HomeMy WebLinkAbout20151016.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 FORMATION, ) DOCKET NO. 150400247
WATTENBERG FIELD, WELD COUNTY, )
COLORADO ) TYPE: POOLING
NOTICE OF HEARING Cf T.,
TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN:
APPLICATION LANDS
Township 7 North, Range 62 West, 6th P.M.
Section 18: All
APPLICATION
On February 12, 2015, Bonanza Creek Operating Company, LLC (Operator No. 8960)
("Bonanza" 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 640-acre drilling and spacing unit, for the
development and operation of the Niobrara 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(7)(b), C.R.S. were first incurred for the drilling of any well to
the Niobrara Formation on the Application Lands.
PRIOR RULES AND ORDERS
(available online at: http://cogcc.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.
• On May 29, 2012, the Commission entered Order No. 407-642, which, among other
things, established an approximate 640-acre drilling and spacing unit for Section 18,
Township 7 North, Range 62 West, 6`h P.M., and approved up to four horizontal wells
within the unit, for the production of gas and associated hydrocarbons from the Niobrara
Formation.
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, April 13, 2015
2015-1016
Tuesday, April 14, 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
March 30, 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 conference during the week of March 30, 2015. Pursuant to Rule 511, if the matter
is uncontested, it may be approved without a hearing, based on review of the merits of the
verified application and supporting exhibits.
OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OLORADO
By ({,i l.“
Jill o nc Acting Secrets
Dated: March 5,2015
Colorado Oil and Gas Conservation Commission orneys for Applicant:
1120 Lincoln Street, Suite 801 Jamie L. Jost
Denver, Colorado 80203 Joseph M. Evers
Website: http://cogcc.state.co.us Jost&Shelton Energy Group, P.C.
Phone: (303) 894-2100 1675 Larimer Street, Suite 420
Fax: (303)894-2109 Denver, Colorado 80202
(720) 379-1812
jjost@jsenergygroup.com
jevers@jsenergygroup.com
Lease in Place : YES5 NO
Lease# Lr12310
Acres ,2
Keep for Hearing Outcome/Minutes
File-No Action Needed
2
(150400247)
BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
IN THE MATTER OF THE APPLICATION OF CAUSE NO.
BONANZA CREEK ENERGY OPERATING
COMPANY LLC, FOR AN ORDER TO POOL DOCKET NO.
ALL INTERESTS IN AN APPROXIMATE 640-
ACRE DRILLING AND SPACING UNIT
LOCATED IN SECTION 18, TOWNSHIP 7 RECE1V: )
NORTH, RANGE 62 WEST, 6TH P.M., FOR THE
DEVELOPMENT/OPERATION OF THE
NIOBRARA FORMATION, WATTENBERG
FIELD, WELD COUNTY, COLORADO �+WEL'DcD ' TY
COM�a� :7'�K NE{ IS
v.
APPLICATION
COMES NOW Bonanza Creek Energy Operating Company LLC (Operator
No. 8960) ("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 640-acre drilling
and spacing unit, for the development of the Niobrara Formation on the following
described lands:
Township 7 North, Range 62 West, 6th P.M.
Section 18: All
640-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 weilbore spacing units to be established. On August 8, 2011, Rule 318A was again
amended to, among other things, address the drilling of horizontal wells.
4. On May 29, 2012, the Commission entered Order No. 535-642,
which, among other things, established an approximate 640-acre drilling and spacing
unit for Section 18, Township 7 North, Range 62 West, 6th P.M., and approved up to
four (4) horizontal wells within said unit, for the production of gas and associated
hydrocarbons from the Niobrara Formation.
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 within the
drilling and spacing unit, including but not limited to, any non-consenting interests and
leased mineral interests, in the Application Lands in the Niobrara Formation underlying the
following approximate 640-acre drilling and spacing unit:
Township 7 North, Range 62 West, 6th P.M.
Section 18: All
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 any well to the Niobrara
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, including
leased mineral interest owners, within seven (7) days of the date hereof, as required by
Rule 507.b(2), 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(s), 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 drilling and spacing unit should be pooled for the orderly development of
the Niobrara 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 an approximate 640-acre drilling and spacing
unit established on Application Lands for the development 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 any well to 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
well(s) 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(s) drilled to
develop the Niobrara Formation in the drilling and spacing unit composing 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 April 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: February 12th, 2015.
Respectfully submitted:
BONANZA CREEK ENERGY
OPERATING COMPANY LLC
..i
Jamie L. Jost
Joseph M. Evers
Jost & Shelton Energy Group, P.C.
Attorneys for Applicant
1675 Larimer Street, Suite 420
Denver, Colorado 80202
(720) 379-1812
Applicant's Address:
Bonanza Creek Energy Operating
Company LLC
ATTN: Alexander Newell
410 17th Street, Suite 1400
Denver, CO 80202
VERIFICATION
STATE OF COLORADO )
) ss.
CITY AND COUNTY OF DENVER )
Alexander S. Newell, of lawful age, being first duly sworn upon oath, deposes and
says that he is a Landman II, Rocky Mountain Region for Bonanza Creek 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 an belief
12
Alexander S. Newell, RPL
Landman II, Rocky Mountain Region
Bonanza Creek Energy, Inc.
Subscribed and sworn to before me this I I .day of February 2015.
Witness my hand and official seal.
SALLY KROMER
[SEAL] NOTARY PUBLIC
STATE OF COLORADO
NOTARY ID#20144038926
MY COMMISSION EXPIRES OCTOBER 06.2018
My commission expires: I'o —CLa — Zoi IC
At.Q.....L. \ ....A---------,
Nary Pu
BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
IN THE MATTER OF THE APPLICATION OF CAUSE NO.
BONANZA CREEK ENERGY OPERATING
COMPANY LLC, FOR AN ORDER TO POOL DOCKET NO.
ALL INTERESTS IN AN APPROXIMATE 640-
ACRE DRILLING AND SPACING UNIT
LOCATED IN SECTION 18, TOWNSHIP 7
NORTH, RANGE 62 WEST, 6T" P.M., FOR THE
DEVELOPMENT/OPERATION OF THE
NIOBRARA FORMATION, WATTENBERG
FIELD, WELD COUNTY, COLORADO
AFFIDAVIT OF MAILING
STATE OF COLORADO )
)ss.
CITY AND COUNTY OF DENVER )
I, Jamie L. Jost, of lawful age, and being first duly sworn upon my oath,
state and declare that I am the attorney fp Bonanza Creek Energy Operating
Company LLC, and that on or before the (1 th day of February, 2015, 1 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.
(N ( - -7. ./1-
Jamie L. Jost
Subscribed and sworn to before me on this 11 `day of February, 2015.
Witness my hand and official seal.
My commission expires: 1ItL4. 2`1, 2 4$' .
RACHEL FLEMING
NOTARY PUBIJC
STATE OF COLORADO Note ublic
NOTARY ID 20144025048
MY COMMISSION EXPIRES JUNE 24,2018
Exhibit A
Interested Party List
Bonanza Creek Operating Company, LLC
410 17th Street, Suite 1400 Edwin F. Schillinger
Denver, CO 80202 (Deceased)
000C America, Inc. / 00GC America,LLC Margaret M. Moore
9805 Katy Freeway, Suite 500 (Deceased)
Houston,TX 77024
Mary Margaret Schillinger
Red Hawk Petroleum, LLC 3304 Prospect Ave.
4125 Blackhawk Plaza Circle, #201 La Crescents, CA 91214
Danville, CA 94506 Esther E. Clark
(Deceased)
RJ Resources Corp.
250 W. 55th Street, 14th Floor Kathleen Jae Clark
New York,NY 10019 (Address Unknown)
Lulu D. Bishop Paul Edward Clark
(Deceased) (Address Unknown)
John Morgan Wilson Richard Schillinger
701 Poydras Street, Suite 5000 (Deceased)
New Orleans, LA 70139
Ann Jenkins
408 Jennifer Circle
William Wayne Wilson
10311 North Cape Fear Lane Red Oak, IA 57747
Oro Valley, AZ 85737 Robert Schillinger
959 Palm Street
Arthur James Wilson, Ill
Jackson, MS 39212
3596 Dillards Hill Road
Union Hill, VA 24176 William H. Foss
Patricia Ann Shipp (Deceased)
2511 Mt. Vernon Lena Foss
Colorado Springs, CO 80909 (Deceased)
Suzanne L. Byerley G. Arlene Strate
2260 Gambrell Lane (Deceased)
Colorado Springs, CO 80919
Julia Morgan Wiedner Randall L. Strate
m
660 Park 217 112 Street SW, Apt. H-104
Annandale, MN 55302 Everett, WA 98204
Mary Foss Schillinger Randall L. Strate
(Deceased) 2525 231 'Ave. NE
Sammamish, WA 98074 Kensington, CA 94707
James A. Mechler Edward Neil Freeman
472 Nixon Creek Rd. 3132 Southwest Fairview Blvd.
Fredericksburg,TX 78624 Portland, OR 97205
Kathleen K. Mechler Arm Emrich
472 Nixon Creek Rd. (Deceased)
Fredericksburg,TX 78624
David Emrich
W.E. Freeman 100 Krameria St.
(Deceased) Denver, CO 80220
Genette Walker Gary J. Emrich
6477 S. Florence Way 1570 Locust St.
Englewood, CO 80111 Denver, CO 80220
Eleanor Hutchinson Donald F. Emrich
(Deceased) 1203 Pine Street
Philadelphia,PA 19107
Ann Emrich
810 S. Jackson St. School District RE-10
Denver, CO 80209 515 Leslie Street
Briggsdale, CO 80611
David Emrich
100 Krameria St. Anadarko E&P Onshore, LLC
Denver, CO 80220 1099 18th Street, Suite 1800
Denver, CO 80202
Gary J. Emrich
1570 Locust St. Dorothy E. Yellow Bird
Denver, CO 80220 3108 S. Centennial Dr.
Fort Collins, CO 80526
Donald F. Emrich
1203 Pine Street Anthony M. Cole
Philadelphia, PA 19107 36959 Weld County Road 80
Briggsdale, CO 80611
Edward Neil Freeman
3132 Southwest Fairview Blvd. Weld County, Colorado
Portland, OR 97205 1150 O Street
P.O. Box 758
Norman Keith Freeman Greeley, CO 80632
(Deceased)
Laurie Freeman Beverly May Pushkin
74 Norwood Ave. 1010 W. Magnolia Street
Fort Collins, CO 80521
Janis May Fonda
1010 W. Magnolia Street
Fort Collins, CO 80521
William J.Janssen, Trustee of the Adam J.
Mueller Trust u/a May 24, 2012 —f/k/a
Adam J. Mueller, Individually and as
Trustee of the Adam J. Mueller Revocable
Trust Agreement dated October 14, 1996
3040 North 60th Street
Lincoln,NE 68507
Walter E. Kohlhoff& Debra E. Kohlhoff
37043 Weld County Road 82
Briggsdale, CO 80611
Richard Noffsinger
5662 39th Ave. West
Seattle,WA 98199
Danny R. Thompson Jr., and Elizabeth R.
Thompson
39775 Hwy. 392
Briggsdale, CO 80611
J. Bernie Ellis and Marcia E. Ellis
3959 Hwy. 392
Briggsdale, CO 80611
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