HomeMy WebLinkAbout20150735.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. 150300095
FORMATION, WATTENBERG FIELD, WELD )
COUNTY, COLORADO ) TYPE: POOLING
NOTICE OF HEARING
TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN:
APPLICATION LANDS RECEIVED
FEB 1 1 2015
Township 7 North, Range 64 West, 61h P.M.
Section 28: WY2 E1/2 WELD COUNTY
COMMISSIONERS
APPLICATION
On December 23, 2014, 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 an approximate 160-acre drilling and spacing spacing unit
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
J-28HN well and the Mojack K-28HN well (API No. 05-123-39824) and (API No. 05-123-
39855).
APPLICABLE 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.
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, March 2, 2015
Tuesday, March 3, 2015
1 C_.For7 2-
2015-0735
Time: 9:00 a.m.
Place: Colorado Oil and Gas Conservation Commission
1120 Lincoln St., Suite 801
Denver, Colorado 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
February 13, 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 February 13, 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 0 -COLORADO
By i t,
J I orancy, Acting Se retary
Dated: January 29, 2015
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 & Tapley, 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 NO O
Lease#
Acres r l!)
Keep for Hearin Outcome/Minutes
File-No Action Needed
2
(150300095)
4 4
RECEIVED
BEFORE THE OIL AND GAS CONSERVATION COMMISSION DEC 2 3 2014
OF THE STATE OF COLORADO CooCC
IN THE MATTER OF THE APPLICATION OF )
BAYSWATER EXPLORATION & PRODUCTION, ) Cause No.
LLC FOR AN ORDER POOLING ALL )
INTERESTS IN THE NIOBRARA FORMATION ) Docket No. 150300095
IN A 160-ACRE WELLBORE SPACING UNIT )
LOCATED IN SECTION 28, TOWNSHIP 7 ) TypR�RftI tD
NORTH, RANGE 64 WEST, 6TH P.M., ) G '' VV GG
WATTENBERG FIELD, WELD COUNTY, ) DEC 3 Q 2'314WELD COLORADO. )
TY
APPLICATION OMMISSIIONF
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 an approximate 160-acre wellbore
spacing unit for the ME'/2 of Section 28, Township 7 North, Range 64 West, 6th P.M., Weld
County, Colorado for the development and production from the Niobrara Formation. 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 following lands ("Application
Lands"):
Township 7 North, Range 64 West, 6th P.M.
Section 28: W'/2E'/2
Weld County, Colorado.
A reference map of the Application Lands is attached hereto.
3. 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
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.
(00326534.1) 1
4. Applicant drilled the Mojack J-28HN well (API# 05-123-39824) and the Mojack
K-28HN well (API#05-123-39855), both spud on or about October 25, 2014. The above-described
horizontal wells are designed to test and produce gas and associated hydrocarbons from the
Niobrara Formation underlying the Application Lands.
5. 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.
6. 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 well proposals 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 J-28HN and Mojack K-28HN
. :,
wells. :
7. 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
J-28HN and Mojack K-28HN wells.
8. 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.
9. 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.
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 Mojack J-28HN and Mojack K-28HN wells 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 wells,
{00326534.1} 2
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 day of December, 2014
Respectfully submitted,
WELBORN SULLIVAN MECK&TOOLEY, P.C.
By:
Joseph C. P' rzchala
Chelsey J. Russell
Welborn Sullivan Meck &Tooley, P.C.
Attorneys for Applicant
1125 - 17th Street, Suite 2200
Denver, CO 80202
303-830-2500
jpierzchala(a.wsmtl aw.corn
crussell@wsmtlaw.com
Applicant's Address:
730 Seventeenth Street, Suite 610
Denver, CO 80202
Attn: Blake Leavitt, DJ Basin Landman
Phone: 303-893-2503
(00326534.1) 3
isor• Milk mini
•
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 I day of December, 2014 by Blake
Leavitt, DJ Basin Landman for Bayswater Exploration & Production, LLC.
Witness my hand and official seal.
y
7:/?O/-
G ✓/
♦ 4 : L'j
\\IOTA/?}, :�, Notary Public �, /
:m My Commission Expires: ,.J ,� 1/ du/
;tr PUBLIC •'
.. USP `••
(00326534.1) 4
A
1
Exhibit A
W1/2E1/2 SECTION 28-T7N-R64W
MOJACK J-28HN AND K-28HN WELLS
160.01 ACRES, MORE OR LESS
UNLEASED MINERAL OWNERS: LOCATION OF TRACT
OMB Royalties II, LLC NE/4 SECTION 28
410 17th Street, Suite 1150
Denver, CO 80202
BOB MCDONALD NE/4 SECTION 28
90360 Shadows Drive
Springfield, Oregon 97478
RICK MCDONALD NE/4 SECTION 28
90360 Shadows Drive
Springfield, Oregon 97478
NOLA KARI NE/4 SECTION 28
90360 Shadows Drive
Springfield, Oregon 97478
LEASED MINERAL OWNERS:
Weld County, Colorado Wallace Roy MacKenzie
P.O. Box 758 20188 Klyne Street
Greeley, CO 80631 Corona, CA 92881
Donna MacKenzie Williams Linda Pfannenstiel
Fountainhead Blvd #C 13931 East Marina Drive, Unit 602
Grand Junction, CO 81505 Aurora, CO 80014
Beverly A. Schell and Donald J. Schell La Verle Londen
2505 17th Ave. 5608 West Yucca Street
Greeley, CO 80631 Glendale, AZ 85304
Lois Steiner John Foster
5107 Shady Dell Trail 16 Grassmere
Knoxville, TN 37914 Horley, UK RH6 9UG
{00326534 I} 5
Raymond G. Dewey, Jr.
James Foster 1011 Cottonwood Place NW
5925 Taylor Draper Cove Albuquerque, NM 87107
Austin, TX 78759
David E. Dewey
Jennifer Foster P.O. Box 126
7501 Creston Lane Kersey, CO 80644
Austin, TX 78752
Mojack Interests, LLLP
Cary A. Kincade Monte C. Faulk
525 Jefferson St. 38375 CR 55
Pueblo, CO 81004 Eaton, CO 80615
Charles Dewey Warren Richard Hime
2405 Baystone Court 5 Briargate Place
Colorado Springs, CO 80921 Pueblo, CO 81001
Robbie Mae Warren Linda A, Mitchell
2319 West 18th Street 719 Paseo Dorado
Greeley, CO 80634 Pueblo West, CO 81007
Bessie M. Dewey Helen L. Cook
1326 Country Club Road 2124 Kechter Road
Fort Collins, CO 80524 Fort Collins, CO 80528
Fred James Warren Leland L. McDonald
4271 King Street 431 Topeka Avenue
Denver, CO 80211 Leavenworth, KS 66048
Laura Lee (Carney) Elliott Mary Gayle McDonald
619 South Patterson Ave. 2228 Dunbar Court
Springfield, MO 65802 Longmont, CO 80501
James Dean Carney Terry J. McDonald
9242 Grey Cliff Drive 83100 Bradford Road
Germantown, TN 38139 Creswell, OR 97426
Michael E. Potter Lori McDonald Petersen
5705 Westbound 40 Highway 2920 45th Avenue
Blue Springs, MO 64015 Greeley, CO 80634
Martha Brown Crouch Randy McDonald
115 Northview Placwe 3102 17th Avenue #3
Windsor, MO 65360 Greeley, CO 80631
(00326534.1} 6
Ted McDonald Vicky Mangan
851 W. Mulberry Street 5286 S. Jamaica Way
Louisville, CO 80027 Englewood, CO 80111
Darene (Maloit) Wisecup JLW Investment, LLC
3634 Coffee Lane 351 Glencoe Street
Santa Rosa, CA 95403 Denver, CO 80220
Paula J. Mitchell NG Resources, LLC
325 Brentwood 9896 Clairton Way
Pueblo, CO 81008 Highlands Ranch, CO 80126
Bert L. Dewey Old West Tours
230 Cheyenne 110 E. Center Street
Eaton, CO 80615 PMB 1989
Madison, SD 57042-2908
Tim McDonald
4554 Ivy Street Ronald Rich, Kevin Rich and Amy Rich
Springfield, OR 97478 28050 CR 53
Eaton, CO 80615
Nancy Kern
P.O. Box 496
Gilcrest, CO 80623
WORKING INTEREST OWNERS:
Bayswater Blenheim Holdings, LLC
Bayswater Exploration & Production, LLC Malu Lani Oil & Gas Company, Inc.
730 17th Street Street, Suite 610 P.O. Box 621128
Denver, CO 80202 Littleton, CO 80162
Lincoln Energy LLC Green Oil Energy, LLC
P.O. Box 6975 245 East 54th Street, Suite 5M
Denver, CO 80206 New York, NY 10022
WYOTEX Oil Company Aluma Energy, LLC
Box 280969 245 East 54tn Street, Suite 5M
Lakewood, CO 80228-0969 New York, NY 10022
Dios Del Mar Petroleum, LLC Shoreline Energy Holdings II, Inc.
P.O. Box 621128 500, 500 — 4th Avenue S.W.
Littleton, CO 80162 Calgary, Alberta Canada T2P 2V6
(00326534.1} 7
BEFORE THE OIL AND GAS CONSERVATION COMMISSION
OF THE STATE OF COLORADO
IN THE MATTER OF THE APPLICATION OF )
BAYSWATER EXPLORATION & PRODUCTION, )
LLC FOR AN ORDER POOLING ALL ) Cause No.
INTERESTS IN THE NIOBRARA FORMATION )
IN A 160-ACRE WELLBORE SPACING UNIT ) Docket No. 1503XXXXX
LOCATED IN SECTION 28, TOWNSHIP 7 )
NORTH, RANGE 64 WEST, 6TH P.M., ) Type: POOLING
WATTENBERG FIELD, WELD COUNTY, )
COLORADO. )
AFFIDAVIT OF MAILING
STATE OF COLORADO §
CITY AND COUNTY OF DENVER §
I, Joseph C. Pierzchala, of lawful age, and being first duly sworn upon my oath, state and
declare:
That I am the attorney for Bayswater Exploration & Production, LLC and that on or before
December 29, 2014, 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.
Josep . Pierzchala
Subscribed and sworn to before me DecemberaL, 2014.
Witness my hand and official seal.
cmniorta_i ,
JOAN E.HOOVER
NOTARY PUBUC Notary Public �� fp
STATE OF COLORADO My commission expires: ( t0
NOTARY ID 19944011557
MY COMMISSION EXPIRES AUGUST 17,2018
;0326534 1; 8
PROPOSED SPACING UNIT/APPLICATION LANDS
SECTION 28, TOWNSHIP 7 NORTH, RANGE 64 WEST, 6TH P.M.
SESc
SEC.21.N T.TN.. I S'E R.T,aw.7Y.. I SEC!;'.1 T.TIL. S_ ""..
R.6W7. I 21 I
460'BUFFER—.i.......
I —MOJACK J-28W4
LP 0+��
cN
HEWN &FC:tt'1N
WNWNwNE a.6W/.
SEC 28 T.1lL. SEC.2e.2.7N., c.28 Y.7u_ PROPOSED WELLBORE
Rww. a`6a'11— R.6J\T. SPACING ION
APPLICATION LANDS
SEWN °WIE SENT
Swt4W SEC.28.T.7N., EC. T.TN.. SEC Ta T.1N.
SEC Ze.T.TN.. +01. 48.1477, R64W.
486 W. 2^
14
N_V. !1 1TWS= NESE
!WSW _ _C.28.T.7N_ SEC.29,1,711.,
^uEC 28.T.7N.. SEC. T.7lL. S R.6iW.
R6aw. Rww, a.6iv.
N
SWSE &ESE
SWSW SESW C.28. .75. SEC 23.1.7N..
SEC 28.1.17.4. 3EC.28.T.7N.. R6J v' MAW.
RAM. R.S8W.
BH
Neu%
NWNW T I NINNE I «C.a7,
SEC.33.-.7N., I u WT SEC.33.TTi, R64W.
R5sW. I SEC.33.T.7lLI NWW.
,
R64W. I
WELL MOJACK J-28HN TO BE LOCATED 230' FNL AND 1788' FEL, SEC. 28,T7N, R64W
SURFACE LOCATION
GROUND ELEVATION=4899'
NAD83
LATITUDE=40.550680'
LONGITUDE=104.551627°
LANDING POINT LOCATION
NAD83
LATITUDE=40.550010°
LONGITUDE=104.552976'
BOTTOM HOLE LOCATION
NAD83
LATITUDE=40.538054'
LONGITUDE=104.553646°
LEGEND
• =PROPOSED WELL LP=LANDING POINT
♦ =LANDING POINT BH=BOTTOM HOLE
=BOTTOM HOLE 0 '000 2000
??E%.,r FIELU U?(E ;UEFA(( LO(A1iCx
02-05-14
SCALE:1'=2000'
DRAWING A't NW 1/4 NE 1/4,
12-09-14 SEC.28.T7N.R64W,6TH P.M.
87 ':ILLS,LLC•
D 4�p Qd[ er: CeD A WELD COUNTY,COLORADO
osier,C0;S�I KAD MDCA
PROPOSED SPACING UNIT/APPLICATION LANDS
SECTION 28, TOWNSHIP 7 NORTH, RANGE 64 WEST, 6TH P.M.
SESW
T.7N..T .21.
SEC.21.5 T.7N., ' R.WW. I .21.7 SEC,21.1.711.
SEC.21.7.711.. 11.64W.
RWVl, I 211 R64W.
460'BUFFER I MOJACK K-28HN
I NE11E
NNW' A LP'I SEC.29.T.711.,
NW NWNE R64W.
SEC.23.7.714. SEC.m T.TN.. PROPOSED WELLBORE
R 64Y:. R.6<W, SEC,29.T.7 1..
Y,'•v4W SPACING
APPUCATION ION LANDS
s=,6v —IiWNE` .1C
SEC.24 7.714., S_G 26.T.7 L'y7 25656
SNMN R64W. 64W O SEC.26.T.T7L
SEC.a.T.71L. I R.64W.
R.64W, 28
I
- - - -
14313W NESW 11W3c O I NC_C
_ SEC.2B. •T.7R.. S=CI24 T.7 I.' SEC.28.1.111,
S=C 26.T.TR. R.64W. R64W. R64W.
054W. N I
I
SWSE
SNSW SESW SEC,29.r.71.. SESE
64W SEC.25.T.711
SEC.29,T.711.. SEC,28.T.7,4.. R, . R64W
R64W. R.64W. BH
3 31 NENE
11VMW I SEC.33,T.IN I SEC.33,T.iN.,
SEC.33.1.714.. 66NW I R.WW. I N.64W.
0.643.'. SEC.13.7.711..
R.54W. I
WELL MOJACK K-28HN TO BE LOCATED 230' FNL AND 1770' FEL, SEC. 28,T7N, R64W
SURFACE LOCATION
GROUND ELEVATION=4900'
NAD83
LATITUDE=40.550681"
LONGITUDE=104.551562'
LANDING POINT LOCATION
NAD83
LATITUDE=40.550032°
LONGITUDE=104.551786'
BOTTOM HOLE LOCATION
NAD83
LATITUDE=40.538080'
LONGITUDE=104.552457'
N
LEGEND
• =PROPOSED WELL LP=LANDING POINT♦ =LANDING POINT BH=BOTTOM HOLE
*=BOTTOM HOLE 6 1060 2660
r. 02-05L14[ IU!23[[ [6:su6R: SCALE:1"=2000'
p� 060',1166 021E NW 114 NE 1/4,
3rr= 1. 12-09-14 SEC.28,T7N,R64W,6TH P.M.
• r.4an reL a�nxs,id:•
T535 NIT 6
Deer.02"221 KAD MDCA WELD COUNTY,COLORADO
Hello