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Home My WebLink About20170712.tiffBEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE PROMULGATION AND ESTABLISHMENT OF FIELD RULES TO GOVERN OPERATIONS FOR THE NIOBRARA AND CODELL FORMATIONS, WATTENBERG FIELD, WELD COUNTY, COLORADO ) CAUSE NO. 407 DOCKET NO. 170300152 TYPE: POOLING NOTICE OF HEARING TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN: APPLICATION LANDS Township 4 North, Range 67 West, 6Th P.M. Section 11: 5'/ Section 12: S1/: APPLICATION RECEIVED FEB 2 1 2(7 WELD COUNTY COMMISSIONERS On or before January 19, 2017, Great Western Operating Company, LLC (Operator No. 10110) ("Great Western" or "Applicant"), filed a verified application pursuant to §34-60-116, C.R.S., for an order to: 1) Pool all interests in seven approximate 640 -acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Niobrara and Codell Formations; and 2) Subject any non -consenting interests to the cost recovery provisions of §34-60- 116(7), C.R.S., effective as of the earlier of the date of the Application, or the date that any of the costs specified in §34-60-116(7)(b), C.R.S., are first incurred for the drilling of the Schneider HD 11-222HC (API No. 05-123-41742) (WSU #1), Schneider HD 11-259HN (API No. 05-123- 41741) (WSU #2), Schneider HD 11-262HN (API No. 05-123-41750) (WSU #3), Schneider HD 11- 262HC (API No. 05-12341743) (WSU #4), Schneider HD 11-299HN (API No. 05-123-41745) (WSU #5), Schneider HD 11-339HC (API No. 05-123.41751) (WSU #6) and the Schneider HD 11- 339HN (API No. 05-12341749) (WSU #7) ("Wells"). APPLICABLE ORDERS AND RULES (available online at: http://coocc.state.co.us, under "Regulation," then select "Orders" or "Rules") • On April 27, 1998, the Commission adopted Rule 318A, the Greater Wattenberg Area Special Well Location, Spacing and Unit Designation Rule. • On February 19, 1992 (amended August 20, 1993), the Commission entered Order No. 407-87 which, among other things, established 80 -acre drilling and spacing units, for the production of oil, gas, and associated hydrocarbons from the Codell-Niobrara Formations, the Codell Formation, and the Niobrara Formation underlying certain lands, 1 2017-0712 including the Application Lands, with the permitted well locations in accordance with the provisions of Order No. 407-1. NOTICE IS HEREBY GIVEN, pursuant to §§ 34-60-101 to -130, C.R.S. and the Commission's Rules of Practice and Procedure, 2 CCR 404-1, that the Commission has scheduled this matter for hearing on: Dates: March 20-21, 2017 Time: 9:00 a.m. Place: The Larimer County Conference Center at The Ranch First National Bank Building 5280 Arena Circle Loveland, CO 80538 Additional information about the hearing on this Application will be in the Commission's Agenda, which is posted on the Commission website approximately 3 days before the hearing. 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 (303) 894-2100 ext. 5139, prior to the hearing and arrangements will be made. At hearing, the Commission will consider the Application and enter an order pursuant to its authority under the statute. Any interested party desiring to protest or intervene should file with the Commission a written protest or intervention in accordance with Rule 509., no later than March 6, 2017. Such interested party shall, at the same time, serve a copy of the protest or intervention to the person filing the application. One electronic (cogcc.hearings_unit@state.co.us), one original and two copies shall be filed with the Commission. Anyone who files a protest or intervention must be able to participate in a prehearing conference during the week of March 6, 2017. Pursuant to Rule 511., if the matter is uncontested, it may be approved without a hearing. OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO uli 2 IAA Murphy, Secretary (170300152) Dated: February 7, 2017 Colorado Oil and Gas Conservation Commission 1120 Lincoln Street, Suite 801 Denver, Colorado 80203 Website: http://cogcc.state.co.us Phone: (303) 894-2100 Fax: (303) 894-2109 Lease in Place : YES $k NO O Lease N L€( 3L-' Acres / J Keep for Hearing Outcome/Minutes File - No Action Needed 3 Attorneys for Great Western: Jamie L. Jost Kelsey Wasylenky Jost Energy Law, P.C. 1401 17th Street, Suite 370 Denver, Colorado 80202 Phone: (720) 446-5620 jjost@jostenergylaw.com kwasylenky@jostenergylaw.com (170300152) BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF GREAT WESTERN OPERATING COMPANY, LLC FOR AN ORDER TO POOL ALL INTERESTS IN THREE (3) APPROXIMATE 640 -ACRE DESIGNATED HORIZONTAL WELLBORE SPACING UNITS FOR PORTONS OF SECTIONS 11 AND 12, TOWNSHIP 4 NORTH, RANGE 67 WEST, 6T" P.M., FOR THE DEVELOPMENT OF THE NIOBRARA FORMATION, WATTENBERG FIELD, WELD COUNTY, COLORADO CAUSE NO. DOCKET NO. TYPE: POOLING APPLICATION COMES NOW Great Western Operating Company, LLC (Operator No. 10110) ("Great Western" or "Applicant"), by its attorneys, Jost Energy Law, P.C., and makes this application to the Oil and Gas Conservation Commission of the State of Colorado ("Commission") for an order to pool all interests in three (3) approximate 640 -acre designated horizontal Wellbore Spacing Units, as defined below, for the drilling of the Schneider HD 11-259HNX (API No. pending), the Schneider HD 11-299HNX (API No. pending), and the Schneider HD 11-342HNX (API No. pending) for the development and operation of the Niobrara Formation on the following described lands: Township 4 North, Range 67 West, 6th P.M. Section 11: S''Y2 Section 12: S'/ Weld County, Colorado 640 -acres, more or less. Hereinafter "Application Lands" In support thereof, Applicant states and alleges as follows: 1. Applicant is a limited liability company duly authorized to conduct business in the State of Colorado, and is a registered operator in good standing with the Commission. 2. Applicant owns certain leasehold interests in the Application Lands. 3. On April 27, 1998, the Commission adopted Rule 318A, which, among other things, allowed certain drilling locations to be utilized to drill or twin a well, deepen a well or recomplete a well and to commingle any or all of the Cretaceous Age What is this? The attached is an Application that has been filed with the Colorado Oil & Gas Conservation Commission (COGCC). Why am I receiving it? COGCC Rules and Regulations, as well as Colorado Statues, require that this Application is sent to you. What should I do if I need more information? If you have any questions, you may contact the individual below: Santiago Rodriguez Great Western Operating Company, LLC 303-398-0302 srodriquezqwoqco.com Formations from the base of the Dakota Formation to the surface. On December 5, 2005, Rule 318A was amended to allow interior infill and boundary wells to be drilled and wellbore spacing units to be established. On August 8, 2011, Rule 318A was again amended to, among other things, address drilling of horizontal wells. 4. On February 19, 1992, the Commission entered Order No. 407-87 (amended August 20, 1993) which, among other things, established 80 -acre drilling and spacing units for the production of oil, gas and associated hydrocarbons from the Codell-Niobrara Formations, the Codell Formation, and the Niobrara Formation underlying certain lands, including the Application Lands, with the permitted well locations in accordance with the provisions of Order No. 407-1. 5. On various dates prior to the date of this Application, the Commission entered the following Orders pooling established Wellbore Spacing Units on the Application Lands: a. On July 29, 2013, the Commission entered Order No. 407- 818 which, among other things, pooled all interests in an approximate 160 -acre designated wellbore spacing unit established for Sections 10 and 11, Township 4 North, Range 67 West, 6th P.M., to accommodate the Purvis 10WD Well for the development and operation of the Codell-Niobrara Formation. This Order is a wellbore-specific order and will not affect this Application. b. On December 16, 2013, the Commission entered Order No. 407-912 which, among other things, affirmed that all interests, including interests owned by previously unnoticed parties, were pooled, in an approximate 160 -acre designated wellbore spacing unit established for Sections 10 and 11, Township 4 North, Range 67 West, 6th P.M. by Order No. 407-818, to accommodate the Purvis 10WD Well, for the development and operation of the Codell-Niobrara Formation. This Order is a wellbore- specific order and will not affect this Application. c. On October 26, 2015, the Commission entered Order No. 407-1518 which, among other things, pooled all interests in two approximate 480 -acre designated horizontal wellbore spacing units established for portions of Sections 11, 12, 13, and 14, Township 4 North, Range 67 West, 6th P.M., and to subject all nonconsenting interests to the cost recovery provisions of §34-60-116(7), C.R.S. for the drilling of the Schneider HD 11-392HN Well and the Schneider HD 11-369HN Well, for the development and operation of the Niobrara Formation. This Order is a wellbore specific order and will not affect this Application. d. On October 26, 2015, the Commission entered Order No. 407-1519 which, among other things, pooled all interests in two approximate 480 -acre designated horizontal wellbore spacing units established for portions of Sections 11 and 12, Township 4 North, Range 67 West, 6th P.M., and to subject all nonconsenting interests to the cost recovery provisions of §34-60-116(7), C.R.S. for the drilling of the Schneider HD 11-369HC Well and the Schneider HD 11-352HN Well, for the development and operation of the Codell and Niobrara Formations. This Order is a wellbore specific order and will not affect this Application. e. On June 6, 2016, the Commission entered Order No. 407- 1724 which, among other things, pooled all interests within an approximate 320 -acre horizontal wellbore spacing unit, established for portions of Sections 10 and 11, Township 4 North, Range 67 West, 6th P.M., for the drilling of the Spaur 10Y 241 well, for the development and operation of the Niobrara Formation. This Order is a wellbore specific order and will not affect this Application. 6. Applicant designated the three (3) 640 -acre Wellbore Spacing Units for the production of oil, gas and associated hydrocarbons from the Niobrara Formation pursuant to Rule 318A and notified the appropriate parties under Rule 318A. 7. Applicant, pursuant to Commission Rule 530 and/or the provisions of C.R.S. § 34-60-116 (6) and (7), hereby requests an order to pool all interests, including but not limited to, any non -consenting interests, in the Application Lands in the Niobrara Formation underlying the following approximate 640 -acre Wellbore Spacing Unit for the drilling of the Schneider HD 11-259HNX well (API No. pending): Township 4 North, Range 67 West, 6th P.M. Section 11: S'% Section 12: S% (throughout as "WSU #1") 8. Applicant requests that the Commission's pooling order be made effective as of the earlier of the date of this Application, or the date that the costs specified in C.R.S. § 34-60-116(7)(b) are first incurred for the drilling of the Schneider HD 11- 259HNX well to the Niobrara Formation in WSU #1 on the Application Lands. 9. Applicant, pursuant to Commission Rule 530 and/or the provisions of C.R.S. § 34-60-116 (6) and (7), hereby requests an order to pool all interests, including but not limited to, any non -consenting interests, in the Application Lands in the Niobrara Formation underlying the following approximate 640 -acre Wellbore Spacing Unit for the drilling of the Schneider HD 11-299HNX well (API No. pending): Township 4 North, Range 67 West, 6th P.M. Section 11: S'/2 Section 12: S1 (throughout as "WSU #2") 10. Applicant requests that the Commission's pooling order be made effective as of the earlier of the date of this Application, or the date that the costs specified in C.R.S. § 34-60-116(7)(b) are first incurred for the drilling of the Schneider HD 11- 299HNX well to the Niobrara Formation in WSU #2 on the Application Lands. 11. Applicant, pursuant to Commission Rule 530 and/or the provisions of C.R.S. § 34-60-116 (6) and (7), hereby requests an order to pool all interests, including but not limited to, any non -consenting interests, in the Application Lands in the Niobrara Formation underlying the following approximate 640 -acre Wellbore Spacing Unit for the drilling of the Schneider HD 11-342HNX well (API No. pending): Township 4 North, Range 67 West, 6th P.M. Section 11: S'/2 Section 12: 5% (throughout as "WSU #3") 12. Applicant requests that the Commission's pooling order be made effective as of the earlier of the date of this Application, or the date that the costs specified in C.R.S. § 34-60-116(7)(b) are first incurred for the drilling of the Schneider HD 11- 342HNX well to the Niobrara Formation in WSU #3 on the Application Lands. 13. Applicant certifies that copies of this Application will be sewed on all persons owning an interest in the mineral estate of the tracts to be pooled within seven (7) days of the date hereof, as required by Rule 503.e., and that at least thirty-five (35) days prior to the hearing on this matter, each such interest owner not already leased or voluntarily pooled will be offered the opportunity to lease, or to participate in the drilling of the respective Wells, and will be provided with the information required by Rule 530 as applicable. 14. That in order to prevent waste and to protect correlative rights, all interests in WSU #1, WSU #2 and WSU #3 should be pooled for the orderly development and operation of the Niobrara Formation, including any non -consenting interests therein. WHEREFORE, Applicant requests that this matter be set for hearing in March 2017, that notice be given as required by law, and that upon such hearing, the Commission enter its order: A. Pooling all interests in three (3) approximate 640 -acre designated horizontal Wellbore Spacing Units on the Application Lands for the development and operation of the Niobrara Formation. B. Providing that the Commission's pooling order is made effective as of the earlier of the date of this Application, or the date that any of the costs specified in C.R.S. § 34-60-116(7)(b) are first incurred for the drilling of each Well in WSU #1, WSU #2 and WSU #3, for the development of the Niobrara Formation on the Application Lands. C. Providing that the interests of any owners with whom the Applicant has been unable to secure a lease or other agreement to participate in the drilling of the Wells are pooled by operation of statute, pursuant to C.R.S. § 34-60-116(6) and (7), and made subject to the cost recovery provisions thereof with respect to the Wells drilled to develop the Niobrara Formation in the 640 -acre Wellbore Spacing Units comprising the Application Lands. D. For such other findings and orders as the Commission may deem proper or advisable in this matter. Dated: January 19, 2017. Respectfully submitted: GREAT WESTERN OPERATING COMPANY, LLC By: Jamie L. Jost Kelsey H. Wasylenky Jost Energy Law, P.C. Attorney for Applicant 1401 17th Street, Suite 370 Denver, Colorado 80202 (720) 446-5620 jjost@ jostenergylaw.com kwasyle n ky(cDjoste nergylaw. co m Applicant's Address: Great Western Operating Company, LLC ATTN: Santiago Rodriguez 1801 Broadway, Suite 500 Denver, CO 80202 VERIFICATION STATE OF COLORADO CITY AND COUNTY OF DENVER ) ) ss. Santiago Rodriguez, of lawful age, being first duly sworn upon oath, deposes and says that he is the Senior Landman for Great Western Operating Company, LLC, and that he has read the foregoing Application and that the matters therein contained are true to the best of his knowledge, information and belief. Santiago Rodrig Senior Landman Great Western Operating Company, LLC Subscribed and sworn to before me this 1"l' day of January 2017. Witness my hand and official seal. [SEAL] JANET C WILLSON NOTARY PUBLIC STATE OF COLORADO NOTARY ID IS 20424015949 MY COMMISSION EXPIRES ¢uN11, 2018 My commission expires: Co it l 9.06 Notary Publi Karla Ford From: Sent: To: Cc: Subject: Attachments: Karla: Santiago Rodriguez <srodriguez@gwogco.com> Monday, February 20, 2017 11:21 AM Karla Ford Michael Tucker FW: Weld County - GWOG C 1338_001.pdf I copied Mr. Michael Tucker in this correspondence as he will be able to answer the Kodak pooling apps on Pages 5-7 & 9 of the attached. • (Page 1 and Page 8 are the same Pooling App) —Weld County is being placed on notice as a leased mineral interest owner (Reception No. 4038141 and Reception Nos. 4115533; 4115534; 4115535; 4115536; 4114437 & 4115538 —the latter six reception numbers being corrected at Reception No. 4127639). Being a leased mineral interest owner, said pooling application serves as notice only to Weld County. • Page 2 - Weld County is being placed on notice as a leased mineral interest owner regarding the attached pooling application for the Schneider HD 11-382HNX. Weld County leased its interest within said unit at Reception No. 4096713. Being a leased mineral interest owner, said pooling application serves as notice only to Weld County. • Page 3 - Weld County is being placed on notice as a leased mineral interest owner regarding the attached pooling application for the seven Schneider wells. Weld County leased its interest within said unit at Reception No. 4096713. Being a leased mineral interest owner, said pooling application serves as notice only to Weld County. • Page 4 - Weld County is being placed on notice as a leased mineral interest owner regarding the attached pooling application for the three Schneider wells. Weld County leased its interest within said unit at Reception No. 4096713. Being a leased mineral interest owner, said pooling application serves as notice only to Weld County. With continued research being conducted, we may find additional Weld County tracts within the Town of Milliken, but as currently stands, these are the tracts we leased from Weld County that will be incorporated into our Schneider units. )Santiago Rodriguez Sr. Landman Direct: 303.398.0596 Cell: 303.929.5922 Fax: 866.742.1784 Privileged / Confidential information may be contained in this message. This information is intended solely for use by the individual entity named as the recipient. If you are not the intended recipient. be aware that any disclosure. copying, distribution, or use of the contents of this communication is prohibited. In such case, you should destroy this communication and notify the sender by reply email. From: Karla Ford [mailto:kford©co.weld.co.us] Sent: Sunday, February 12, 2017 1:13 PM To: Santiago Rodriguez Hello