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HomeMy WebLinkAbout20144006.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. 1406-UP-153 FORMATION, WATTENBERG FIELD, WELD ) COUNTY, COLORADO ) NOTICE OF HEARING TO ALL INTERESTED PARTIES AND TO WHOM IT MAY CONCERN: RECEIVED APPLICATION LANDS MAY 2 7 2014 WELD COUNTY Township 6 North. Range 65 West, 6`" P.M. COMMISSIONERS Section 22: E1/2 E' Section 23: W'/z W% Section 26: NW%4 NW%4 Section 27: NE% NE%4 APPLICATION On April 17, 2014, Noble Energy, Inc. ("Noble" or "Applicant") filed a verified application pursuant to §34-60-116 C.R.S. for an order to: 1) Pool all interests, including leased mineral interests, in ar approximate 404-acre wellbore spacing unit for the development and operation of the Niobrara Formation. 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 Reliance E23-79HN (API No. 05-123-38868). 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 March 17, 1986, Order No. 410-3 allowed an additional well to be drilled on each 80-acre unit for production from the Codell and Niobrara. • On February 19, 1992, Order No. 407-87 (amended August 20, 1993) established 80-acre drilling and spacing units for the production of oil and/or gas from the Codell and Niobrara Formations underlying certain lands, with the permitted well locations in accordance with the provisions of Order No. 407-1. • On October 1, 2012, Order No. 407-722 pooled all interests in a spacing unit for the development and operation of the Niobrara Formation. Order No. 407-722 ot-ciw) 1.2)0/14 Page 1 of 3 (1406-UP-153) di L�oov� �--�OD� does not affect this Application. • On October 1, 2012, Order No. 407-723 pooled all interests in a spacing unit for the development and operation of the Niobrara Formation. Order No. 407-723 does not affect this Application. 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, June 16, 2014 Tuesday, June 17, 2014 Time: 9:00 a.m. Place: Rifle Branch Library Garfield County Public Library District 207 East Avenue Rifle, CO 81650 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 June 2, 2014. 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 June 2, 2014. 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 OF COLORADO By *Z Robert J. Frick, Secretary Dated: May 12, 2014 Colorado Oil and Gas Conservation Commission Attorneys for Noble: 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. Page 2 of 3 (1406-UP-153) 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 Page 3 of 3 (1406-UP-153) -r BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF CAUSE NO. NOBLE ENERGY, INC. FOR AN ORDER TO POOL ALL INTERESTS IN AN APPROXIMATE DOCKET NO. 404-ACRE WELLBORE SPACING UNIT ESTABLISHED FOR PORTIONS OF SECTIONS 22, 23, 26, AND 27 TOWNSHIP 6 RECEIVED NORTH, RANGE 65 WEST, 6TH P.M., FOR THE NIOBRARA FORMATION, WATTENBERG APR 2 5 2014 FIELD, WELD COUNTY, COLORADO WELD COUNTY APPLICATION COMMISSIONERS COMES NOW Noble Energy, Inc. ("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 404-acre Wellbore Spacing Unit for the drilling of the Reliance E23-79HN well (API No. 05-123-38868) ("Well") for the development of the Niobrara Formation on the following described lands: Township 6 North, Range 65 West, 6th P.M. Section 22: E%E% Section 23: W%W% Section 26: NWYNWY Section 27: NEYNE' 404 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 March 17, 1986, the Commission entered Order No. 410-3, which among other things, allows an additional well to be drilled at the option of the operator on each 80-acre unit for production from the Codell and Niobrara. 4. On February 19, 1992, the Commission entered Order No. 407-87 (amended August 20, 1993), which among other things, established 80-acre drilling and spacing units for the production of oil and/or gas from the Niobrara Formation underlying certain lands, with the permitted well locations in accordance with the provisions of Order No. 407-1 and allowed downhole commingling of production from the Codell and Niobrara Formations. 5. 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 the drilling of horizontal wells. 6. On October 1, 2012, the Commission entered Order No. 407-722, which among other things, approved the request for an order to pool all interests in an approximate 480-acre designated wellbore spacing unit consisting of certain lands in Sections 27 and 28, Township 6 North, Range 65 West, 6th P.M., to accommodate the drilling of the Five M E28-67HN Well, for the development and operation of the Niobrara Formation. 7. On October 1, 2012, the Commission entered Order No. 407-723, which among other things, approved the request for an order to pool all interests in an approximate 480-acre designated wellbore spacing unit consisting of certain lands in Sections 21, 22, 27 and 28, Township 6 North, Range 65 West, 6th P.M., to accommodate the drilling of the Five M E28-69HN Well, for the development and operation of the Niobrara Formation. Order No. 407-723 does not affect the Application Lands. 8. Applicant designated the approximate 404-acre Wellbore Spacing Unit, as defined below, for the production of oil, gas, and associated hydrocarbons from the Niobrara Formation pursuant to Rule 318A. and notified the appropriate parties under Rule 318A. 9. 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 Wellbore Spacing Unit, including but not limited to, any nonconsenting interests and leased mineral interests, in the Application Lands in the Niobrara Formation underlying the following approximate 404-acre Wellbore Spacing Unit: Township 6 North, Range 65 West, 6th P.M. Section 22: EY2E1/2 Section 23: WV2W'/2 Section 26 : NWYNW'/o Section 27: NE'4NE'4 (hereafter"Wellbore Spacing Unit"). 10. 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 Reliance E23-79HN Well (API No. 05-123-38868) to the Niobrara Formation on the Application Lands. 11. 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 (30) 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. 12. That in order to prevent waste and to protect correlative rights, all interests in each of the Wellbore Spacing Unit should be pooled for the orderly development of the Niobrara Formation, including any nonconsenting 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 404-acre Wellbore 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 the Reliance E23-79HN Well (API No. 05-123-38868)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 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 Niobrara 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 June 2014, 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: April , 2014. Respectfully submitted: NOBLE E Y, INS. By: 00/ Cy-( amie 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: Noble Energy, Inc. ATTN: Kelli Piatkowski 1625 Broadway, Suite 2200 Denver, CO 80202 . 1 VERIFICATION STATE OF COLORADO ) ) ss. CITY AND COUNTY OF DENVER ) Julie T. Jenkins, of lawful age, being first duly sworn upon oath, deposes and says that she is Attorney-In-Fact for Noble Energy, Inc., and that she has read the foregoing Application and that the matters therein contained are true to the best of her knowledge, information and belief. ,r I Juli: . Jenki s Wile Atto ey-In-Fa Nob e Energy, Inc. Subscribed and sworn to before me this Jday of April 2014. Witness my hand and official seal. [SEAL] My commission expires: Q /30/20/ LLOE'OE 11bdY S381dX3 NO15S11%100 AIN ZB£4L04600Z#01 AUYiON 00V80100 30 31`IS 011811d ANHiON NM089 N 311rIr BEFORE THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO IN THE MATTER OF THE APPLICATION OF CAUSE NO. NOBLE ENERGY, INC. FOR AN ORDER TO POOL ALL INTERESTS IN AN APPROXIMATE DOCKET NO. 404-ACRE WELLBORE SPACING UNIT ESTABLISHED FOR PORTIONS OF SECTIONS 22, 23, 26, AND 27 TOWNSHIP 6 NORTH, RANGE 65 WEST, 6TH P.M., FOR THE NIOBRARA FORMATION, WATTENBERG FIELD, WELD COUNTY, COLORADO AFFIDAVIT OF MAILING STATE OF COLORADO )ss. CITY AND COUNTY OF DENVER ) I, Jamie Jost of lawful age, and being first duly sworn upon my oath, state and declare that I am the attorney for Noble Energy Inc., and that on or before the 62Ylgay of April, 2014, 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. ..1;66e; Jamie L. Jost Subscribed and sworn to before me on this/ day of April, 2014. Witness my hand and official seal. My commission expires: th1-414 Nota ublic DANIELLE E CARROLL I Notary Public State of Colorado Notary ID 20134059312 My Commission Expires Sep 18,2017 Exhibit A Reliance E23-79HN Bickling Farms Limited Partnership, Hungenberg McKee Farms, LLLP LLLP 976 N. Balsam Ave. 21586 HWY 392 Greeley, CO 80631 Greeley, CO 80631 J. Cleo Thompson and James Cleo Buffalo Royalties, LLC Thompson, Jr., a partnership 3 Hermann Museum Circle Drive, Suite 325 N. St. Paul, Suite 4300 5312 Dallas, TX 75201 Houston, TX 77004 Jack L. Schreiber Donald E. Hungenberg 2155 Glenfair Drive 976 N. Balsam Ave. Greeley, CO 80631 Greeley, CO 80631 James Spencer Bickling Donald W. Boyd, Trustee of the clo Sharon F. Heinz Donald W. Boyd Revocable Trust dated 10450 Brighton Road June 21,2012 Henderson, CO 80640 1409 Sublette Laramie,WY 82070 Janice Louise Wojciak 2410 Fleet Street Dorothy Bickling Missoula, MT 59808 19 Patriot Way Lowell, MA 01854 John Daniel Bickling P.O. Box 187 Frank and Carol Lauinger 2006 Trust Ault, CO 80610 14400 Santa Lucia Road Atascadero, CA 93422 John R. Duncan 10025 Hooker Street Frank M.Wilson, Ill and Deborah Z. Westminster, CO 80031 Wilson, Trustees of the Wilson Family 2010 Trust dated April 2, 2010 Kelli Vaughn 1187 Coast Village Road, #1-496 4199 County Road D Santa Barbara, CA 93108 Joes, CO 80822 Harlan Robert Stoffregen Lynette A. Belfiore 3301 70th Ave 4615 W. 21st Street Circle Greeley, CO 80634 Greeley, CO 80634 Herbert Bickling McMahon Energy Partners, LP 2308 Tori Ct., 4545 S. Monaco St. No. 144 P.O. Box 460 Denver, CO 80237 Johnstown, CO 80534 Melvin Bickling Herbert C. Bickling, Jr. 6690 Lakota Ct. 328 Peoples Way Loveland, CO 80534 Hockessin, DE 19707 Michael B. Hungenberg The New Cache La Poudre Irrigating 32500 WCR 41 Company Greeley, CO 80631 P.O. Box 104 Lucerne, CO 80646 Morning Fresh Farms 15121 WCR 32 Thomas Mathew Ryan, as sole Trustee Platteville, CO 80651 for the Ryan Farm Trust dated December 16, 2002 Paul D. Hungenberg 9080 Illahee Road N.E. 32500 WCR 41 Bremerton,WA 98310 Greeley, CO 80631 Tofte Energy Partners, Limited PDC Energy, Inc. Pamership 1775 Sherman Street, Suite 3000 P.O. Box 4221 Denver, CO 80203 Casper, WY 82604 Rebekah Jane Bickling W. Richard McKee c/o Sharon F. Heinz 32202 WCR 45 10450 Brighton Road Greeley, CO 80631 Henderson, CO 80640 WAE Mitchell and Sylvia Mitchell, Joint Robert G. Feit and Virginia Ann Felt, Tenants Joint Tenants 1025 9th Avenue 1534 64th Avenue Greeley, CO 80631 Greeley, CO 80634 Weld County, Colorado Sharon F. Heinz c/o Board of County Commissioners 10450 Brighton Road Weld County Centennial Center Henderson, CO 80640 915 10th Street Greeley, CO 80631 Shirley Ann Ulrich 21474 WRC 66 Greeley, CO 80631 Susan Adler-Tallarico Revocable Trust PO Box 2326 Montauk, NY 11954 Susan Bickling Omlor 926 1/2 N Orange St Media, PA 19063 Synergy Resources Corporation 20203 HWY 60 Platteville, CO 80651 The Joyce W. Koeneman Trust established November 13, 2006 3333 University Boulevard, W#1101 Kensington, MD 70895 CLERK TO THE BOARD PHONE: (970) 336-7215, EXT. 5226 1861 FAX: (970) 352-0242 1150 O STREET P.O. BOX 758 GREELEY, COLORADO 80632 2-7. 0 O U 1\1T_Y TO: Stephanie Arries FROM: Karla Ford DATE: April 28, 2014 RE: COGCC Application - Noble Energy Inc. LEGAL: E2 E2 S22, T6N, R65W W2 W2 S23, T6N, R65W NW4 NW4, S26, T6N, R65W NE4 NE4, S27, T6N, R65W We currently show that we have a lease for 1.53 acres in NE1/4 of Section 22, Township 6 North, Range 65 West. The Lease file is LE0006. Per Garbriel Findlay, Land Negotiator for Noble, told Weld County that Noble will not pool a government entity. We do have a lease. This was dated 3/2014. Revd 4-a 5-/4 Lease in Place: YES® NO O Lease# 00(..D Acres Keep for Hearing Outcome/Minutes File-No Action Needed NE LF., 5 a, 1-4 IV' 12to5vt-/ Hello