. . IN THE MATTER OF THE INVESTIGATION TO TAKE MEASURES TO PREVENT THE WASTE OF OIL AND GAS IN THE "D" SAND OF THE JACKPOT FIELD, MORGAN AND WELD COUNTIES, COLORADO Cause No. 56 Order No. 56-3

REPORT OF THE COMMISSION

This cause came on for hearing before the Commission on November 19, 1959, at 10 A.M., in the Pine Room of the Albany Hotel, Denver, Colorado, after publication of Notice of Hearing as required by law; on the application of the Monsanto Chemical Company' for an order approving a certain Unit Agreement attached to said application as Exhibit "C", and further approving a proposed water injection project for the "D" sand underlying the Unit Area set forth in said Unit Agreement, and permitting the loca-tion of an additional water injection well off the established spacing pattern at any point in the N/2 SE/4 of Section 35. Township 7 North, Range 59 West, 6th P.M., Weld County, Colorado. This application was amended at the hearing to exclude as an injection well the No. 1 Deuter well located in the SE/4 SE/4 of Section 27: Township 7 North, Range 59 West, 6th P.M., Weld County: Colorado; and to delete the request for an additional in-put well off the established spacing pattern.

FINDINGS

The Commission finds as follows:

1. That due notice of the time., place and purpose of the hearing has been given in all respects as required by law.

2. That the Commission has jurisdiction over the subject matter embraced in said Notice, and of the parties interested therein, and jurisdiction to promulgate the hereinafter prescribed order.

3 That on February 4, 1955, the Commission issued its Order No. 56-1 in Cause No, 56, establishing forty-acre drilling and spacing units for the production of oil and gas from the "D" sand, common source of supply, and defining the area to be known as the jackpot Field which order was subsequently amended as to area. Subse-quent development, reveals that certain changes in the field limits of said Jackpot Field should be made as follows:

Area to be deleted Weld County

Township 7 North, Range 58 West, 6th P.M.

Section 31: W/2

Township 7 North, Range 59 West, 6th P.M.

Section 36: E/2 SE/4, NE/4, E/2 NW/4

Morgan County Township 6 North, Range 58 West, 6th P.M.

Section 6: W/2 Section 7: W/2 Section 18: W/2 Section 19: NW/4

Township 6 North, Range 59 West, 6th P.M. Section 1: E/2 E/2 Section 14: All Section 11: S/2 Section 23: N/2 Section 12: S/2, E/2 NE/4, Section 13: All Section 24: N/2

Area to be added Weld County

Township 7 North, Range 59 West, 6th PM,

Section 25: SW/4 SW/4 Section 26: S/2, S/2 N/2 Section 27: SE/4, S/2 NE/4, SE/4 NW/4, E/2 SW/4 Section 34: E/2, E/2 W/2.

Morgan County

Township 6 North, Range 59 West, 6th P.M. Section 3: E/2 E/2, NW/4 NE/4, NE/4 NW/4 Section 10: E/2 NE/4

4. That the provisions of Orders No. 56-1 and No. 56-2 should be extended to include the additional area as set forth above.

5. That the Unit Agreement presented by Applicant as Exhibit "C" is neces-sary to increase the ultimate recovery of oil and gas from the "D" sand, common source of supply of oil and gas underlying the Jackpot Unit Area as set forth in said Unit Agreement, and should therefore be approved as being in the public interest for conservation.

6. That the pressure maintenance program by water injection into the "D" sand underlying said Jackpot Unit Area, as presented by Applicant, will increase the ultimate recovery of oil and gas from said Jackpot Unit Area, and should therefore be approved as being in the public interest for conservation.

7. That avoidable waste of oil and gas will be prevented by the operations proposed by Applicant, and the correlative rights of all parties in the Jackpot Unit Area, as herein defined; will not be adversely affected and will be reasonably protected under such plan of operation and that in the interest of securing the greatest ultimate re-covery of oil and gas from said pool, the prevention of waste, and protection of cor-relative rights, this application should be granted. -- 2 --

ORDER

NOW, THEREFORE, IT IS ORDERED, that the following rules and regulations shall apply hereafter to the lands set forth in this order, in addition to other applicable rules and regulations and orders of the Commission, if any, heretofore adopted and not in conflict herewith:

Rule 1, The Jackpot Field, as defined in Order No. 56-2, is hereby redefined by the deletions and additions set forth in Finding 3 hereof, leaving the following des-cribed area in Weld and Morgan Counties, Colorado, as the field limits, and the pro-visions of Order No. 56-2 are hereby extended to include the additional area.

WELD COUNTY Township 7 North, Range 59 West, 6th P.M.

Section 25: SW/4 SW/4 Section 26: S/2 S/2 N/2 Section 27: SE/4 S/2 NE/4, E/2 SW/4., SE/4 NW/4 Section 34: E/2, E/2 W/2 Section 35: All Section 36: W/2 W/2, E/2 SW/4, W/2 SE/4

MORGAN COUNTY

Township 6 North, Range 59 West, 6th P.M.

Section 1: W/2, W/2 E/2 Section 2: All Section 3: E/2 E/2, NW/4 NE/4, NE/4 NW/4 Section 10: E/2 NE/4 Section 11; N/2 Section 12: NW/4, W/2 NE/4

Rule 2. The Unit Agreement, Jackpot Field, Weld and Morgan Counties, Colorado, providing for the unit development and operation of the "D" sand reservoir underlying the following described lands:

JACKPOT UNIT AREA

Township 7 North, Range 59 West, 6th P.M. Weld County

Section 26: E/2 SW/4 Section 27: E/2 SE/4 Section 34: E/2 Section 35: All

Township 6 North, Range 59 West, 6th P.M. Morgan County

Section 1; W/2 Section 2: All Section 11: N/2 N/2 herein referred to as the Jackpot Unit Area, is hereby approved.

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Rule 3. The pressure maintenance program by the injection of water into the "D" sand reservoir underlying the Jackpot Unit Area, as set forth in Applicant's Unit Agreement, is hereby approved, and Applicant is authorized to inject water into said reservoir through injection wells in such quantities as shall be reasonably determined by Applicant to best achieve the maximum recovery of oil without waste.

IT IS FURTHER ORDERED, that the Commission expressly reserves its right, after notice and hearing, to alter, amend or repeal any and/or all of the above orders, rules and regulations.

ORDERED this 19th day of November, 1959.

THE OIL AND GAS CONSERVATION COMMISSION OF THE STATE OF COLORADO

By Annabel Hogsett, Secretary

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