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Home My WebLink About20153314.tiff hi+ RECEIVED BEFORE THE OIL AND GAS CONSERVATION COMMISSION SEP 2 2 2015 OF THE STATE OF COLORADO IN THE MATTER OF THE PROMULGATION ) CAUSE NO. 407 AND ESTABLISHMENT OF FIELD RULES TO ) GOVERN OPERATIONS FOR THE CODELL ) DOCKET NO. 151000634 AND NIOBRARA FORMATIONS, ) WATTENBERG FIELD, WELD COUNTY, ) TYPE: POOLING • COLORADO NOTICE OF HEARING TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN: APPLICATION LANDS Township 2 North, Range 65 West, 6th P.M. Sec ion : 4 4, 4 1A, WY2SE1/a, E'/2SW'A Section 17: W'/2NE'/, E'/2NW'A, NE1%SW'A, ----' NWV4SE'/a'__' Wellbore Spacing Unit ("WSU") No. 1 Township 2 North, Range 65 West, 6th P.M. Section 8: W'/2SEYa, SW1/4NE'A Section 17: W'/2NE%, NW'/4SE'4 WSU No. 2 Township 2 North, Range 65 West, 6th P.M. Section 8: SPA, S'/2NE'A Section 17: NE1/a, N'/2SEYa WSU Nos. 3-5 Township 2 North, Range 65 West, 6th P.M. Section 8: El/2SEYa, SE'ANE'/a Section 9: SW1/4NW14, W1/2SW1/a Section 16: W'/2NWY4, NW14SW1% Section 17: E'/2NE144, NE1ASEY4 WSU Nos. 6-7 2015-3314 LeO(O3 APPLICATION On August 27, 2015, Kerr-McGee Oil & Gas Onshore LP, Operator No. 47120 ("Kerr- McGee" 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 240-acre to 480-acre horizontal wellbore spacing units, established for the Application Lands, for the development and operation of the Codell and Niobrara Formations; 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 Sunflower 25G-17HZ Well (API No. 05-123-42072) (WSU #1), the Sunflower 7N-17HZ Well (API No. 05-123-42069) (WSU #2), the Sunflower 7C-17HZ Well (API No. 05-123-42071) (WSU #3), the Sunflower 24N-17HZ Well (API No. 05-123-42073) (WSU #4), the Sunflower 8N-17HZ Well (API No. 05-123-42070) (WSU #5), the Sunflower 40C-17HZ Well (API No. 05-123-42068) (WSU #6), and the Sunflower 40N-17HZ Well (API No. 05-123-42074) (WSU #7). APPLICABLE RULES AND ORDERS (available online at: http://coocc.state.co.us, under"ORDERS") • On April 27, 1998, the Commission adopted Rule 318A, the Greater Wallenberg 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, October 26, 2015 Tuesday, October 27, 2015 Time: 9:00 a.m. Place: Colorado Oil and Gas Conservation Commission 1120 Lincoln Street, Suite 801 Denver, CO 80203 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 October 9, 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 9 (151000634) RECEIVED SEP Z Z 2015 Commission. Anyone who files a protest or intervention must be able to participate in a prehearing conference during the week of October 12, 2015. 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 /V e Murphy, Se retary Dated: September 18, 2015 Colorado Oil and Gas Conservation Commission Attorneys for Applicant: 1120 Lincoln Street, Suite 801 James Parrot Denver, Colorado 80203 Jillian Fulcher Website: http://cogcc.state.co.us Beatty &Wozniak, P.C. Phone: (303) 894-2100 216 16th Street, Suite 1100 Fax: (303) 894-2109 Denver, Colorado 80202 (303) 407-4499 jparrot@bwenergylaw.com jfulcher@bwenergylaw.com Lease in Place : YES Or NO 0 Lease# t JOr 7 —t Acres I , Le) Keep for Hearing Outcome/Minutes File- No Action Needed (151000634) BEFORE THE OIL & GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF AN APPLICATION BY KERR- MCGEE OIL & GAS ONSHORE LP FOR AN ORDER CAUSE NO. 407 POOLING ALL INTERESTS IN SEVEN APPROXIMATE 240-ACRE TO 480-ACRE DOCKET NO. To be DESIGNATED HORIZONTAL WELLBORE SPACING assigned UNITS ESTABLISHED FOR CERTAIN PORTIONS OF SECTIONS 8, 9, 16 AND 17, TOWNSHIP 2 NORTH, RANGE 65 WEST, 6TH P.M., FOR THE RECEIVED DEVELOPMENT/OPERATION OF THE CODELL AND NIOBRARA FORMATIONS, WATTENBERG FIELD, SEP 1 0 2015 WELD COUNTY, COLORADO WELD COUNTY APPLICATION COMMISSIONERS Kerr-McGee Oil & Gas Onshore LP, Operator No. 47120 ("Kerr-McGee" or "Applicant"), by and through its attorneys, Beatty &Wozniak, P.C., respectfully submits this Application to the Oil and Gas Conservation Commission of the State of Colorado (the "Commission") for an order pooling all interests in seven approximate 240-acre to 480- acre horizontal wellbore spacing units established for certain portions of Sections 8, 9, 16 and 17, Township 2 North, Range 65 West, 6th P.M., for the development and operation of the Codell and Niobrara Formations. In support of its Application, Applicant states and alleges as follows: 1. Applicant is a limited partnership formed under the laws of the State of Delaware; is a wholly owned subsidiary of Anadarko Petroleum Corporation; is duly authorized to conduct business in the State of Colorado; and is a registered operator in good standing with the Commission. 2. Applicant owns substantial leasehold interests in the below-listed lands: Township 2 North, Range 65 West, 6th P.M. Section 8: SWIANE%, SE'/4NWV4, WV2SE'V4, EV2SW'/4 NN y4 Section 17: WY2NE1/4, EY2NW'A, NE'/4SW1/4, NW'/4SEY4 S � '� f ZN� 40 5 Wellbore Spacing Unit ("WSU") No. 1 Qt. I (o4 5�(�5 Township 2 North, Range 65 West, 6th P.M. Section 8: WY2SE'Y4, SWIANEV4 Section 17: W'Y2NE'/4, NW'V4SE1/4 WSU No. 2 Township 2 North, Range 65 West, 6th P.M. Section 8: SE'/4, S'/2NE'/4 Section 17: NE'/4, N'A2SE'A WSU Nos. 3-5 Township 2 North, Range 65 West, 6th P.M. Section 8: EV2SEIA, SEY4NEY4 Section 9: SW'/4NW'/4, W'/2SW% Section 16: WIANWY4, NW'/4SW'/4 Section 17: E'/2NE'/4, NEY4SEY4 WSU Nos. 6-7 These lands are hereinafter collectively referred to as the "Application Lands" and depicted in Exhibit A attached hereto. 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. The Application Lands are subject to Rule 318A. 4. Pursuant to Rule 318A., Applicant designated seven approximate 240-acre to 480-acre horizontal wellbore spacing units, comprised of the Application Lands, for the below-described wells, for the production of oil, gas and associated hydrocarbons from the Codell or Niobrara Formations. Applicant notified all owners in the proposed horizontal wellbore spacing units pursuant to Rule 318A.e.(5). Applicant did not receive objections to the establishment of the proposed horizontal wellbore spacing units within the 30-day response period: a. Sunflower 25G-17HZ Well (API No. 05-123-42072) — Niobrara Formation — WSU No. 1; b. Sunflower 7N-17HZ Well (API No. 05-123-42069) — Niobrara Formation — WSU No. 1; c. Sunflower 7C-17HZ Well (API No. 05-123-42071) — Codell Formation — WSU No. 3; d. Sunflower 24N-17HZ Well (API No. 05-123-42073) — Niobrara Formation — WSU No. 4; e. Sunflower 8N-17HZ Well (API No. 05-123-42070) — Niobrara Formation — WSU No. 5; f. Sunflower 40C-17HZ Well (API No. 05-123-42068) — Codell Formation — WSU No. 6; and 2 L g. Sunflower 40N-17HZ Well (API No. 05-123-42074) — Niobrara Formation — WSU No. 7. These wells are hereinafter referred to as the "Subject Wells." 5. Acting pursuant to the relevant provisions of §34-60-116(6) & (7), C.R.S., and Rule 530., Applicant seeks an order pooling all interests, including, but not limited to, any nonconsenting interests, in WSU Nos. 1-7 established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. 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 §34-60-116(7)(b), C.R.S. are first incurred for the drilling of the Subject Wells within WSU Nos. 1-7. 7. Further, Applicant requests 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 each of the Subject Wells, are made subject 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 the costs specified in §34-60-116(7)(b), C.R.S. are first incurred for the drilling of each of the Subject Wells. 8. 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. 9. 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. 10. The undersigned certifies that copies of this Application will be served on each interested party as required by Rule 507 within seven (7) days of the filing hereof, as required by Rule 503.e. 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 WSU Nos. 1-7 established for the Application Lands, for the development and operation of the Codell and Niobrara Formations, effective as of the earlier of the date of this Application, or the date that the costs specified in §34-60-116(7)(b), C.R.S. are first incurred for the drilling of the Subject Wells within WSU Nos. 1-7. B. 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 each of the Subject Wells, are pooled by operation of statute, pursuant to §34-60-116(6) & (7), C.R.S., and made subject to the cost recovery provisions thereof, effective as of the earlier of the date of the Application, or the date the costs specified in §34-60- 116(7)(b), C.R.S. are first incurred for the drilling of each of the Subject Wells. 3 C. For such other findings and orders as the Commission may deem proper or advisable in the premises. DATED thisp2' J day of August, 2015. Respectfully submitted, KERR-MCGEE OIL & GAS ONSHORE LP By: bA s arrot Jillian Fulcher Beatty & Wozniak, P.C. Attorneys for Applicant 216 16th Street, Suite 1100 Denver, Colorado 80202 (303) 407-4499 jparrot@bwenergylaw.com jfulcher@bwenergylaw.com Address of Applicant Kerr-McGee Oil & Gas Onshore LP ATTN: Anita Munkres 1099 18th Street, Suite 1800 Denver, Colorado 80202 4 VERIFICATION STATE OF COLORADO ) ss. CITY & COUNTY OF DENVER Jim Grant, Staff Landman for Kerr-McGee Oil & Gas Onshore LP, 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. c,KERR-MCGEE-OIL & GAS ONSHORE LP Jii-n Grant -41. Subscribed and sworn to before me this di day of August, 2015, by Jim Grant, Staff Landman for Kerr-McGee Oil & Gas Onshore LP. Witness my hand and official seal My commission expires: G 14.01e f MATT MARTIN NOTARY PUBLIC STATE OF COLORADO NOTARY ID 20144024535 MY COMMISSION EXPIRES 0011912O1+S I Notary Public (00338357) Exhibit A Reference Map for Pooling Application 1 6 5 3 3 I2 I I j I 12 7 3 I 9 10 I 11 i 13 13 17 i 16 i 15 14 I , , I 2N6�JJ - i I ' 24 19 20 I 21 22 i i I i i 25 30 i 29 23 27 26 {00336357) r BE FORE THE OIL & GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF AN APPLICATION BY KERR- MCGEE OIL & GAS ONSHORE LP FOR AN ORDER CAUSE NO. 407 POOLING ALL INTERESTS IN SEVEN APPROXIMATE 240-ACRE TO 480-ACRE DOCKET NO. 151000634 DESIGNATED HORIZONTAL WELLBORE SPACING UNITS ESTABLISHED FOR CERTAIN PORTIONS OF SECTIONS 8, 9, 16 AND 17, TOWNSHIP 2 NORTH, RANGE 65 WEST, 6TH P.M., FOR THE DEVELOPMENT/OPERATION OF THE CODELL AND NIOBRARA FORMATIONS, WATTENBERG FIELD, WELD COUNTY, COLORADO AFFIDAVIT OF MAILING STATE OF COLORADO ) ) ss. CITY AND COUNTY OF DENVER ) Chanda Thomsen, of lawful age, and being first duly sworn upon her oath, states and declares: That she is a Legal Assistant at Beatty & Wozniak, P.C., attorneys for Kerr- McGee Oil & Gas Onshore LP, and on or before September 3, 2015, 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 attached hereto. re,4Q Chanda Thomsen Subscribed and sworn to before me this 0- day of September, 2015. Witness my hand and official seal. TERESA 1... PFTERSON STI ; X026 i L. MY COMMISSION EXHRES OCT.4,2017 (/ Notary Public EXHIBIT A INTERESTED PARTIES The names and addresses of the interested parties (persons who own any interest in the mineral estate of the tracts to be pooled, except owners of overriding royalty interest) according to the information and belief of the Applicant are set forth in this Exhibit A. ENCANA OIL& GAS (USA) INC. GARY SANDLIN 370 17TH ST., SUITE 1700 3500 BELLA ROSA PARKWAY ATTN: MS. COURTNEY DIAFERIO LONGMONT, CO 80504 DENVER, CO 80202 GRACE I. CAMPBELL CHARLES H. HALLETT 9517 WELD COUNTY ROAD 41 401 S.WEST ST.#S FT LUPTON, CO 80621 HOMER, ILLINOIS 61849 GRIZZLY PETROLEUM COMPANY, LLC AARON SCOTT CREED C/O GREAT WESTERN OPERATING COMPANY 3116 W 112TH CT UNIT F 1801 BROADWAY, SUITE 500 WESTMINSTER, CO 80031 DENVER, CO 80202 ANADARKO E&P ONSHORE LP IRENE PEVLER 1099 18TH STREET#1200 61497 WELD COUNTY ROAD 63 DENVER, CO 80202 GROVER, CO 80729 CAROL J. SARCHET JAMES THOMASON 8627 COUNTY ROAD 41 225 19TH AVENUE COURT FORT LUPTON, CO 80621 GREELEY, CO 80631 CHERYL MIECH JAMES WILLIAM WHITNEY 1431 THOMAS DR. PO BOX 795 SHERIDAN,WY 82801-5561 BAKER, MT 59313 CHRISTINE LOUISE CORDELL, LEE ROY NICHOLS KRISTI GLEASON 210 EAST PARKWAY DRIVE 80 MURPHY GULCH RD LAMAR, CO 81052 BANNER WY 82832 DANIEL DOWDY LEE ROY NICHOLS AND NEVA PAULINE NICHOLS BOX 105 438 DOUBLE TREE DR. DAYTON,WY 82836 GREELEY, CO 80634 DAWN YVONNE DEVENNEY KIMBALL LEE ROY NICHOLS 309 S SADDLE RD 438 DOUBLE TREE DR. ENID, OK 73703 GREELEY, CO 80634 DIANNE BERNICE TILLMAN MARIA J. PLYMELL 9321 W YUKON DR PO BOX 176 PEORIA,AZ 85382 DAYTON,WY 82836 EVA L. DOWDY MARTIN J. HARRINGTON,JR. 6827 HARVALA STREET 2236 S.JACKSON ST. SAN DIEGO, CA 92115 DENVER CO, 80210 FRED W. SARCHET MOLLY BEVERLIN, MOLLY C. BEVERLIN, 3173 52ND AVE DONALD S. BEVERLIN AND JAY E. BEVERLIN GREELEY, CO 80634 PO BOX 212286 ANCHORAGE, AK 99521 {00305401} PATRICIA ANN DOWDY, STEIN TRUST TRUSTEE OF THE PATRICIA ANN DOWDY DATED AUGUST 12,2011 TRUST DATED SEPTEMBER 27, 1999 3018 SOUTH EATON PO BOX 341 DENVER, CO 80227 GLENROCK,WY 82637 THOMAS LEE ARNOLD R.G FIELDS PO BOX 98 45776 HWY PP NEWCASTLE,WY 82701 BRAYMER, MO 64624 TSM TRUST RICHARD A. ERB AND LOIS ANN ERB, 3924 SIMMS STREET AS TRUSTEES OF THE DICK AND ANN ERB WHEAT RIDGE, CO 80033 TRUST DATED OCTOBER 11,2013 1100 S WARREN AVE WELD COUNTY, COLORADO GILLETTE, WY 82716-4833 915 10TH STREET GREELEY, CO 80632 RICHARD JOHN DEVENNEY PO BOX 6747 WILLIAM D. SARCHET DILLON, CO 80435 8627 COUNTY ROAD 41 FORT LUPTON, CO 80621 SCOTT THOMASON 9760 WCR 41 FORT LUPTON, CO 80621 {00306401) Hello