HomeMy WebLinkAbout20160933.tiff BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
IN THE MATTER OF THE PROMULGATION AND ) CAUSE NO. 407
ESTABLISHMENT OF FIELD RULES TO )
GOVERN OPERATIONS FOR THE NIOBRARA ) DOCKET NO. 160300122
FORMATION, WATTENBERG FIELD, WELD )
COUNTY, COLORADO ) TYPE: POOLING
NOTICE OF HEARING
TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN: RECEIVED
APPLICATION LANDS
FEB--G-520 - -
Township 7 North, Range 64 West, 6th P.M. WELD COUNTY
Section 28: E'/zE'/z COMMISSIONERS
Section 33: EVE'/:
APPLICATION
On January 7, 2016, Bayswater Exploration & Production, LLC (Operator No. 10261)
("Bayswater" or "Applicant") filed a verified application pursuant to §34-60-116, C.R.S., for an
order to:
1) Pool all interests in two approximate 320-acre wellbore spacing units ("WSU")
established for the Application Lands, for the development and operation of the Niobrara
Formation; and
2) Subject any nonconsenting 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., were first incurred for the drilling of the Mojack
N-281-1N Well (API No. 05-123-39842) for WSU No. 1, and the Mojack O-28HN Well (API No.
05-123-39848) for WSU No. 2.
APPLICABLE RULES AND ORDERS
(available online at: http://coocc.state.co.us, under"ORDERS")
a On April 27, 1998, the Commission adopted Rule 318A, the Greater Wattenberg
Area Special Well Location, Spacing and Unit Designation Rule.
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:
Date: March 7-8, 2016
Time: 9:00 a.m.
1
2016-0933
-- - -
Place: Colorado Oil and Gas Conservation Commission
The Chancery Building
1120 Lincoln Street, Suite 801
Denver, CO 80203
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 February 22, 2016. 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 February 22, 2016. 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
•
By
ul Murphy, Secreta
Dated: January 27, 2016
Colorado Oil and Gas Conservation Commission Attorneys for Applicant:
1120 Lincoln Street, Suite 801 Joseph C. Pierzchala
Denver; Colorado-80203 - — — - —Chelsey J—Russell - -- - --
Website: http://cogcc.state.co.us Welborn Sullivan Meck &Tooley, P.C.
Phone: (303) 894-2100 1125 17th Street, Suite 2200
Fax: (303) 894-2109 Denver, CO 80202
(303) 830-2500
jpierzchala@wsmtlaw.com
crussell@wsmtlaw.com
Lease in Place : YES(B NO Q
Lease p
Acr
es
Keep for Hearing Outcome/Minutes I 2
File-No Action Needed
(160300122)
RECEIVED
JAN 19 2016 lb -A Y RECEIVED
WELD COUNTY JAN 0 7 2016
COMMISSIONERS
BEFORE THE OIL AND GAS CONSERVATION COMMISSION COGCC
OF THE STATE OF COLORADO
IN THE MATTER OF THE APPLICATION OF )
BAYSWATER EXPLORATION & PRODUCTION, ) Cause No. 407
LLC FOR AN ORDER POOLING ALL )
INTERESTS IN THE NIOBRARA FORMATION ) Docket No. 160300122
IN A 320-ACRE WELLBORE SPACING UNIT )
LOCATED IN SECTIONS 28 AND 33, ) Type: POOLING
TOWNSHIP 7 NORTH, RANGE 64 WEST, 6TH )
P.M., WATTENBERG FIELD, WELD COUNTY, )
_ COLORADO. ) -
APPLICATION
Bayswater Exploration & Production, LLC ("Bayswater" or "Applicant"), Operator No.
10261, by and through its attorneys, Welborn Sullivan Meck & Tooley, P.C., respectfully submits
this Application to the Oil and Gas Conservation Commission of the State of Colorado
("Commission" or "COGCC") for an order pooling all interests in two separate approximate 320-
acre wellbore spacing units for the EYE'/2 of Section 28 and the EYE'/2 of Section 33, Township 7
North, Range 64 West, 6th P.M., Weld County, Colorado for the,development and production from
the Niobrara Formation("WSU #1" and "WSU #2"). In support.thereof, the Applicant states as
follows:
1. Applicant is a limited liability company duly authorized to conduct business in
the State of Colorado.
2. Applicant owns a leasehold interest in the wellbore spacing units comprised of
the following lands ("Application Lands"): •
Township 7 North, Range 64 We t :th P.M.
Section 28: E'/E'/2
Section-33: E'/E'/2 -
•
Weld County, Colorado.
A reference map of the Application Lands is attached hereto.
1. Rule 318A.a.(4)D. provides, in relevant part, that where a drilling and spacing
unit does not exist for a horizontal well, the horizontal wellbore spacing unit shall be comprised of
the governmental quarter-quarter sections in which the wellbore lateral penetrates the productive
formation as well as any governmental quarter-quarter sections that are located less than four
hundred sixty(460) feet from the portion of the wellbore lateral that penetrates the productive zone
regardless of section or quarter section lines'. Rule 318A.a.(4)D. further provides that a horizontal
(00440784.1} 1
i.
•
wellbore spacing unit may overlap portions of another horizontal wellbore spacing unit or other
wellbore spacing unit designated in accordance with subsection a.(4)C.
2. WSU #1 includes the Mojack N-28HN well (API#05-123-39842), anticipated to
spud on or about March 16, 2016. The above-described horizontal well is designed to test and
produce gas and associated hydrocarbons from the Niobrara Formation underlying the Application
Lands.
3. WSU #2 includes the Mojack O-28HN well (API# 05-123-39848), anticipated
to spud on or about March 16, 2016. The above-described horizontal well is designed to test and
produce gas and associated hydrocarbons from the Niobrara Formation underlying the Application
Lands.
3. Pursuant to the relevant provisions-of Section 34-60-116(6) & (7), C.R.S., and
COGCC Rule 530, Applicant seeks an order pooling all interests in the Application Lands for the
development and operation of the Niobrara Formation for WSU #1 and WSU #2.
4. Applicant certifies that, at least 35 days prior to the date of the scheduled
protest deadline for this Application, each owner which Applicant was able to locate, not already
leased or voluntarily pooled, will be provided with the well proposal and information required by
Rule 530 and tendered a reasonable offer to lease (if an unleased mineral owner), or participate
and bear costs associated with the drilling and completion of the Mojack N-28HN well (WSU #1)
and Mojack O-28HN well (WSU #2).
5. Applicant requests that a, pooling order be entered as a result of this
Application and that it be made effective as of the earlier of the date of this Application, or the date
costs specified in Section 34-60-116(7)(b)(II), C.R.S., are first incurred for-the drilling of the Mojack
N-28HN well (WSU #1) and Mojack O-28HN well (WSU #2).
6. The granting of this Application would be in accord with the Oil and Gas
' Conservation Act, found at Section 34-60-101, et seq., C.R.S., and Commission rules.
7. The names and addresses of the interested parties (persons who own an
interest in the mineral estate of the tracts to be pooled, except owners of overriding royalty interest)
are attached hereto and marked Exhibit A--Applicant certifies that copies of this-Application will be
served on all locatable interested parties within seven (7) days of the date hereof, as required by
Commission Rule 507.b(2), and that at least thirty-five (35) days prior to the date of the scheduled
protest deadline for this Application, each such 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.
WHEREFORE, Applicant respectfully requests that this matter be set for hearing, that
notice be given as required by law and that upon such hearing this Commission enter its order
A. Pooling all interests in the Application Lands for the development and
operation of the Niobrara Formation in WSU #1 and WSU #2.
{00440784.1) 2
B. Providing that the pooling order is made effective as of the date of this
Application, or the date that the costs specified in Section 34-60-116(7)(b)(II), C.R.S., are first
incurred for the drilling of the he Mojack N-28HN well (WSU #1) and Mojack O-28HN well (WSU
#2) on the Application Lands, whichever is earlier.
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 authorized well, are
pooled by operation of statute, pursuant to Section 34-60-116(7), C.R.S., and made subject to the
cost recovery provisions thereof.
D. For such other findings and orders as the Commission may deem proper or
advisable in the premises.
Dated this f day of January, 201.6. ._" " _ - - - -
Respectfully submitted,
WELBORN SULLIVAN MECK&TOOLEY, P.C.
By: v5t
Joseph C. rz la
Chelsey J. Russe
Welborn Sullivan Meck&Tooley, P.C.
Attorneys for Applicant
1125 - 17th Street, Suite 2200
Denver, CO 80202
303-830-2500
jpierzchala@wsmtlaw.com
cru ssellna,wsmtlaw.com
Applicant's Address: _
730 Seventeenth Street, Suite 6,10
Denver, CO 80202
Attn: Blake Leavitt, DJ Basin Landman
Phone: 303-893-2503
{00440784.1} 3
VERIFICATION
STATE OF COLORADO )
) ss.
CITY & COUNTY OF DENVER
Blake Leavitt; DJ Basin Landman with Bayswater Exploration & Production, LLC,
upon oath deposes and says that he has read the foregoing Application and that the
statements contained therein are true to the best of his knowledge, information and
belief.
BAYSWATER EXPLORATION &
_ = PRODUCTION, LLC
Blake Leavitt, DJ Basin Landman
Subscribed and sworn-to before me this 7th day of January, 2016. by Blake
Leavitt, DJ Basin Landman for Bayswater Exploration & Production, LLC.
Witness my hand and official seal.
�Y
�6 Public
My Commission Expires: 71-2-3/t
TOM BLYTH - _
NOTARY PUBLIC
STATE OF COLORADO
No+„ry;D 20104027051
My Comm.sziOfi Expires 07/23/2018
(00440784.1) 4
EXHIBIT A
Ownership: Mojack N-28HN and O-281-IN
Township 7 North.Range 64 West
Section 28:E/2E/2
Section 33:E12E/2
Containing 319.89 acres,more or less
1 UN LEASED OIL AND GAS INTERESTS . - , STREET ., . ct'Y,5TATE ZIP , Country •
Bob McDonald 90360 Shadows Drive Springfield,OR 97478
Rick McDonald 90360 Shadows Drive Springfield,OR 97478
Nola Kari 90360 Shadows Drive Springfield,OR 97478
V NON-CONSENTING WI OWNERS C _- STREET ciTt STATE zf❑_= Country.
Welco Operating,LLC - 1120 Lincoln St.Suite 1605 Denver,CO 80203
WYOTEX Oil Company PO Box 280969 Lakewood,CO 80228
Alpha Energy Group,LLC 245 E 54th St.,Suite 5M New York,NY 10022
, Green Oil Energy,LLC 245 E 54th St..Suite 5M New York.NY 10022
Aluma Energy,LLC 245 E 54th St.,Suite 5M , New York.NY 10022
Shoreline Energy Holdings II,Inc. 300,116-8th Avenue SW Calgary,AB T2P103 Canada
Noble Energy,Inc. 1625 Broadway.Suite 2000 Denver,CO 80202
3: CONSENTING WI OWNERS _v- : sTREET .. cit,FATEpP, s Country:
Bayswater Exploration&Production,LLC 730 17th St.Suite 610 Denver,CO 80202
Bayswater Blenheim Holdings LLC 730 17th St.Suite 610 Denver,CO 80202
Bayswater Blenheim Holdings II,LLC 730 17th St.Suite 610 Denver,CO 80202
OMB Royalties II,LLC 410 7th Street,Suite 11550 Denver,CO 80202
;4', ROYALTY:OWNERS - • STREET . or y, ,;;S Country,/
Anadarko E&P Onshore LLC + 1099 18th Street Denver,CO 80202
Bert L.Dewey 230 Cheyenne Eaton,CO 80615
Bessie M.Dewey 1326 Country Club Road Fort Collins,CO 80524
Beverly A.Schell and Donald J.Schell,joint tenants 2505 17th Ave. Greeley,CO 80631
Cary A.Kincade 525 Jefferson St. Pueblo,CO 81004
Charles Dewey Warren 2405 Baystone Court Colorado Springs,CO 80921
Darene(Maloit)Wisecup 3634 Coffee Lane Santa Rosa,CA 95403
David E.Dewey P.O.Box 126 Kersey,CO 80644
Donna MacKenzie Williams - . 704 Fountainhead Blvd#C Grand Junction,CO 81505
Fred James Warren 4271 King Street Denver,CO 80211
Gail A.Pippin 560 S.Crescent Avenue Independence,MO 64053
Helen L.Cook 2124 Kechter Road Fort Collins,CO 80528
James Dean Carney 9242 Grey Cliff Drive Germantown,TN 38139
James Foster 5925 Taylor Draper Cove Austin,TX 78759
Jennifer Foster 7501 Creston Lane Austin,TX 78752
JLW Investment,LLC 351 Glencoe Street Denver,CO 80220
John Foster 7501 Creston Lane Austin,TX 78752
LaVerle Londen 5608 West Yucca Street Glendale,AZ 85304
Leland L.McDonald 431 Topeka Avenue Leavenworth,KS 66048
Linda L.Dobbins 619 South Patterson Ave Springfield,MO 65802
Linda A.Mitchell 719 Paseo Dorado Pueblo West,CO 81007
Linda Pfannenstiel 13931 East Marina Drive.Unit 602 Aurora,CO 80014
Lois E.Steiner 5107 Shady Dell Trail Knoxville,TN 37914
Lori McDonald Petersen 2920 45th Avenue Greeley,CO 80634
Martha Brown Crouch 115 Northview Place ' Windsor,MO 65360
Mary Gayle McDonald 2228 Dunbar Court Longmont CO 80501
Michael E.Potter 5705 Westbound 40 Highway Blue Springs,MO 64015
Mojack Interests,LLLP 38375 CR 55 Eaton,CO 80615 Nancy Kern P.O.Box 496 - Gilcrest,CO 80623
NG Resources.LLC 9896 Clairton Way Highlands Ranch,CO 80126
Old West Tours 110 E.Center Street.PMB 1989 Madison,SD 57042-2908
Paula J.Mitchell 325 Brentwood Pueblo,CO 81008
Randy McDonald 3102 17th Avenue#3 Greeley,CO 80631
Raymond G.Dewey,Jr. 1011 Cottonwood Place NW Albuquerque,NM 87107
Richard Hime 5 Briargate Place Pueblo,CO 81001
Robbie Mae Warren 2319 West lath Street Greeley.CO 80634
Ted McDonald 851 W.Mulberry Street Louisville,CO 80027
Terry J.McDonald 83100 Bradford Road Creswell.OR 97426
Tim McDonald 4554 Ivy Street Springfield,OR 97478
Vicky Mangan 5286 S.Jamaica Way Englewood,CO 80111
Wallace Roy MacKenzie 20188 Klyne Street Corona,CA 92881
Weld County,Colorado P.O.Box 758 Greeley,CO 80631
1
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PROPOSED 318A. e. SPACING UNIT
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SURFACE LOCATION
GROUND ELEVATION=4900'
NADB3
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LONGITUDE=104.551303°
O =PROPOSED WELL LP=LANDING POINT
A =LANDING POINT BH=BOTTOM HOLE LANDING POINT LOCATION
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SEC. 28: E2E2
SEC. 33: E2E2
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GROUND ELEVATION=4900'
NAD83
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LONGITUDE=104.551368°
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