attachments I PDF Make Comment 9. To make a public comment, click the "Make Comment" button. A Form will open for you to provide your name, contact information, and your comment. Only the text in the Comment box will be made public; your contact information will be kept confidential by COGCC. Please ft gal the fields below WS to si.tbmd your comment Name: 1 i Eras: Stale: Phone Number: 10. Click the "Submit Comment" button when you are ready to submit your comment. Page 1 2 11. You may also view other public comments and read yours after it is posted by scrolling down on this page (see below about a delay in displaying comments). How long do I have to submit a comment on a permit? The Public Comment Period begins once the COGCC Director determines the OGDP application is complete and has been successfully submitted by the operator. The Director wilt approve the Form 2C, OGDP Certification form, and post the OGDP application on the website for public review. In order to be considered by the Director and Commission during the review of the OGDP, public comments must be received as follows: 1. Within 30 days from the date that the Director posts thethe OGDP on the website, OR 2. Within 45 days if the OGDP includes any proposed Oil and Gas Locations within 2,000 feet of a Residential Building Unit, High Occupancy Building Unit, or School Facility within a Disproportionately Impacted Community. The final day for public comments can be found in the list of all pending permits: Pending Location Permits - All Counties Back float to Excel Doc Number (Ptatlic Comment L.1ek) Fir -al day of Pubhe Comment Pend (Closes at Mid r4 tt) Received t o aUon Name Status Status Dade L 4t422if(alci 1 C3.1121221 •D12 Dire 7r_V.C PROCESS ^t�t�it21 I 'I When the Public Comment Period closes, the date will revert to read "Comments Closed". The link to the public comment portal will remain active, but comments will no longer be accepted. You will still be able to view any public comments submitted for pending permits. The Direcor may extend or reopen the public comment period per Rule 303.g, for up to an additional 30 days for a proposed OGDP if the Director determines an extension or reopening is reasonable in order to obtain public inp at. What happens to my comment? Your comment will become part of the public record of the application and will be reviewed by the applicant, COGCC staff, Director, and the Commission. COGCC staff may recommend permit conditions in response to comments. But, Staff does not routinely respond individually to comments; instead, COGCC staff will work directly with the applicant to address the site -specific concerns expressed. Submitted comments may not be immediately visible; it may be a few days before you see your comments posted. This delay allows COGCC supervisory staff to screen for offensive language prior to publication. What if I want to make my comment to the Commission? COGCC Staff and the Director review every comment received on a Form 2A permit application. They review the site specific concerns against the totality of the application materials, including the alternative location analysis, cumulative impacts evaluation, and best management practices proposed by the applicant. When the Director makes a recommendation to the Commission to either approve or deny an OGDP, that recommendation will include the consideration of the public comments received. In their review of an OGDP for a final determination at the administrative hearing, the Commission will have access to the entire record, including your public comment. Can I remain anonymous? Yes. Only the "Comment" portion of your submitted comment will be made publicly viewable. Your name and contact information will be kept confidential, and will only be used by COGCC staff to contact you if necessary in the course of permit application review. If you choose to include your name and contact information in the body of your comment text, it will be part of the public record. Links The following [inks provide guidance and additional information on providing Public Comments. COGCC Permits Page: ttpacc.state.co.us/permits.html Numerous helpful guidance documents can be found at the link on the COGCC Permits Page: https; / / cogcc. state. co. us/permits2. htm.#/permitshelp Daily Activity Dashboard (DAD) is another useful tool and can be used to access the public comment portal as well: https: / /cogcc. state. co. us/dashboard. html Version 1.0 March 9, 2021 a COLORADO Oil Et Gas Conservation Commission Department of Natural Resources INFORMATION SHEET: HYDRAULIC FRACTURING TREATMENT (As required by COGCC Rule 303.e.(2).E) Why am I receiving this information sheet? The Colorado Oil and Gas Conservation Commission ("COGCC") prepared this information sheet to provide the public with information related to hydraulic fracturing. Pursuant to Commission Rule 303.e.(2).E, Operators' are required to provide this information sheet to mineral owners within the area of proposed development and all landowners, homeowners, commercial property owners, tenants, and other entities within 2,000 feet of a proposed oil and gas location. What is hydraulic fracturing treatment, and why is it necessary? Hydraulic fracturing treatment is the process of creating small cracks, or "fractures," in the rocks of deep, underground geological formations that have oil and natural gas. The fractures enhance the flow of oil and gas from the formation to the oil and gas well where it flows or is pumped up the well to the production equipment located on the surface of the site. The process of hydraulic fracturing has been used for decades in Colorado, dating back to the 1970s. Operators' continue to improve hydraulic fracturing, and it is now a standard practice used in almost all oil and gas wells in the state, and across much of the country. Hydraulic fracturing has made it possible to produce oil and gas from rock formations that did not often produce oil and gas in the early to middle part of the twentieth century. What happens before hydraulic fracturing treatment? The operator uses a drilling rig to drill a "surface hole" and set a steel pipe called "surface casing" in the hole. The surface casing may extend many hundreds of feet, sometimes more than 1,000 "Operator" as defined in COGCC Rules a Hereinafter, and only for the purpose of describing the hydraulic fracture treatment process, the term "operator" includes the operator itself and all contractors and service providers that the operator hires to perform work. feet, underground. The operator places cement on the outside of the surface casing to seal and protect groundwater. The operator tests the surface casing with pressure, then a smaller "production hole" is drilled out the bottom of the surface casing. After completing a formation integrity test, the operator drills down to the geological formation containing oil and gas, usually many thousands of feet underground. The operator lowers a production casing into the production hole, and cement is used to make a seal above the deep oil and gas formation. The operator "completes" the well by placing holes, or "perforations" in the casing at the deep oil and gas formation, to allow oil and gas to flow into the well. The well is then ready for hydraulic fracturing treatment. What happens during and after hydraulic fracturing treatment? The operator performs the treatment by using high pressure water pumps to fracture the deep oil and gas rock formation. The pumps push fracturing fluids down the well and out through the perforations, into the oil and gas rock formation. The hydraulic fracturing fluids are mostly water and sand, with a small amount of chemical additives. The sand, also called "proppant," remains in the fractures to help keep the fractures open allowing oil and gas to flow through the fractures to the perforations. After hydraulic fracture treatment, the well is allowed to "flowback," meaning hydraulic fracture fluids, oil, gas, and produced water from the formation flow through the perforations and up the well to the surface where the fluids are separated. The operator sells the oil and gas. Waste products, mostly water produced from the oil and gas formation and hydraulic fracture fluids, are captured and stored for proper treatment or disposal. Page 2 Overhead view of a multiple -well site with hydraulic fracturing equipment set up inside a sound wall Common questions and answers about hydraulic fracturing treatment. Q: How is an oil and gas well designed to be protective of public health, the environment, and wildlife resources? A: COGCC engineering staff review all well permits to ensure that wells are lined with multiple layers of steel and cement sufficient to isolate groundwater from the deep oil and gas rock formations. The operator's wellbore design must meet COGCC wellbore isolation standards and rules in order to receive a permit to drill. Surface casing extends from the ground surface to 50 feet or more below groundwater. Production casing is cemented to seal the oil and gas formation in the well and prevent flow between groundwater and the oil and gas formations. The operator performs a well survey, called a "cement bond log," to verify the cement placement around the production casing. Additionally, the operator pressure tests surface equipment and ensures that nearby, "offset" wells that are close enough for pressure communication in the oil and gas formation have properly -rated surface equipment or downhole plugs. Q: Will hydraulic fracturing treatment cause problems with water wells A: Water well problems related to hydraulic fracturing in Colorado are rare, which is largely a result of COGCC's long-standing mission to protect Waters of the State of Colorado, including groundwater. Most recently, the COGCC adopted new rules for wellbore isolation, effective November 2, 2020 to further strengthen this mandate. Geologic factors in Colorado also serve to help prevent groundwater impacts. Often, many thousands of feet of confining rock layers separate shallow groundwater formations that are used for drinking water, livestock, and irrigation from deep oil and gas formations. In cases where an operator intends to perform a hydraulic fracture treatment at a depth of less than 2,000 feet underground, a geological and engineering evaluation is required prior to approving a drilling permit. In cases where deep groundwater is present, COGCC rules require additional cement in oil and gas wells to seal the deep groundwater formations. Q: What is hydraulic fracture fluid? A: The COGCC and regulatory agencies of other oil and gas producing states partner with FracFocus, a Chemical Disclosure Registry, that operators use to report hydraulic fracture fluid chemical data (https: //www. fracfocus.org/). According to FracFocus, approximately 98% to 99% of the fracturing fluid volume in most wells is water and sand. The remaining portion is made up of chemical additives used to reduce friction during pumping and prevent corrosion of the steel casing. Biocide is used to kill bacteria in the water. Surfactants promote water flowback from the formation, up the well and into the oil and gas production equipment at the well site or a nearby "tank battery." Fracturing chemicals are similar to other industrial chemicals which must be handled properly. COGCC rules require that operators properly store and handle chemicals in a manner that protects operator's employees, the public, the environment, and wildlife. COGCC rules require operators to publicly disclose the components and concentrations of fracturing chemicals for each well within 60 days of the hydraulic fracture treatment on the FracFocus website, which is searchable by county, operator, and well. The website also provides information on chemicals used and their purpose. Version 2.1 April 2, 2021 P age3 Q: How are hydraulic fracturing fluids managed on the well site? A: Operators manage large volumes of drilling fluid, hydraulic fracturing fluid, and flowback during drilling and hydraulic fracturing treatment. Operators protect the public, environmental resources, and wildlife by implementing best management practices specified by permit conditions and COGCC rules for spill prevention. After hydraulic fracturing treatment, fluids return to production equipment at the well site as flowback. These flowback fluids are considered oil and gas Exploration and Production Waste ("ESP Waste") that are recycled for other oil and gas operations, or are disposed of in accordance with state regulations. Marketable production fluids, including oil and gas, are separated and contained in tanks or vessels, or sent by pipeline to sales. Q: What can neighbors expect to experience during hydraulic fracturing treatment? A: The operator provides the COGCC and the local government a 48 -hour notice before performing hydraulic fracturing treatment. As the operator mobilizes the hydraulic fracturing crews, water tanks are placed at the site. The operator transports water to the site for hydraulic fracturing fluid by pipeline or water trucks. Heavy equipment, such as sand haulers, pump trucks, blending units and a control van arrives and the equipment is connected to the well with high pressure piping. The operator pressure tests the equipment, then the hydraulic fracture treatment begins. The work can take several days to several weeks, depending on the number of wells on the well site and the number of treatment stages needed for each well. The equipment noise from engines, pumps, and vehicles will be noticeable during the work. Induced seismicity from hydraulic fracturing is very low intensity, too small to be noticed by people at the ground surface, and therefore man-made earthquakes are not a common occurrence in Colorado during hydraulic fracturing treatment operations. Where can I get additional information? FracFocus (www.fracfocus.org) contains detailed information on hydraulic fracturing, chemicals used, groundwater protection and how to find a well near you. COGCC rules related to hydraulic fracturing: • Rule 308 Form 2, Application to Drill, Deepen, Re -Enter, or Recomptete, and Operate, Information Requirements • Rule 405.k Notice of Intent to Conduct Hydraulic Fracturing Treatment • Rule 408 General Drilling Rules • Rule 411 Public Water System Protection • Rule 419 Bradenhead Monitoring, Testing, and Reporting • Rule 423 and 424 Noise and Lighting • Rule 437 Hydraulic Fracturing Chemical Additives • Rule 614 Coalbed Methane Wells • Rule 615 Groundwater Baseline Sampling and Monitoring • Rule 905 Management of E&IP Waste • Rule 912 Spills and Releases (includes landowner notification requirements) COGCC's rules are available as downloadable files at coecc.state.co.us. Version 2.1 April 2, 2021 COLORADO Oil Er Gas Conservation Commission Depanytert I''! Ngzurai Resources s COGCC INFORMATION SHEET: OGDP STATUS INFORMATION (As required by COGCC Rule 303.e.(2).G) Why am I receiving this information sheet? The Colorado Oil and Gas Conservation Commission ("COGCC") prepared this information sheet to inform the public in the vicinity of a proposed Oil and Gas Development Plan ("OGDP") how to access documents and view the status of proposed OGDPs through the COGCC's website, eForms, and eFiling system. A review of public property records indicates that you may have an interest in lands that an oil and gas operator wishes to develop as part of an OGDP. Pursuant to Commission Rule 303.e.(2).G, operators are required to provide this information sheet to certain recipients near their development plans. What is an Oil and Gas Development Plan? An OGDP is an operator's plan to develop subsurface oil and gas resources ("minerals") from one or more surface locations. An OGDP consists of a hearing application and associated permit materials that provide technical information. The Director (i.e. COGCC Staff) reviews the technical information and makes a recommendation to the Commission for the hearings application; the Commission has the ultimate authority on approval or denial of the OGDP. How do I view the status of the pending OGDP hearing application? Members of the public may view the status of proposed OGDP applications through the COGCC eFiling System by creating an account in the Applications and Docket Portal, available on the "Hearings Page." 1. From the COGCC homepage, click "Regulation" in the green menu bar, and then "Hearings" on the blue bar. 2. On the right-hand side of the Hearings page, under the Hearings eFiling System header, click on "Application and Docket Portal". Hearings eFiling System (Beginning November 9, 2020) • Document Search • Appbcation & Docket Portal • 3. Create a user account by clicking "Request Access to Account," and completing the required registration information. There may be a delay for processing following your request before you are granted access. Check your email for access approval. 4. Once registration is complete, access the Application and Docket Portal by entering your user name and password. 5. Search for the 9 -digit docket number provided by the operator in their cover letter using the "Find Hearing Application by Docket Number" option at the bottom left of the page. Find Hearing Application by Docket Number SC- 1.ES.&T's Number 210012345 6. The general status of the docket is listed in the first column on the left, titled "Docket Status." 7. Double click the docket search result to load the docket's main page, which will show additional information, including the application type, status, assigned Hearing Officer, and applicant information. Do I have to create an account to view documents? No. You may view documents through the "Document Search" described below without creating an eFiling System account, but you will not be able to view the "status" of the docket through this method. 1. On the right-hand side of the Hearings page, under the Hearings eFiling System header, click on the "Document Search" link. Hearings eFiling System (Beginning November 9, 2020) • Document Search • Application & Docket Portal 2. From the "Search Type" dropdown menu, select "DNRCOG Search for Docket Related Documents." Sem* Type CNT C0 3 New Aphf?i;ns IRCC 3 New Appictcns DNRCOG Naas 3icc.j rer s DNRCOG Search for Docket Related Doeumerd5 Page 2 3. Input the docket number provided by the operator. DNRCOG Docket Number 21O012345 4. If you don't have a docket number, or to view any OGDP, scroll down to the "DNRCOG Application Type" dropdown menu and select "OIL Et GAS DEVELOPMENT PLAN." DNRCOG Application Type ADDMONAL WELLS COMPREHENSIVE AREA PLAN EN ORCEAMBIT EXCEPTION LOCATION GENES ADMINISTRATIVE OIL & GAS DEVELOPMENT PLAN PIT S-11=0 5. After step 3 or 4, scroll down and click the "Search" button at the bottom of the scroll bar. 6. A list of all related documents will appear. Click on any item to view its contents. How do I view general forms, permits, and data regarding permits and OGDPs? You may use the Daily Activity Dashboard to access frequently requested oil and gas data at the county and state levels. The Daily Activity Dashboard is located in the right-hand corner of the COGCC homepage, and allows you to search and generate custom-made statistical charts, graphs, tables, and maps for information including pending permits, welt status, production, well inspections, Notices of Alleged Violation, active notifications, and spills. The COGCC also provides access to pending and approved permits through its "Permits Search" and interactive map on the COGCC website. To view the status of pending Form 2As (Oil and Gas Location Assessment Permits) through the "Permit Search" function, follow the steps outlined below: 1. Click "Permits" in the green menu bar on the COGCC homepage. This will take you to the "Drilling and Location Permits Search" page. 2. Under Pending Permits, find "Oil £t Gas Location Assessment Permits (Form 2A)". Select "All Counties" or a specific county using the drop down menu and click "Go!". Pending Permits (Filed ON or AFTER January 15th. 2021) Oil & Gas Location Assessment Permits (Fr 2.41): All Counties 3. A table will show all pending Form 2As currently under review by the COGCC. eirm►ts - All Counties L Maoist &ne. I le ewe. Luwee,n a.m et ,n. ;w �K 1.: 1�� S? fn an t-' : steps 3 .14....••••YM t.�.• :r. ma, Lei AL; 0._... :",t)1 llliel 7L.1I». .-•! 1 I se .cr_ • IS o<. ai C a' Ca1•'i ... .." iiC�i.: ;(• A . an F --1 It y sr : C .L'. m.",..-4 _ a. Clicking a "Doc Number" link will take you to the Public Comments portal for that pending permit. b. Clicking a "Location Name" link will take you to a list of documents related to that permit, including the Form 2A (as submitted by the operator) and supporting documents that are attached to the pending permit application. Can I view pending applications on the COGCC Map? Yes. You may access the COGCC GIS Online Interactive Map by clicking "Maps" in the green banner on the COGCC homepage, then click "Click HERE to access interactive map". You may use the "address search" option to zoom to your address to see oil and gas activity near you. With the map zoomed to your area of interest, you may specify pending permits by checking the appropriate boxes on the left-hand menu. 0 ■ • Permits Pending Wel (For . 2) Perc .11 Approved Wel (Para 2) Perritnt OPending Location (Form 2A) Permit ❑ Approved Location [Form 1k) Perm; La To select and view a pending application, use the arrow tool to double-click on the pending icons to display the Application. Links COGCC Homepage: https: / /cogcc.state.co.us/#/ home Hearings Page: https: / /cogcc. state. co. us/reg.html#/hearings eFiling system help: http: / /cogcc/documents/reg/Hearings/External E filing System Users Guidebook 20201109.pdf COGCC GIS Online Interactive Map help: http: / /cogcc/documents/about/Help/Search%20pendin g%20permits%20on%20the%20COGCC%20map. pdf Version 1.0 March 9, 2021 Hello