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HomeMy WebLinkAbout20151135.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 CODELL FORMATION, ) DOCKET NO. 150500277 WATTENBERG FIELD, WELD COUNTY, ) COLORADO ) TYPE: POOLING NOTICE OF HEARING TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERI, EcE�VE' APPLICATION LANDS n A 6 2015 Township 7 North, Range 66 West, 61° P.M. S ONE S Section 11: SW%, S'ANW A WELD Section 14: NW'V4 COMMIS APPLICATION On March 19, 2015, PDC Energy, Inc., Operator No. 69175 ("PDC" or°Applicant"), filed a verified application pursuant to§34-60-116, C.R.S.for an order to: 1) Pool all interests in an approximate 400-acre designated wellbore spacing unit, for the development and operation of the Codell Formation. 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(7Xb), C.R.S. were first incurred for the drilling of the Thornton 14K-441 Well(API No. 05-123-38759). PRIOR RULES AND ORDERS (available online at htto://coacc.state.co.us, under"ORDERS") • 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: 1) the general jurisdiction granted to the Oil and Gas Conservation Commission of the State of Colorado under §34-60-105 C.R.S.; 2) specific powers granted pursuant to §34-60-106 C.R.S.; 3)the State Administrative Procedures Act at §24-4-105 C.R.S.; and 4) the Commission's Series 500 Rules at 2 CCR 404-1, that the Commission has scheduled the above-entitled matter for hearing on: Date: Monday, May 18, 2015 Tuesday, May 19, 2015 Time: 9:00 a.m. Place: Aims Community College, Fort Lupton Campus 260 College Avenue 2015-1135 550311 Fort Lupton, Colorado 80621 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. My 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 May 4, 2015. 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 y:onference during the week of May 4, 2015. Pursuant to Rule 511., if the matter is uncontested, itrday be approved without a hearing. OIL AND GAS CONSERVATION COMMISSION OF THE STATEE OF COLORADO By �'vVti J lie ' urphy, Se retary Dated:April 13,2015 Colorado Oil and Gas Conservation Commission Attorneys for PDC: 1120 Lincoln Street,Suite 801 Jamie L. Jost Denver,Colorado 80203 Joseph M. Evers Website: htlp://cogcc.state.co.us Burleson LLP Phone: (303)894-2100 1700 Lincoln Street, Suite 1300 Fax: (303)894-2109 Denver, Colorado 80203 jjost©burlesonllp.com jevers@buriesonlIp.com 5 // - r g.e(.O Lease in Plac : YES NO Q Lease# Acres Keep for Hearing Outcome/Minutes 2 (150500277) 9 BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF CAUSE NO. PDC ENERGY, INC. FOR AN ORDER TO BALL INTERESTS IN AN APPROXIMATE DOCKET NO. 400-ACRE DESIGNATED HORIZONTAL WELLBORE SPACING UNIT IN SECTIONS 11 RECEIVED AND 14, TOWNSHIP 7 NORTH, RANGE 66 WEST, 6T" P.M., FOR THE CODELL MAR 2 7 2015 FORMATION, WATTENBERG FIELD, WELD COUNTY, COLORADO WELD COUNTY COMMISSIONERS APPLICATION COMES NOW PDC Energy, Inc. (Operator No. 69175) ("PDC" or "Applicant"), by its attorneys, Jost & Shelton Energy Group, 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 within an approximate 400-acre Wellbore Spacing Unit, as defined below, for the drilling of the Thornton 14K-441 Well (API No. 05-123-38759) ("Well"), for the development of the Codell Formation on the following described lands: Township 7 North, Range 66 West, 6th P.M. Section 11: SW%, S%%NW/ Section 14: NW% 400-acres, more or less, Weld County, Colorado. Hereinafter "Application Lands" In support thereof, Applicant states and alleges as follows: 1. Applicant is a corporation 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 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 • 4. Applicant designated the 400-acre Weilbore Spacing Unit for the production of oil, gas, and associated hydrocarbons from the Codell Formation pursuant to Rule 318A and notified the appropriate parties under Rule 318A. 5. 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 Codell Formation underlying the following approximate 400-acre Weilbore Spacing Unit: Township 7 North. Range 66 West, 6th P.M. Section 11: SW' , S1/2NW' Section 24: NW I6 (throughout as"Wellbore Spacing Unit"). 6. 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 Well to the Codell Formation on the Application Lands. 7. Applicant certifies that copies of this Application will be served 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 Well, and will be provided with the information required by Rule 530 as applicable. The list of such interested parties is attached hereto as Exhibit A. 8. That in order to prevent waste and to protect correlative rights, all interests in the Weilbore Spacing Unit should be pooled for the orderly development of the Codell Formation, including any non-consenting interests therein. WHEREFORE, Applicant requests that this matter be set for hearing at the next available opportunity, that notice be given as required by law, and that upon such hearing, the Commission enter its order A. Pooling all interests in the Application Lands and the Wellbore Spacing Unit for the development of the Codell 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 the Well in the Wellbore Spacing Unit to the Codell 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 Well 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 Well drilled to develop the Codell Formation in the Wellbore Spacing Unit comprising the Application Lands. D. For such other findings and orders as the Commission may deem proper or advisable in this matter. WHEREFORE, Applicant respectfully requests that this matter be set for hearing in May 2015, that notice be given as required by law, and that upon such hearing, the Commission enter its order consistent with Applicant's request as set forth above. Dated: March 19, 2015. Respectfully submitted: PDC ENERGY, I . By: J e L. Jost J eph M. Evers Jost & Shelton Energy Group, P.C. Attorneys for Applicant 1675 Larimer St., Suite 420 Denver, Colorado 80202 (720) 379-1812 Applicant's Address: PDC Energy, Inc. ATTN: J. Tyler Sims 1775 Sherman Street, Suite 3000 Denver, CO 80203 VERIFICATION STATE OF COLORADO ) ss. CITY AND COUNTY OF DENVER ) J. Tyler Sims, of lawful age, being first duly sworn upon oath, deposes and says that he is a Senior Regional Landman for PDC Energy, Inc., 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. J. Tyler Sims Senior Regional Landman PDC Energy, Inc. ph Subscribed and sworn to before me this /7—day of March 2015. Witness my hand and official seal. KRISTIE ANN MONEY NOTARY PUBLIC [SEAL] STATE OF COLORADO NOTARY ID 20134031387 My Commission Expires May 16, 2017 My commission expires: 51/L2/71/2/ "7 Notary Public • BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF CAUSE NO. PDC ENERGY, INC. FOR AN ORDER TO POOL ALL INTERESTS IN AN APPROXIMATE DOCKET NO. 400-ACRE DESIGNATED HORIZONTAL WELLBORE SPACING UNIT IN SECTIONS 11 AND 14, TOWNSHIP 7 NORTH, RANGE 66 WEST, 6TH P.M., FOR THE CODELL FORMATION, WATTENBERG FIELD, WELD COUNTY, COLORADO AFFIDAVIT OF MAILING STATE OF COLORADO )ss. CITY AND COUNTY OF DENVER ) I, Joseph M. Evers of lawful age, and being first duly sworn upon my oath, state and declare that I am the attorney for PDC Energy, Inc., and that on or before the De day of March 2015, I caused a copy of the attached Application to be deposited in the United States Mail, postage prepaid, addressed to the parties listed on Exhibit A to the Application. eph M. Evers Subscribed and sworn to before me this Ir day of March, 2015. Witness my hand and official seal. [SEAL] My commission expires: - IFnC 2'1, 2DI8' RACHELFLEMING NOTARY PUBLIC STATE OF COLORADO NOTARY ID 20144025048 MY COMMISSION EXPIRES JUNE 24,2018 Notary Public Exhibit A Thornton 141C-441 Extraction Oil&Gas,LLC William E Franz Jr.and 1888 Sherman Street Marcia L Franz Suite 500 PO Box 236 Denver,CO 80203 Cooperstown,PA 16317-0236 NorthStar Energy Sharon K.Moots Company LLC 39826 WCR 33 1800 Glenarm Place, Ault,CO 80610 Suite 1203 Denver,CO 80203 Harvey Herman Hager Judy Ann Adams-AIF Ronald&Lisa Augustine JT 43280 WCR 51 16487 Highway 14 Ault,CO 80610 Ault,CO 80610 Ronald D.Jordan Rosie Mae Brunz 39574 WCR 33 104 Saint Clare Drive Ault,CO 80610 Crowley,TX 76036 Robert N.Jr. &Carmen O. Rangel Norris D.&Susan K.Chase PO Box 126 39658 County Road 33 Ault,CO 80610 Ault,CO 80610 Betty Schmidt Pamela J.Cooper 3723 Oaklyn Pass 2903 70th Ave San Antonio,TX 78529 Greeley,CO 80634 Francis&Lari Walter City of Thornton, 39856 CR 33 a Colorado Municipal Corp Ault,CO 80610 9500 Civic Center Dr. Thornton, CO 80229 West Ault Water Users Assoc. 39826 County Rd 33 Mfeldcounty Board of Comth. Ault,CO 80610 PO Box 758 Greeley,CO 80632-0758 Lisa Lynn Youngwirth PO Box 2000925 Gary Lee&Sharon Kay Edie Evans,CO 80620 39656 CR 33 Ault,CO 80610 Kay L.Gallatin 39620 CR 33 Dean S& Margaret O Ehn Ault,CO 80610-9680 JTWROS 6970 Firerock Court Leonard J. Gallatin Boulder,CO 80301 39620 CR 33 Ault,CO 80610-9680 Willeen C.Huck 39600 WCR#33 Ault, CO 80610 Hello