RECORD OF PROCEEDINGS

Transcription

1 July 20, 2015 The Colorado Oil and Gas Conservation Commission ( COGCC ) met on July 20, 2015, at the COGCC Denver Office, 1120 Lincoln St., Suite 801, Denver, CO Roll Call of Commissioners: Present: Tom Compton Andrew Spielman Richard D. Alward Mike King Bill Hawkins Deann Craig Larry Wolk Tommy Holton John Benton Matt Lepore Jake Matter Julie Murphy Chairman Vice-Chairman Commissioner Commissioner Commissioner Commissioner Commissioner (arrived at 9:10am) Commissioner Commissioner Director Assistant Attorney General Secretary Approval of Proceedings: Commissioner Holton made a motion to approve the minutes from the April 13, 2015 hearing. The motion was seconded by Commissioner Benton and approved unanimously. DNR Executive Director s Report: DNR Executive Director King noted the following: 1) Thanks to Commissioners. All who were up for re-appointment were re-appointed. Thank you for your efforts. 2) The second draft of Colorado s water plan has been released, and was almost universally well received. Draft document out for another month getting public comment. 3) Congratulations to Madeleine West, the DNR s new Assistant Director for Parks, Wildlife, Lands and Forests. Director s Report: COGCC Director Lepore noted the following: Page 1 of 76

2 1) Outreach efforts on the Governor s task force rulemaking begin this Wednesday. Goal is how to make the process between local governments and operators more efficient and effective. We held one meeting with industry representatives on July 7 and now have meetings scheduled with the City and County of Broomfield, Boulder, Boulder County, Lafayette, Superior, Louisville, and other. Brighton next, then Garfield County, will also meet with WCC and GVCA and West Slope COGA. Then on Wednesday the 3 rd in Weld County, on the 6 th in La Plata County and hopefully San Juan Citizens Alliance. Other environmental groups on August 11 schedule is posted on the website. 2) Another recommendation from the task force was for the COGCC to hire 12 more staff, we will be hiring inspectors, hearing officers, engineering and environmental staff. In addition, we are adding offices. 3) June was a good month for 2s and 2As still holding steady at 33 rigs in the state. About 50% of where we were 9 months ago. 74% of all well starts are horizontal. 4) The Commission will likely schedule a stand-alone rulemaking hearing in November of this year the 16 th and/or 17 th. Commissioner Comments: None. Public Comments: Harold Rollins: Here to discuss the URUs in Moffat County. Only one well has been drilled and is producing. My concern is we need some rules and regulations as to how these areas will be developed. Instead, we are kicking the can down the road. As a royalty owner, I would like to be treated equally. We need the oil companies and they need us. Jeanine Page: Mineral owner in Weld County. Mineral owners are trying to determine the impact of a pooling order and royalty owners would appreciate more information on their properties. Thank you to the Commission and Extraction and Beatty Wozniak for their time. Amanda Harper: Presenting nine issues for the Commission to consider. Why were 12 wells approved only 300 feet from a conservation easement? Have you studied the impact on wildlife of such an industrial site placed on Boulder County s protected area? I would like to ask for a meeting with everyone concerned on the approval of the 12 Rainer wells. There is no support to contest these wells from Weld County. What is the process for filing for this process apart from the LGD process? I didn t get a response from anyone on the 65 page document sent on June 2, When is the second response on the Encana wells? I am requesting another public comment period. We need an update on their industrial sites. Why does Encana get an unlimited amount of times to re-submit to the COGCC to get their sites approved while 13 of 15 neighbors are against their approval? Why doesn t Encana have a timeline for communication with the community? Why won t the COGCC take responsibility for communication with the community? We need answers about changes in the applications and why these wells have not been withdrawn from the process. I would like a response from each Page 2 of 76

3 Commissioner, do you think that the rights of mineral owners supersede those of surface owners? Do you believe I am an equal stakeholder in the situation I am in with Mr. Rainer and Mr. Rasmussen? We have not heard back from Encana on how they plan to compensate us. I would like to say with regards to the complainant rulemaking, many people may be harmed by the imposition of a large number of wells, once the price of oil goes back up. All communities should be protected by at least a ½ mile radius. How many people in Weld County have had their surface rights damaged by mineral rights? Consent Agenda: Commissioner Holton and Secretary Murphy clarified that Docket No has late language agreed upon by the BLM and Anadarko and that should be the order approved not the one in Commissioners portfolios. In addition, Docket No should be included on the consent agenda with Group H rather than as part of the general hearing. Commissioner Benton made a motion that the consent agenda should include A-Z, and moved for approval of all items as recommended by Staff, as follows: Group A- Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in four approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell and Niobrara Formations, effective as of the date of the Application. Township 6 North, Range 67 West, 6th P.M. Section 32: S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 400-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Page 3 of 76

4 Township 6 North, Range 67 West, 6th P.M. Section 32: S½ N½, N½ S½ Section 33: SW¼ NW¼, NW¼ SW¼ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 640-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 67 West, 6th P.M. Section 32: S½ N½, N½ S½ Section 33: S½ N½, N½ S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 440-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Township 6 North, Range 67 West, 6th P.M. Section 32: S½ N½, N½ SW¼, NW¼ SE¼ Section 33: S½ N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for Page 4 of 76

5 the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 67 West, 6th P.M. Section 32: S½ N½ Section 33: S½ N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Township 6 North, Range 67 West, 6th P.M. Section 32: N½ Section 33: N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 200-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Group B- Township 6 North, Range 67 West, 6th P.M. Section 32: N½ S½ Section 33: NW¼ SW¼ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Niobrara Formation. Page 5 of 76

6 Township 6 North, Range 67 West, 6th P.M. Section 32: N½N½ Section 33: N½N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell Formation. Township 6 North, Range 67 West, 6th P.M. Section 32: N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell Formation. Township 6 North, Range 67 West, 6th P.M. Section 32: N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 6 North, Range 67 West, 6th P.M. Section 28: S½S½ Section 29: S½S½ Section 32: N½N½ Section 33: N½N½ Page 6 of 76

7 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Township 6 North, Range 67 West, 6th P.M. Section 29: S½S½ Section 32: N½N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 5 North, Range 67 West, 6th P.M. Section 4: Lot 2 (a/d/a N½N½) Township 6 North, Range 67 West, 6th P.M. Section 33: S½S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 5 North, Range 67 West, 6th P.M. Section 4: Lots 1 and 2 (a/d/a N½) Group C- Page 7 of 76

8 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 200-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 6 North, Range 67 West, 6th P.M. Section 32: SE¼SE¼ Section 33: S½S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Township 6 North, Range 67 West, 6th P.M. Section 33: All Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 5 North, Range 67 West, 6th P.M. Section 4: Lot 2 (a/d/a N½N½) Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC Page 8 of 76

9 all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Township 6 North, Range 67 West, 6th P.M. Section 33: All Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC Request for an order to among other things: 1. Establish an approximate 1,280-acre drilling and spacing unit for Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations; 2. Approve up to 25 horizontal wells within the proposed unit; 3. Pool all interests in the approximate 1,280-acre drilling and spacing unit proposed for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 67 West, 6th P.M. Section 8: All Section 9: All Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 65 West, 6th P.M. Section 18: S½ SW¼ Section 19: N½ NW¼ Township 7 North, Range 66 West, 6th P.M. Section 13: S½ SE¼ Section 24: N½ NE¼ Docket No , Wattenberg Field, Weld County Page 9 of 76

10 Extraction Oil & Gas, LLC all interests in nine approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 65 West, 6th P.M. Section 19: NW¼ Township 7 North, Range 66 West, 6th P.M. Section 24: NE¼ Wellbore Spacing Unit ( WSU ) Nos. 1-9 Group D- Docket No , Wattenberg Field, Weld County Bill Barrett Corporation (Operator No ) Jillian Fulcher all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, effective as of the earlier of the date of the Application, for the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 62 West, 6th P.M. Section 15: All Section 22: All Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in an approximate 400-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Township 1 North, Range 65 West, 6th P.M. Section 5: SW¼ SE¼, SE¼ SW¼ Section 8: W½ E½, E½ W½ Page 10 of 76

11 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC Request for an order to among other things: 1) Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Township 6 North, Range 67 West, 6th P.M. Section 32: S½ S½ Township 5 North, Range 67 West, 6th P.M. Section 5: N½ N½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate 320-acre designated horizontal wellbore spacing units, established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 65 West, 6th P.M. Section 19: S½ NW¼, N½ SW¼ Township 7 North, Range 66 West, 6th P.M. Section 24: S½ NE¼, N½ SE¼ Wellbore Spacing Unit ( WSU ) Nos. 1-3 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in nine approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 65 West, 6th P.M. Section 19: S½ NW¼, N½ SW¼ Township 7 North, Page 11 of 76

12 Range 66 West, 6th P.M. Section 24: S½ NE¼, N½ SE¼ Wellbore Spacing Unit ( WSU ) Nos. 1-3 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 320-acre designated horizontal wellbore spacing units, established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 65 West, 6th P.M. Section 19: S½ SW¼ Section 30: N½ NW¼ Township 7 North, Range 66 West, 6th P.M. Section 24: S½ SE¼ Section 25: N½ NE¼ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Group E- Docket No UP-189, Wattenberg Field, Adams County Ward Petroleum Corporation J. Michael Morgan & Justin M Plaskov Request for an order to among other things: 1) Establish an approximate 640-acre drilling and spacing unit for horizontal well development to the Codell and Niobrara Formations. 2) Approve up to 12 horizontal wells within the unit. Township 1 South, Range 67 West, 6th P.M. Section 15: All Group F- Docket No , Wattenberg Field, Weld County Ward Petroleum Corporation (Operator No ) J. Michael Morgan & Justin M. Plaskov Request for an order to among other things: 1) Establish an approximate 320-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations; 2) Approve up to 11 horizontal wells within the unit. Page 12 of 76

13 Township 1 South, Range 67 West, 6th P.M. Section 14: All Group G- Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 17: W½W½ Section 18: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 17: W½W½ Section 18: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 240-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 17: W½NW¼ Section 18: E½E½ Page 13 of 76

14 Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Page 14 of 76

15 all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) all interests in an approximate 240-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 18: W½SE¼, NE¼ Group H- Docket No , Buck Peak Field, Routt County SWN Production Company, LLC (Operator No ) Michael T. Jewell Request for an order to among other things: 1) Establish an approximate acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons Page 15 of 76

16 from the Niobrara Formation; 2) Approve up to three horizontal wells and one vertical well within the unit. Township 6 North, Range 89 West, 6th P.M. Section 29: S/2 of Lot 9 E/2, SW/4 of Lot 15 W/2, NE/4 of Lot 16 Section 32: NW/4 of Lot 1 Lot 2 E/2 of Lot 3 N/2 of Lot 7 Group I- Docket No , Unnamed Field, Weld County Extraction Oil & Gas, LLC Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 10 North, Range 66 West, 6th P.M. Section 7: All Section 18: All Docket No , Unnamed Field, Weld County Extraction Oil & Gas, LLC Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 10 North, Range 67 West, 6th P.M. Section 16: All Section 21: All Docket No , Hereford Field, Weld County Extraction Oil & Gas, LLC Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling and spacing unit established for the Application Page 16 of 76

17 Lands, for the development and operation of the Codell Formation. Township 12 North, Range 64 West, 6th P.M. Section 14: Lots 1-4 (lying and being within the State of Colorado) Section 23: All Section 26: All Docket No , Hereford Field, Weld County Extraction Oil & Gas, LLC Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 12 North, Range 64 West, 6th P.M. Section 15: Lots 1-4 (lying and being within the State of Colorado) Section 22: All Section 27: All Docket No , Hereford Field, Weld County Extraction Oil & Gas, LLC Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 11 North, Range 62 West, 6th P.M. Section 1: All Township 12 North, Range 62 West, 6th P.M. Section 36: All Group J- Docket No , Unnamed Field, Jackson County EE3 LLC (Operator No ) Request for an order to among other things: Allow 300 foot setbacks as to the unit boundaries of the Surprise Federal Exploratory Unit, composed of the Page 17 of 76

18 Application Lands, for the production of oil, gas, and associated hydrocarbons from the Niobrara Formation. Township 6 North, Range 80 West, 6th P.M. Section 1: All Section 2: All Section 3: All Section 4: All Section 8: All Section 9: All Section 10: All Section 11: All Section 12: All Section 13: All Section 14: All Section 15: All Section 16: All Section 17: All Section 18: All Section 19: All Section 20: All Section 21: All Section 22: All Section 23: All Section 26: All Section 27: All Section 28: All Section 29: All Section 30: All Section 31: All Section 32: All Section 33: All Section 34: All Section 35: All Township 7 North, Range 79 West, 6th P.M. Section 30: All Section 31: All Township 7 North, Range 79 West, 6th P.M. Section 25: All Section 26: All Section 27: All Section 34: All Section 35: All Section 36: All Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in an approximate 640-acre designated horizontal wellbore spacing unit, established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Township 2 North, Range 67 West, 6th P.M. Section 23: E½ W½, W½ E½ Section 26: E½ W½, W½ E½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Page 18 of 76

19 Township 7 North, Range 66 West, 6th P.M. Section 8: N½ S½ Section 9: N½ S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in five approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 66 West, 6th P.M. Section 8: S½ Section 9: S½ Wellbore Spacing Unit ( WSU ) Nos. 1 through 5 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Township 7 North, Range 66 West, 6th P.M. Section 8: S½ S½ Section 9: S½ S½ Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 66 West, 6th P.M. Section 8: S½ S½ Section 9: S½ S½ Section 16: Page 19 of 76

20 N½ N½ Section 17: N½ N½ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in two approximate 560-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 67 West, 6th P.M. Section 21: S½ S½ Section 22: S½ SW¼, SW¼ SE¼ Section 27: N½ NW¼, NW¼ NE¼ Section 28: N½ N½ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate 280-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 67 West, 6th P.M. Section 27: N½ NW¼, NW¼ NE¼ Section 28: N½ N½ Wellbore Spacing Unit ( WSU ) Nos. 1-3 Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate 560-acre designated horizontal wellbore spacing units established for the Application Lands for the Page 20 of 76

21 development and operation of the Codell and Niobrara Formations. Township 7 North, Range 67 West, 6th P.M. Section 27: NW¼, W½ NE¼ Section 28: N½ Wellbore Spacing Unit ( WSU ) Nos. 1-3 Group K- Docket No , Unnamed Field, Weld County Caerus WashCo LLC (Operator No ) David Neslin & Greg Nibert, Jr. Request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations; and 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Township 7 North, Range 59 West, 6th P.M. Section 4: All Section 9: All Docket No , Unnamed Field, Weld County Caerus WashCo LLC (Operator No ) David Neslin & Greg Nibert, Jr. Request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation Township 6 North, Range 61 West, 6th P.M. Section 3: All Section 10: All Group L- Docket No , Unnamed Field, Weld County Caerus WashCo LLC Page 21 of 76

22 (Operator No ) David Neslin & Greg Nibert, Jr. Request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Township 6 North, Range 60 West, 6th P.M. Section 3: All Section 10: All Docket No , Unnamed Field, Weld County Caerus WashCo LLC (Operator No ) David Neslin & Greg Nibert, Jr. Request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Township 7 North, Range 61 West, 6th P.M. Section 27: All Section 28: All Group M- Docket No , Unnamed Field, Weld County Carrizo Oil and Gas, Inc. (Operator No ) Elizabeth Y. Spencer & Kurt V. Tyler all interests in an approximate 640-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Page 22 of 76

23 Township 10 North, Range 59 West, 6th P.M. Section 34: All Docket No , Unnamed Field, Weld County Carrizo Oil and Gas, Inc. (Operator No ) Elizabeth Y. Spencer & Kurt V. Tyler all interests in an approximate 640-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 9 North, Range 59 West, 6th P.M. Section 3: All Group N- Docket No , Unnamed Field, Weld County Anadarko E&P Onshore LLC (Operator No. 2800) Request for an order to among other things: 1) Establish an approximate 1, acre drilling and spacing unit for the production of oil, gas, and associated hydrocarbons from the Niobrara Formation; 2) Approve the drilling of up to seven horizontal wells within the proposed unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; and 3) Approve an additional five horizontal wells, for a total of six horizontal wells within the existing drilling and spacing unit established by Order No for production of oil, gas, and associated hydrocarbons from the Codell Formation. Township 12 North, Range 64 West, 6th P.M. Section 35: All Township 11 North, Range 64 West, 6th P.M. Section 2: All Docket No , Hereford Field, Weld County Anadarko E&P Onshore LLC (Operator No. 2800) Page 23 of 76

24 Request for an order to among other things: 1) Authorize an additional six horizontal wells, for a total of seven horizontal wells, in an approximate 1, acre drilling and spacing unit for the production of oil, gas associated hydrocarbons from the Niobrara Formation; and 2) Authorize an additional five horizontal wells, for a total of six horizontal wells, in an approximate 1, acre drilling and spacing unit for production from the Codell Formation. Township 12 North, Range 64 West, 6th P.M. Section 16: Lots 1-4 (lying and being within the State of Colorado) Section 21: All Section 28: All Docket No , Unnamed Field, Weld County Anadarko E&P Onshore LLC (Operator No. 2800) Request for an order to among other things: 1) Establish an approximate 1, acre drilling and spacing unit for the Application Lands for production of oil, gas and associated hydrocarbons from the Niobrara Formation; 2) Authorize the drilling of up to seven horizontal wells within the proposed unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; and 3) Authorize an additional five horizontal wells, for a total of six horizontal wells within an approximate 1, acre drilling and spacing unit established by Order No for production of oil, gas, and associated hydrocarbons from the Codell Formation. Township 11 North, Range 64 West, 6th P.M. Section 4: All Township 12 North, Range 64 West, 6th P.M. Section 33: All Docket No , Wattenberg Field, Weld County Extraction Oil & Gas, LLC all interests in three approximate 640-acre designated horizontal wellbore spacing units Page 24 of 76

25 established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Township 7 North, Range 66 West, 6th P.M. Section 8: S½ N½, N½ S½ Section 9: S½ N½, N½ S½ Wellbore Spacing Unit ( WSU ) Nos. 1 through 3 Docket No , Wattenberg Field, Weld County Bill Barrett Corporation (Operator No ) all interests in two approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Niobrara Formation. Township 6 North, Range 62 West, 6th P.M. Section 15: W½W½ Section 16: E½E½ Section 21: E½E½ Section 22: W½W½ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Group O- Docket No , Hamilton Creek Field, San Miguel County CCI Paradox Upstream LLC (Operator No ) Request for an order to among other things: 1) Establish an approximate acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Hermosa Group Formation; 2) Approve one directional well within the unit. Township 44 North, Range 15 West, N.M.P.M. Section 1: Lot 1 (approximately acres) Township 45 North, Range 14 West, N.M.P.M. Section 31: Lot 4 (approximately acres) Township 45 North, Range 15 West, N.M.P.M. Section 36: SE¼ SE¼ Township 44 North, Range 14 West, N.M.P.M. Section 6: Lot 4 (approximately acres) Page 25 of 76

26 Docket No , Wattenberg Field, Larimer & Weld Counties Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in five approximate 240-acre to 480- acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 5 North, Range 68 West, 6th P.M. Section 11: NE¼NE¼ Section 12: N½N½ Township 5 North, Range 67 West, 6th P.M. Section 7: NW¼NW¼ Wellbore Spacing Unit ( WSU ) No. 1 Township 5 North, Range 68 West, 6th P.M. Section 11: SE¼NE¼, NE¼SE¼ Section 12: N½S½, S½N½ Township 5 North, Range 67 West, 6th P.M. Section 7: NW¼SW¼, SW¼NW¼ WSU No. 2 Township 5 North, Range 68 West, 6th P.M. Section 11: E½NE¼ Section 12: N½ Township 5 North, Range 67 West, 6th P.M. Section 7: W½NW¼ WSU Nos. 3 and 4 Township 5 North, Range 68 West, 6th P.M. Section 1: S½S½ Section 2: SE¼SE¼ Section 11: NE¼NE¼ Section 12: N½N½ Township 5 North, Range 67 West, 6th P.M. Section 6: SW¼SW¼ Section 7: NW¼NW¼ WSU No. 5 Docket No , Wattenberg Field, Larimer & Weld Counties Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in three approximate 480-acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Township 5 North, Range 68 West, 6th P.M. Section 11: NE¼SE¼, SE¼NE¼ Section 12: N½S½, S½N½ Township 5 North, Range 67 West, 6th P.M. Section 7: NW¼SW¼, SW¼NW¼ Page 26 of 76

27 Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Township 5 North, Range 68 West, 6th P.M. Section 11: E½SE¼ Section 12: S½ Township 5 North, Range 67 West, 6th P.M. Section 7: W½SW¼ WSU No. 3 Docket No , Unnamed Field, Garfield County Mustang Creek Operating, LLC (Operator No ) Request for an order to among other things: 1) Establish an approximate 160-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Lansing, Marmaton, Cherokee, Atoka, Morrow (Pennsylvanian age), St. Louis, Spergen, Warsaw, Harrison, Gilmore City (Mississippian age), Arbuckle and Reagan Formations. Township 13 South, Range 59 West, 6th P.M. Section 22: SE¼SE¼ Section 23: SW¼SW¼ Section 26: NW¼NW¼ Section 27: NE¼NE¼ Group P- Docket No , Unnamed Field, Weld County Bayswater Exploration & Production, LLC (Operator No ) Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 7 North, Range 65 West, 6th P.M. Section 23: SE¼SW¼, SW¼SE¼ Section 26: E½W½, W½E½ Docket No , Wattenberg Field, Weld County Bayswater Exploration & Production, LLC (Operator No ) Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling Page 27 of 76

28 and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 6 North, Range 65 West, 6th P.M. Section 12: W½E½ Group Q Docket No , Unnamed Field, Weld County Caerus WashCo LLC (Operator No ) David Neslin & Greg Nibert, Jr. Request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Township 5 North, Range 60 West, 6th P.M. Section 17: All Section 20: All Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) Greg Nibert, Jr., John Jacus & Eric Waeckerlin Request for an order to among other things: 1) Pool all interest in an approximate 480-acre horizontal wellbore spacing unit designated for the Application Lands for the development and operation of the Niobrara Formation. Township 2 North, Range 66 West, 6th P.M. Section 21: SW¼SE¼, SE¼SW¼ Section 28: W½E½, E½W½ Section 33: NW¼NE¼, NE¼NW¼ Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) Greg Nibert, Jr., John Jacus & Eric Waeckerlin Page 28 of 76

29 Request for an order to among other things: 1) Pool all interest in two approximate 480-acre designated horizontal wellbore spacing units, for the development and operation of the Niobrara and Codell Formations. Township 2 North, Range 66 West, 6th P.M. Section 20: SE¼SE¼ Section 21: SW¼SW¼ Section 28: W½W½ Section 29: E½E½ Section 32: NE¼NE¼ Section 33: NW¼NW¼ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) Greg Nibert, Jr., John Jacus & Eric Waeckerlin Request for an order to among other things: 1) Pool all interest in two approximate 240-acre designated horizontal wellbore spacing units, for the development and operation of the Niobrara and Codell Formations. Township 2 North, Range 66 West, 6th P.M. Section 21: SE¼SW¼ Section 28: E½W½ Section 33: NE¼NW¼ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) Greg Nibert, Jr., John Jacus & Eric Waeckerlin all interest in two approximate 480-acre horizontal wellbore spacing units designated for the Application Lands for the development and operation of the Niobrara and Codell Formations. Township 2 North, Range 66 West, 6th P.M. Section 21: S½SW¼ Section 28: W½ Section 33: N½NW¼ Wellbore Spacing Unit ( WSU ) Nos. 1 and 2 Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) Page 29 of 76

30 Greg Nibert, Jr., John Jacus & Eric Waeckerlin Request for an order to among other things: 1) Pool all interest in an approximate 240-acre horizontal wellbore spacing unit designated for the Application Lands for the development and operation of the Niobrara Formation. Township 2 North, Range 66 West, 6th P.M. Section 21: SW¼SW¼ Section 28: W½W½ Section 33: NW¼NW¼ Group R Docket No , Hereford Field, Weld County EOG Resources, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: 1) Establish 11 approximate 1280-acre drilling and spacing units for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation; 2) Approve up to three horizontal wells within the unit. Township 12 North, Range 62 West, 6th P.M. DSU #1 Section 20: All (All portions lying within the State of Colorado) Section 29: All Township 12 North, Range 62 West, 6th P.M. DSU #2 Section 19: All (All portions lying within the State of Colorado) Section 30: All Township 12 North, Range 62 West, 6th P.M. DSU #3 Section 32: All Township 11 North, Range 62 West, 6th P.M. Section 5: All Township 12 North, Range 62 West, 6th P.M. DSU #4 Section 31: All Township 11 North, Range 62 West, 6th P.M. Section 6: All Township 11 North, Range 62 West, 6thP.M. DSU #5 Section 7: All Section 18: All Township 11 North, Range 63 West, 6th P.M. DSU #6 Section 10: All Section 15: All Township 11 North, Range 63 West, 6th P.M. DSU #7 Section 11: All Section 14: All Township 11 North, Range 63 West, 6th P.M. DSU #8 Section 12: All Section 13: All Township 11 North, Range 63 West, 6th P.M. DSU #9 Section 22: All Section 27: All Township 11 North, Range 63 West, 6th P.M. DSU #10 Section 23: All Section 26: All Township 11 North, Page 30 of 76

31 Range 63 West, 6th P.M. DSU #11 Section 24: All Section 25: All Docket No , Hereford Field, Weld County EOG Resources, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: Modify portions of Order No to allow for up to six horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Township 11 North, Range 63 West, 6th P.M. DSU #1 Section 9: All Section 16: All Township 11 North, Range 63 West, 6th P.M. DSU #2 Section 19: All Section 30: All Township 11 North, Range 63 West, 6th P.M. DSU #3 Section 20: All Section 29: All Township 11 North, Range 63 West, 6th P.M. DSU #4 Section 21: All Section 28: All Docket No , Hereford Field, Weld County EOG Resources, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: Modify portions of Order No to allow for up to six horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Township 12 North, Range 63 West, 6th P.M. Section 35: All, Township 11 North, Range 63 West, 6th P.M. Section 2: All. Group S Docket No , Hereford Field, Weld County EOG Resources, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: Modify portions of Order No to allow for up to six Page 31 of 76

32 horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Township 12 North, Range 63 West, 6th P.M. DSU #1 Section 22: All Section 27: All Township 12 North, Range 63 West, 6th P.M. DSU #2 Section 23: All Section 26: All Township 12 North, Range 63 West, 6th P.M. DSU #3 Section 24: All Section 25: All Township 12 North, Range 63 West, 6th P.M. DSU #4 Section 33: All Township 11 North, Range 63 West, 6th P.M. Section 4: All Township 12 North, Range 63 West, 6th P.M. DSU #5 Section 34: All Township 11 North, Range 63 West, 6th P.M. Section 3: All Township 12 North, Range 63 West, 6th P.M. DSU #6 Section 36: All Township 11 North, Range 63 West, 6th P.M. Section 1: All Township 11 North, Range 63 West, 6th P.M. DSU #7 Section 7: All Section 18: All Township 11 North, Range 63 West, 6th P.M. DSU #8 Section 8: All Section 17: All Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers all interests in an approximate 560-acre designated wellbore spacing unit, for the development and operation of the Codell Formation. Township 7 North, Range 66 West, 6th P.M. Section 13: S½ Section 14: SE¼ Township 7 North, Range 65 West, 6th P.M. Section 18: W½SW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers all interests in an approximate 320-acre designated wellbore spacing unit for the development and operation of the Codell Formation. Page 32 of 76

33 Township 7 North, Range 65 West, 6th P.M. Section 18: W½ Group T Docket No , Wattenberg Field, Weld County Bonanza Creek Energy Operating Company LLC (Operator No. 8960) Jamie L. Jost & Zachary P. Sears all interests in an approximate 630-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 5 North, Range 61 West, 6th P.M. Section 6: W½W½ Township 5 North, Range 62 West, 6th P.M. Section 1: E½E½ Township 6 North, Range 61 West, 6th P.M. Section 31: W½W½ Township 6 North, Range 62 West, 6th P.M. Section 36: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: S½N½, N½SW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Page 33 of 76

34 Township 4 North, Range 66 West, 6th P.M. Section 6: SW¼ Section 7: NW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: SW¼ Section 7: NW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 299-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: W½SW¼ Section 7: W½NW¼ Township 4 North, Range 67 West, 6th P.M. Section 1: E½SE¼ Section 12: E½NE¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 299-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: W½SW¼ Section 7: W½NW¼ Township Page 34 of 76

35 4 North, Range 67 West, 6th P.M. Section 1: E½SE¼ Section 12: E½NE¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: SW¼ Section 7: NW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 315-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: E½SW¼, W½SE¼ Section 7: E½NW¼, W½NE¼ Group U Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 315-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 6: E½SW¼, W½SE¼ Section 7: E½NW¼, W½NE¼ Page 35 of 76

36 Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 2: W½E½, E½W½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 1: W½W½ Section 2: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Township 4 North, Range 66 West, 6th P.M. Section 1: W½W½ Section 2: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears Page 36 of 76

37 all interests in an approximate 480-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 13: W½SW¼ Section 14: E½SE¼ Section 23: E½E½ Section 24: W½W½ Docket No , Unnamed Field, Weld County Noble Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: 1) Establish two approximate 640-acre drilling and spacing units for the Application Lands for the Codell Formation. 2) Approve up to 15 horizontal wells within the 640-acre drilling and spacing unit established for Section 21, Township 9 North, Range 59 West, 6th P.M. (DSU #1), and up to 16 horizontal wells within the 640-acre drilling and spacing unit established for Section 24, Township 9 North, Range 59 West, 6th P.M. (DSU #2), for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations. Township 9 North, Range 59 West, 6th P.M. DSU #1 Section 21: All Township 9 North, Range 59 West, 6th P.M. DSU #2 Section 24: All Docket No , Unnamed Field, Weld County Noble Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Request for an order to among other things: 1) Establish an approximate 3840-acre drilling and spacing unit for the Application Lands and approve up to 56 horizontal wells within the unit, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations. Page 37 of 76

38 Township 9 North, Range 59 West, 6th P.M. Section 10: All Section 11: All Section 14: All Section 15: All Section 22: All Section 23: All Group V Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Township 4 North, Range 66 West, 6th P.M. Section 18: W½SW¼ Section 19: W½W½ Township 4 North, Range 67 West, 6th P.M. Section 13: E½SE¼ Section 24: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 66 West, 6th P.M. Section 18: W½SW¼ Section 19: W½W½ Township 4 North, Range 67 West, 6th P.M. Section 13: E½SE¼ Section 24: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Page 38 of 76

39 Township 4 North, Range 67 West, 6 th P.M. Section 13: SE¼, Section 24: E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 13: E½SE¼ Section 24: E½E½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 13: SE¼ Section 24: E½ Docket No , Wattenberg Field, Weld County Great Western Operating Company, LLC (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 1120-acre drilling and spacing unit, for the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 67 West, 6th P.M. Section 15: W½, NE¼ Section 16: All Docket No , Wattenberg Field, Weld County Page 39 of 76

40 Great Western Operating Company, LLC (Operator No ) Jamie L. Jost & Zachary P. Sears Request for an order to among other things: Subject additional parties to Order No , which pooled all interests, including non-consenting parties, in an approximate 320-acre designated horizontal wellbore spacing unit, for the development of the Niobrara Formation. Township 7 North, Range 65 West, 6th P.M. Section 31: E½E½ Section 32: W½W½ Group W Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: N½N½, S½NW¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: S½N½, N½NE¼ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Joseph M. Evers Page 40 of 76

41 all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: N½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: N½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Township 4 North, Range 67 West, 6th P.M. Section 21: S½S½ Section 28: N½N½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 280-acre designated horizontal wellbore spacing unit, for the Page 41 of 76

42 development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 21: S½SE¼, SE¼SW¼ Section 28: N½N½ Docket No , Wattenberg Field, Weld County PDC Energy, Inc. (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Township 4 North, Range 67 West, 6th P.M. Section 28: N½ Group X Docket No , Unnamed Field, Elbert County Mustang Creek Operating, LLC (Operator No ) Request for an order to among other things: 1) Pool all interests within an approximate 160-acre drilling and spacing unit for the Application Lands, for the development and operation of the Lansing, Marmaton, Cherokee, Atoka, Morrow (Pennsylvanian age), St. Louis, Spergen, Warsaw, Harrison, Gilmore City (Mississippian age), Arbuckle and Reagan Formations. Township 13 South, Range 59 West, 6th P.M. Section 22: SE¼SE¼ Section 23: SW¼SW¼ Section 26: NW¼NW¼ Section 27: NE¼NE¼ Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in the approximate 400-acre designated wellbore spacing unit established for Page 42 of 76

43 the Application Lands, for the development and operation of the Niobrara Formation. Township 3 North, Range 68 West, 6th P.M. Section 14: SW¼SW¼ Section 15: S½S½ Section 22: N½N½ Section 23: NW¼NW¼ Docket No , Wattenberg Field, Weld County Kerr-McGee Oil & Gas Onshore LP (Operator No ) all interests in the approximate 400-acre designated wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 3 North, Range 68 West, 6th P.M. Section 13: SW¼SW¼ Section 14: S½S½ Section 23: N½N½ Section 24: NW¼NW¼ Group Y Docket No , Wattenberg Field, Weld County Bayswater Exploration & Production, LLC (Operator No ) Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Township 6 North, Range 65 West, 6th P.M. Section 12: E½ Docket No , Wattenberg Field, Weld County Bayswater Exploration & Production, LLC (Operator No ) Joseph C. Pierzchala & Chelsey J. Russell all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Page 43 of 76

44 Township 6 North, Range 65 West, 6th P.M. Section 3: S½S½ Section 10: N½N½ Group Z Docket No , Wattenberg Field, Weld County Great Western Operating Company, LLC (Operator No ) Jamie L. Jost & Zachary P. Sears all interests in two approximate 560-acre designated horizontal wellbore spacing units, for the development and operation of the Codell and Niobrara Formations. Township 6 North, Range 67 West, 6th P.M. Section 26: NW¼ Section 27: N½ Section 28: E½NE¼ Docket No , Wattenberg Field, Weld County Great Western Operating Company, LLC Jamie L. Jost & Joseph M. Evers all interests in two approximate 320-acre designated horizontal wellbore spacing units, for the development and operation of the Codell and Niobrara Formations. Township 4 North, Range 67 West, 6th P.M. Section 19: SE¼ Section 20: SW¼ Docket No , Unnamed Field, Arapahoe County ConocoPhillips Company (Operator No ) Jamie L. Jost & Zachary P. Sears Request for an order to among other things: 1) Approve an additional two horizontal wells, for a total of up to four horizontal wells, within an approximate drilling and spacing unit established for the Application Lands. Township 4 South, Range 65 West, 6th P.M. Section 1: All Section 2: All Page 44 of 76

45 Docket No , Unnamed Field, Arapahoe County ConocoPhillips Company (Operator No ) Jamie L. Jost & Zachary P. Sears Request for an order to among other things: Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation, and approve up to two horizontal wells within the unit. Township 4 South, Range 65 West, 6th P.M. Section 19: All Section 20: All The motion was seconded by Commissioner Holton. The motion was approved unanimously. Enforcement Matters: Commissioner Holton moved to approve Enforcement Group A, as recommended by Staff, as follows: Enforcement Group A Docket No , Black Diamond Minerals LLC (Operator No ) Staff: Britta Beckstead, Assistant Attorney General Staff requests approval of an AOC with Black Diamond Minerals imposing a $72,000 penalty for violations of Rule 210 (Signs & Markers, Tanks), Rule 603.f. (Statewide Requirements for Weeds, Unused Equipment, Debris and Trash), and the Colorado Oil and Gas Conservation Act ( Act ), (1), C.R.S. (Violation of a Permit) at the TPR Well Pad/36A. Docket No , KP Kauffman Company, Inc. (Operator No ) Staff: Britta Beckstead, Assistant Attorney General Staff requests approval of an AOC with KP Kaufman Company imposing a $1,000 penalty for a one-day violation of Rule 317 (General Drilling Rules) at the A.D. Jeffers A #1 Well. Page 45 of 76

46 Docket No , Kestrel Resources, Inc. (Operator No ) Staff: Britta Beckstead, Assistant Attorney General Jeremy Ferrin, Enforcement Officer Staff requests approval of an AOC with Kestrel Resources imposing a $174,600 penalty, $125,000 mandatory payment and $49,600 suspended, for violations of Rule 906.a. (Spills & Releases, General), Rule 906.b. (Reporting spills or releases of E&P Waste or produced fluids), and Rule 907.a.(1) (Management of E&P waste, Operator Obligations) at the Travis 1 Well and Ward Kincheloe 1 Well. Docket No , P&M Petroleum Management LLC (Operator No ) Staff: Jeremy Ferrin, Enforcement Officer Staff requests approval of an AOC with P&M Petroleum Management and its Managing Member and sole employee, Mr. Neibauer, imposing a $256,300 penalty, with $156,300 suspended pending successful completion of numerous compliance requirements outlined in the AOC, for violations of: 1. Rule 210 (Signs and Markers) and Rule 603.f (Equipment, weeds, waste, and trash requirements) at the Axsom 430 Well (API No ) in Washington County. 2. Rule 906.a. (Spills and Releases) and Rules 1004.a and b (Final Reclamation) at the Lousberg 1 Well (API No ) in Weld County. 3. Rule 309 (Form 7, Operator s Monthly Report of Operations) and Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Hunt 1 Well (API No ) in Baca County. 4. Rule 309 (Form 7, Operator s Monthly Report of Operations) and Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Newlin 1 Well (API No ) in Baca County. 5. Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Silvey Flats 1-8 Well (API No ) in Mesa County. 6. Statewide violation of Rule 302 (Registration for Oil and Gas Operations). Docket No , Suncor Energy (U.S.A.) Inc.(Operator No ) Staff: Kyle Davenport, Assistant Attorney General Peter Gowen, Enforcement Supervisor Page 46 of 76

47 Staff requests approval of an AOC with Suncor Energy imposing a $10,000 penalty, $1,000 mandatory payment and $9,000 suspended, for a violation of Rule 302.a. (COGCC Form 1. Registration for Oil and Gas Operations). Docket No , TOP Operating Company (Operator No ) Staff: Jennifer Bock, Enforcement Officer Staff requests approval of an AOC with Top Operating Company imposing a $2,000 penalty for a violation of Rule 318A.e.(4) (now Rule 318A.f.) (Groundwater Baseline Sampling and Monitoring) for failing to perform pre-spud groundwater sampling at the Haley 10 Well (API No ) in Weld County. Docket No , Overland Resources LLC (Operator No ) Staff: Kyle Davenport, Assistant Attorney General Peter Gowen, Enforcement Supervisor Staff requests approval of an AOC with Overland Resources imposing a $53,900 penalty, $3,734 mandatory payment and $50,166 suspended, for a violation of Rule 302.a. (COGCC Form 1. Registration for Oil and Gas Operations). Docket No , Bayswater Exploration & Production, LLC (Operator No ) Staff: Kyle Davenport, Assistant Attorney General Jeremy Ferrin, Enforcement Officer Staff requests approval of an AOC with Bayswater Exploration & Production imposing a $10,000 penalty for violations of Rule 902.a. (Pits - General and Special Rules) and Rule 902.b. (Pits - General and Special Rules). Docket No , Coachman Energy Operating Company LLC (Operator No ) Staff: Jennifer Bock, Enforcement Officer Peter Gowen, Enforcement Supervisor Staff requests approval of an AOC with Coachman Energy Operating Company imposing a $2,000 penalty for a violation of Rule 609 (Statewide Groundwater Baseline Sampling and Monitoring) for failing to perform pre-spud groundwater Page 47 of 76

48 sampling at the Federal 14/ (API No ) in Garfield County. Docket No , Mendell Finisterre II LLC (Operator No ) Staff: Britta Beckstead, Assistant Attorney General Peter Gowen, Enforcement Supervisor Staff requests approval of an AOC with Mendell Finisterre II LLC imposing a $2,000 penalty for violations of the Colorado Oil and Gas Conservation Act, (1), C.R.S., for the failure to install light abatement measures according to an approved Form 2A permit at the Alicia 12-15H-5N Well. Docket No , Stelbar Corporation, Inc. (Operator No ) Staff: Britta Beckstead, Assistant Attorney General Jeremy Ferrin, Enforcement Officer Staff requests approval of an AOC with Stelbar Corporation imposing a $45,000 penalty for violations of Rule 303.b.(1)C (Oil and Gas Location Assessment), Rule 903.a.(1) (Pit Permitting/Reporting Requirements), Rule 905.b. (Closure of pits, and buried or partially buried produced water vessels), and Rule 906.b. (Reporting spills or releases of E&P Waste or produced fluids). Docket No , Vitruvian Exploration, LLC (Operator No ) Staff: Jeremy Ferrin, Enforcement Officer Staff requests approval of an AOC with Vitruvian Exploration imposing a $141,700 penalty for violations of Rule 1004 (Final Reclamation of Well Site) at the Argo Well # (API # ), the Argo Well #33-16 (API # ), and the Aries Well #34-12 (API # ) located in Moffat County. The motion was seconded by Commissioner Benton. The motion was approved unanimously. RULEMAKING HEARING Docket No , Complainant Rulemaking Staff: Matthew Lepore, Director Page 48 of 76

49 The Complainant Rulemaking was undertaken to address a legal infirmity in the rules regarding a complainant s right to compel an Order Finding Violation hearing. Ms. Jamie Jost, Counsel for COGA, asked the Commission to overturn the staff s denial of the industry s request for more time and grant an additional 30 minutes to present their position. Director Lepore responded that Staff did make a change on July 10. COGA s motion addresses one small issue. The Commission can offer changes to the rules today. The Commissioners are free to change whatever they think is appropriate based on Staff s and COGA s arguments. Current time allocation is as follows: 35 minutes for Staff, CPC/API/Bill Barrett has 15 minutes, COGA has 15 minutes 5 to CPC/API, Boulder and Longmont: 30 minutes, Weld County: 5 minutes, and Garfield County: 5 minutes. Attorneys for Longmont and Boulder opposed the motion. Mr. Ken Wonstolen for Bill Barrett: Boulder County might not need more time because the revised rules track their position. Commissioner Alward: We won t have time to evaluate this new information. Commissioner Compton: Counties. I m inclined to grant 30 minutes split between industry and the Director Lepore presented on the rulemaking: This rulemaking comes out of the Enforcement rulemaking, addressing a party who does not agree with a proposed AOC. In these cases, the complainant may apply for an OFV hearing while bearing the burden of proof. These proceedings have been rare, I ve seen two or three. Most times, after discovery and meetings, the complainant withdraws a request for a hearing and settles. This may not serve the people of the state of Colorado. That being said, complainants should have a way to have the Commission review a Director s decision. So these revised rules allow for a review process, but limit the right to bring an OFV. For example, we ve taken out the right to discovery, instead the review is based on the record available to the Director. The standard of review was originally abuse of discretion as we drafted this rule, but some stakeholders complained this was too deferential. Instead, the standard of review is clearly erroneous. This is an established appellate standard of review. This standard is similar to the Commission s practice today, wherein Commissioners may disagree with the provisions of an AOC and make changes. The enforcement and prosecution of violations is clearly limited to the Director and Staff, not citizens under the statute. This rulemaking accords with the statute. It is true that some federal laws allow for citizen s actions. Colorado s Oil and Gas statute does not. This has been a thorough process with several meetings and analysis of the draft rules. We have met with stakeholders, and made changes to the draft rules accordingly. Instead of an application, we are proposing a petition for review, which is available to complainants who previously filed a written complaint under Form 18. New parts of the rule Page 49 of 76

50 include: the clearly erroneous standard of review, the definition of a petition for review (filed within 28 days of the Director s decision and including reasonable detail per notice pleading), and the availability of a continuance of the hearing based on compelling evidence. Commissioner Compton asked if the Hearings Officer makes the first determination on compelling evidence. Director Lepore: That is correct, though we would allow the Commission to review that decision if the complainant disagrees with the Director s decision. The industry is concerned with opening up an evidentiary hearing. That can be easily cured by the Commission directing staff, operators and complainants to obtain and share information in a limited fashion. Commissioner Craig: I m worried about the legal arguments and whether the complainants will get stuck with legal arguments. On clearly erroneous, it doesn t make sense to me because everything is on a spectrum, not just black or white. Commissioner Benton: Asked for clarification of how the continuance works. Lepore: Staff would review evidence first. Director King: What s the next step down the chain of deference? Preponderance of the evidence? Mr. Jake Matter, Assistant Attorney General: A de novo standard would carry a preponderance of the evidence burden. Lepore: The issue industry will likely contest today is whether at the direction of the Commission the parties may present evidence not presented to the Director prior to the NOAV decision. The Commission has the ability to direct the parties how to proceed once the matter is before them. Director King: I am trying to understand industry s objections to the new evidence standard. Commissioner Alward: When was the language added to allow a Complaint to apply to the Commission for a hearing? Matter: Probably in the rules since the early 1990s. Commissioner Alward: Why do we need to change that rule? Lepore: This was raised in the enforcement rulemaking, with the contention that it transfers our enforcement authority to citizens. The Attorney General s office provided a memo that concluded that there is a legal risk that the existing rule could be challenged and found in conflict with the statute. Matter: Section 121 of the statute most clearly supports the need for the rulemaking. Page 50 of 76

51 Commissioner Benton: So, this has laid dormant, but when it has come about, its taken up a lot of the staff s time. By making this change, we ll put something in place that will reduce staff time and address the legal issue? Lepore: That s a correct characterization. In addition, if you feel there was an error by the Director, there is an opportunity for you to address that. Commissioner Benton: The industry has a problem with additional evidence at the direction of the Commission. Lepore: Correct. Commissioner Alward: Just want to check with rule 522.B (1)(d)--- the local government s ability to make a complaint. Are they precluded from making a complaint if it is not in their jurisdiction? Lepore: We don t often say no to local government involvement. We also have permissive intervention to allow local governments to be involved. Commissioner Alward: So the clearly erroneous language is the Commission constrained by that standard? Lepore: Yes, you would work under that standard. Commissioner Compton: Is the clearly erroneous standard quantitative or qualitative? Lepore: When Staff determines whether or not there is a violation, we have to have reasonable cause. You would review that decision and the evidence supporting it. The Commission took a ten minute break from 10:40 to 10:50am. Industry Presentation (COGA, CPC, CPI, and Bill Barrett): Ms. Jamie Jost: For COGA, Ms. Jost explained COGA s concerns and its alternate proposal. Jost called Ken Wonstolen as a witness. Mr. Wonstolen, for Bill Barrett: Boulder and Longmont s arguments that the rule change is not necessary is not supported by the law. A rule is unlawful if the Commission does something that it is not authorized to do. The right to prosecute cannot be delegated. The rule revisions were correct to disallow discovery entirely. The current rule proposal allows for a loop by which new evidence can come in. Jost: Presented regarding the process for a petition for review, and proposed an alternative rule that would require a prehearing conference and a Hearing Officer decision prior to the Commission considering the petition. COGA also proposes changes to Rule 528.c.(13) and (14), response by intervenor and operator. Page 51 of 76

52 Mr. Scott Campbell: Presented on behalf of the Colorado Petroleum Association. Campbell presented on transparency, and presented Western Resource Advocate s explanation of improvements in transparency. Director King: What is the relevance of this discussion to the rulemaking? Commissioner Benton: I agree, what is the purpose of this discussion? Campbell: Why is a citizen veto not supported by the law? Boulder does not allow citizens to appeal its land use decisions. CPA proposes alternate language that would have a standard review of arbitrary and capricious. CPA would also limit a challenge to Class 2 or Class 3 violations. Mr. David Neslin: On behalf of the Colorado Petroleum Council. We support staff s proposal along with COGA s and CPA s proposed changes. In API s experience, it would be unprecedented for complainants to have the right to discovery. City of Longmont and Boulder County Presentation: Mr. Dan Kramer: On behalf of the City of Longmont. The Commission s current rules are lawful. The statutes cited by Director Lepore do not prevent the Commission from enforcing its rules by some other means. The Commission would not be delegating its authority by hearing complaints. The Commission should be concerned with improving public trust. Longmont proposes to change the standard of review from clearly erroneous to just erroneous. Erroneous should be the standard a preponderance of the evidence. In the statement of basis and purpose, Longmont proposes to tighten the standing requirements on individuals to matters that are within the scope of the act. Commissioner Benton: Where do the parties stand on the evidence issue? Mr. Ben Pearlman, Boulder County: If there is any additional information, the Director needs to have the opportunity to review new information. Kramer: A new standard of review requiring clear error is not necessary. Error is sufficient. Allowing evidence in that is necessary will satisfy our concerns. Ms. Kim Sanchez: Chief planner for Boulder County. We disagree that the changes are necessitated by statute. Concerned about the rights of citizens to participate. COGCC should increase transparency and access to the government. There is still plenty of room for improvement. Propose two discrete changes to Staff proposal: would change the clearly erroneous standard and instead use only erroneous, would also urge a complete record. Director King: What other court has used erroneous not clearly erroneous a mistake is a mistake. Pearlman: The issue is what is the information the Director and the Commission will see. We should correct this, and make sure that the Director sees all information. Allow complainants who may be pro se to work under an erroneous statement. To the extent that industry Page 52 of 76

53 suggests tightening up timelines, the Commission should reject those--- complainants need time to work in the process. Commissioner Alward: Question about deference, if the prosecutor has the facts and the law to win a case, but instead settles, is that wrong? Kramer: No, but the court must bless it. Commissioner Craig: What if we decide it should be a difference of $1,000 in penalties v. a difference of $100,000? Could this be erroneous v. clearly erroneous? Kramer: It s not a matter of the amount of money, but of how sure you are that staff was wrong. A decision whether or not to issue an NOAV is qualitative, not quantitative. Here, the complainant would have to prove that the Director was clearly wrong if the Commission disagrees, all it should have to do is decide that the rules were breached, therefore the Director was wrong. Commissioner Craig: My concern with new evidence. When does it ever end? In this industry, technology is changing at a rapid pace. Director Lepore: There is general agreement that new evidence should not be presented, and also some agreement that the evidence language could be altered slightly. Commissioner Spielman: We do sit as quasi-judicial and quasi-legislative. We therefore need to determine what our standards are, what burdens need to be met. It is appropriate that we look at what the courts do. Mr. Troy Swain: Oil and Gas representative for Weld County. Weld County generally supports the purpose of the rulemaking and COGCC s staff proposal as well as Bill Barrett s and COGA s prehearing statements. The Commission took a Lunch break from 12:30 to 1:05. Commissioner Benton moved to enter Executive Session, Commissioner Craig seconded, and the motion was approved unanimously. Jake Matter, Assistant Attorney General reported that in Executive Session, the Commission discussed pooling rules and the claims and defenses in Maralex v. COGCC, Case No. 2014CV Commissioner Benton moved to exit Executive Session, Commissioner Holton seconded, and the motion was approved unanimously. RULEMAKING HEARING (cont): Mr. David Neslin: Offered rebuttal on behalf of the industry parties. The remaining issue is the standard of review. Anything less than a firm conviction that a mistake was made, would be Page 53 of 76

54 speculation and should not be the standard for reversing the Director and Staff. deference to the Director is practical and reasonable. Some Commissioner Spielman: Asks industry why notice pleading is not sufficient? Neslin: A with particularity standard is appropriate given the level of penalties possible. Commissioner Spielman: Yes, but we do have some likely pro se parties. Neslin: In three out of four complainant matters in the last few years, complainants were represented by counsel. Commissioner Benton: What about the suggestion that this process apply to only Class 2 and Class 3 violations? Kramer: I believe those were stricken from the record, so I didn t have a chance to research that question. Lepore: Presented new language for Rule 522.b.(6)A. Two new sentences are proposed: including any evidence or information developed through additional investigation allowed during a continuance under Rule 522.b(5)B. and The Commission retains discretion to continue a Petition for Review hearing to direct Staff or the parties to conduct additional investigation. Ms. Jamie Jost: Industry agrees with the first sentence, but not the last. Mr. Ken Wonstolen: The last sentence delegates investigation powers to the parties. Director Lepore and Mr. Wonstolen discussed the meaning of additional investigation. Director King: This information will come through the Director, it will be filtered by the Director. Jost: Strike the language or the parties from the second sentence. Director King: Change the language to direct Staff to consider additional information. The following language was agreed upon: The Commission retains discretion to continue a Petition for Review hearing to direct staff to conduct additional investigation, or receive and consider additional information. Kramer: Clarify that the or is not exclusive. The Commissioners began their deliberations. The Commissioners agreed on a clearly erroneous standard and discussed the with particularity pleading argument. Commissioner Hawkins: Particularity might be preferable. Parties might need to be specific about what they don t like about the Director s decision. Page 54 of 76

55 Director King: I m comfortable with the particularity standard, but I don t think we would ever kick out a complainant over this issue. Mr. Jake Matter: Reasonable detail v. particularity is the debate here. It s a matter of interpretation as Commissioner King notes. Commissioner Alward: Why use particularity if we aren t going to use that standard? And if we aren t allowing investigations. Commissioner Craig: Agree with Commissioner Alward, let s stay with Staff s recommendation. Commissioner Compton: Ok, staying with reasonable detail. Next? Commissioner Alward: unless agreed to by the parties even if the language isn t there, it would probably come in, so why not strike it? Commissioner Hawkins: Agree, this would not add any clarity. Holton: Delete unless agreed to by the parties Commissioners discussed COGA s proposal for an alternate complainant process. Commissioner Craig: I prefer Staff s 35 day proposal and its flexibility. Holton: All agreed. Commissioners discussed adjacent jurisdictions and their ability to intervene. Director Lepore: We did agree with COGA s proposal regarding presentations that the operator s response should follow the intervenor s response. In 528.c., switch (13) and (14). Commissioners discussed Longmont s proposal to change the SBP to clarify standing requirements. The Commission agreed they did not need to state this in the SBP since the Commission must always act under the scope of its statute. Motion to accept rules as amended through discussions and deliberations by Commissioner Benton. Second by Commissioner Alward. Approved unanimously. STAFF PRESENTATION Status Update: Docket Nos and Staff: Matthew Lepore, Director Applicants: K.P. Kauffman Company, Inc. (Operator No ) and Encana Oil & Gas (USA) Inc. (Operator No ) Page 55 of 76

56 Competing applications for an order to establish a drilling and spacing unit for the application lands for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations. Director Lepore reported that the parties have a conceptual agreement and need until September 4 to finalize that agreement. The matter is therefore continued until the October Commission hearing. GENERAL HEARING MATTERS Docket No , Greasewood Field 32300, Weld County Foundation Energy Management, L.L.C (Operator No ) Joseph C. Pierzchala & Chelsey J. Russell Request for an order to among other things: Establish an approximate 440-acre enhanced recovery unit for the Application Lands and approve unitization and unitized operation for the production of oil, gas, and associated hydrocarbons from the D Sand formation in the Greasewood Field and Greasewood South Field Ms. Chelsey Russell presented on Foundation s application, explaining the proposed unitization of the D Sand formation. Foundation will inject water into the formation from a marginally producing well. The water will be produced water and if they need more fluid, may rework some of the abandoned wells in the area. Migration of fluid will be limited by surrounding formations, which will act to seal in the injected water. Only 21% of oil in this unit has been recovered to date. Commissioner Benton asked Foundation s technical staff about the geology of the area and Commissioner Compton asked about potential for earthquakes. Foundation staff does not see any potential for seismic activity. Hearing Officer Rouse explained that Staff supports the proposal, and that wellbore integrity will be reviewed during the APD process. Motion to approve Foundation s Application by Commissioner Benton. Second by Commissioner Craig. The motion was approved unanimously. Docket Nos , , , SWN Production Company, LLC (formerly Axia Energy) (Operator No ) Attorney: Michael T. Jewell Provide a status update regarding development plans for its Unconventional Resource Units (URUs) and request an order to vacate the spacing and pooling orders for four of the URUs: Docket No SP-1157, Order No Docket No SP-1158, Order No Page 56 of 76

57 Docket No SP-1174, Order No Docket No SP-1180, Order No Docket No UP-186, Order No Docket No UP-187, Order No Docket No UP-193, Order No Docket No UP-197, Order No Staff: Jill Dorancy, Hearings Officer 510 Statements: Rollins Investment Company Attorney: Cindy Bargell Hearing Officer Dorancy introduced the matter: A request to vacate certain units and a review of the remaining units. Mr. Michael Jewell, counsel for SWN: Reviewed SWN s acquisition of mineral interests in Routt and Moffat Counties has been and will be a study year for SWN. Seven other URUs do not have any current permits, and those may come back before the Commission. SWN has provided information on its working interest in the remaining 13 URUs. Ms. Cynthia Bargell stated that the royalty owners concerns are that these units are pooled, so there are parties that have open interests. Continued review is helpful. We would advocate for exploratory URUs which might not be approved unless a permit is approved. A vertical well is holding a section surrounding a pooled area, what are the implications? Thank you for the Commission s time. Commissioner Benton moved to terminate the four URUs as requested by SWN. Commissioner Craig seconded. The motion was approved unanimously. ENFORCEMENT HEARING MATTERS Docket No , Maralex Resources, Inc. Staff: Britta Beckstead, Assistant Attorney General Jeremy Ferrin, Enforcement Officer Attorney: William Zimsky Staff and Maralex request approval of proposed Amended Order 1V-509, entered by the Commission on May 18, The Commission directed Maralex to propose an alternative plan to stop the water flow at the Rifle Walton 25-2 Well prior to the July 20-21, 2015 hearing and reserved judgment on the alleged violation of Rule 319.b.(1) at the Well. Maralex will present its alternative plan and Staff will present its response to the plan. Commissioner Benton recused himself. Commissioner King is replaced by Mr. Bob Randall, Deputy Director of DNR. Page 57 of 76

58 Ms. Britta Beckstead reviewed the posture of the case, including the Commission s decision at its May 2015 hearing. The amended proposed order for the Commission s consideration is a payment plan. Mr. William Zimsky, counsel for Maralex, spoke in favor of the amended proposed order. Commissioner Wolk made a motion to enter the amended Order 1V-509, second by Commissioner Alward. The motion was approved unanimously. Beckstead: Presented on the water well flow issue remaining before the Commission: 1) whether Maralex violated Rule 319.b.(1) requiring an MIT prior to abandoning the Rifle Walton Well, and 2), whether Maralex s proposal will stop the water flow at the well or whether to require Maralex to follow Staff s proposal. Staff and Maralex could not come to agreement on how to stop the water flow, therefore Staff requests that the Commission require Maralex to perform the annular flow remediation proposed by Staff during the May hearing. Zimsky: Presented Maralex s proposal, and introduced Mr. A.M. O Hara as a witness. Mr. O Hara was sworn in. O Hara: Lab tests revealed that the water flowing is not corrosive. He also testified regarding cement bond logs, noise and temperature logs. All indicated water is moving slowly up the wellbore. There is a huge risk in trying to place a plug because it may expose fresh water to hydrocarbons. The most difficult hazard in re-cementing is removing old mud, proposal is to install compression on the well to help it produce and to test an adjacent spring, and to do some cementing at the bradenhead depending on the results of testing. Mr. Stuart Ellsworth, COGCC Engineering Manager: COGCC rules require wellbore integrity; that all waters and hydrocarbons stay in their formation. Mr. Craig Burger, COGCC Northwest Engineer: There is a lack of cementing from the Mesa Verde to the Wasatch Formation at the Well. Based on what he knows of the well, groundwater could be comingling from different formations. Oil and gas could also be comingling. Nine gallons per day are flowing, or 0.4 acre feet per year. There have been other successful perforation squeezes and bradenhead remediation projects in the same area as the Rifle Walton Well. Commissioner Compton: How is water quality? Burger: The water was tested at 1600 parts per million total dissolved solids, making it drinking water quality. Commissioner Craig: How can Maralex guarantee wellbore integrity? O Hara: Maralex wants to test before they pump cement down the wellbore. Commissioner Hawkins: Questioned the isolation of formations and minerals, and whether that could be guaranteed? Commissioner Alward: Will cement at the top stop the water flow? Page 58 of 76

59 Mr. O Hara and COGCC staff agreed that it could. O Hara disagreed with Staff s characterization of the geology at the Well. The Commissioners, Staff, and O Hara: Discussion re: the definition of wellbore integrity. Mr. Zimsky cross-examined Mr. Burger, asking questions regarding water testing results and the efficacy of pumping cement. The Commissioners closed the record and deliberated. The Commissioners considered how to encourage compliance in a timely way. Commissioner Spielman moved to find a violation and order the Staff s recommendation. Commissioner Wolk seconded the motion. The motion was approved unanimously. Docket No , Ranchers Exploration Partners LLC Staff: Britta Beckstead, Assistant Attorney General James Rouse, Hearing Officer Staff requests entry of an Order Finding Violation against Ranchers for violations of Section (1), C.R.S., and Rules 1002.f. (Stormwater Management) and 1004 (Final Reclamation) at the Retta J 1 Well and River West 2 Well. Staff requests that the Commission impose a penalty of $78,500 and authorize Staff to foreclose Ranchers existing financial assurance and claim both the principal and any accrued, but undisbursed, interest that may exist, if Ranchers fails to pay the penalty or perform the required corrective actions. Hearing Officer Rouse introduced the matter, explaining that Ranchers did not communicate with Staff regarding the violation. Mr. Rouse stated that Ranchers did not comply with the Hearing Officer s orders including notice that failure to attend a prehearing conference would result in a waiver of rights. No one appeared on behalf of Ranchers, and the Hearing Officer therefore entered a default judgment. There are no disputed factual or legal issues; however, Staff are available to answer any questions from the Commission. Recommends entry of an OFV. Ms. Beckstead: Would the Commissioners like to hear a presentation or simply allow Staff to answer any questions? The Commissioners did not have any questions. Commissioner Holton made a motion to accept Staff s recommendation, which was seconded by Commissioner Wolk. The motion was approved unanimously. The Commission adjourned at 4:32 p.m. Page 59 of 76

60 The Secretary was therefore authorized to issue the following orders: Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in four approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell and Niobrara Formations, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 400-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 640-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 440-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 200-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Page 60 of 76

61 Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County. Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in three approximate acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in three approximate acre designated horizontal wellbore spacing units ( WSU ) established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 200-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Page 61 of 76

62 Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 640-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: 1. Establish an approximate 1,280-acre drilling and spacing unit for Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations; 2. Approve up to 25 horizontal wells within the proposed unit; 3. Pool all interests in the approximate 1,280- acre drilling and spacing unit proposed for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in nine approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Bill Barrett Corporation s request for an order to among other things: Pool all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, effective as of the earlier of the date of the Application, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in an approximate 400-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: 1) Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Page 62 of 76

63 Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in three approximate 320-acre designated horizontal wellbore spacing units, established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in nine approximate 320-acre designated wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units, established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No UP-189, Wattenberg Field, Adams County Approves Ward Petroleum Corporation s request for an order to among other things: 1) Establish an approximate 640-acre drilling and spacing unit for horizontal well development to the Codell and Niobrara Formations. 2) Approve up to 12 horizontal wells within the unit. Order No , Docket No , Wattenberg Field, Weld County Approves Ward Petroleum Corporation s request for an order to among other things: 1) Establish an approximate 320-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations; 2) Approve up to 11 horizontal wells within the unit. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Page 63 of 76

64 Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Buck Peak Field, Routt County Approves SWN Production Company, LLC s request for an order to among other things: 1) Establish an approximate acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; 2) Approve up to three horizontal wells and one vertical well within the unit. Order No , Docket No , Unnamed Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Unnamed Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Hereford Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Hereford Field, Weld County Page 64 of 76

65 Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Hereford Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in an approximate 1280-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Unnamed Field, Jackson County Approves EE3 LLC s request for an order to among other things: Allow 300 foot setbacks as to the unit boundaries of the Surprise Federal Exploratory Unit, composed of the Application Lands, for the production of oil, gas, and associated hydrocarbons from the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in an approximate 640-acre designated horizontal wellbore spacing unit, established for the Application Lands, for the development and operation of the Niobrara Formation, effective as of the date of the Application. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in five approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in two approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in two approximate 560-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Page 65 of 76

66 Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in three approximate 280-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas LLC s request for an order to among other things: Pool all interests in three approximate 560-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Unnamed Field, Weld County Approves Caerus WashCo LLC s request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations; and 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Order No , Docket No , Unnamed Field, Weld County Approves Caerus WashCo LLC s request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation Order No , Docket No , Unnamed Field, Weld County Approves Caerus WashCo LLC s request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Order No , Docket No , Unnamed Field, Weld County Approves Caerus WashCo LLC s request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2) Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Order No , Docket No , Unnamed Field, Weld County Approves Carrizo Oil and Gas, Inc. s request for an order to among other things: Pool all interests in an approximate 640-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Unnamed Field, Weld County Page 66 of 76

67 Approves Carrizo Oil and Gas, Inc. s request for an order to among other things: Pool all interests in an approximate 640-acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Unnamed Field, Weld County Approves Anadarko E&P Onshore LLC s request for an order to among other things: 1) Establish an approximate 1, acre drilling and spacing unit for the production of oil, gas, and associated hydrocarbons from the Niobrara Formation; 2) Approve the drilling of up to seven horizontal wells within the proposed unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; and 3) Approve an additional five horizontal wells, for a total of six horizontal wells within the existing drilling and spacing unit established by Order No for production of oil, gas, and associated hydrocarbons from the Codell Formation. Order No , Docket No , Hereford Field, Weld County Approves Anadarko E&P Onshore LLC s request for an order to among other things: 1) Authorize an additional six horizontal wells, for a total of seven horizontal wells, in an approximate 1, acre drilling and spacing unit for the production of oil, gas associated hydrocarbons from the Niobrara Formation; and 2) Authorize an additional five horizontal wells, for a total of six horizontal wells, in an approximate 1, acre drilling and spacing unit for production from the Codell Formation. Order No , Docket No , Unnamed Field, Weld County Approves Anadarko E&P Onshore LLC s request for an order to among other things: 1) Establish an approximate 1, acre drilling and spacing unit for the Application Lands for production of oil, gas and associated hydrocarbons from the Niobrara Formation; 2) Authorize the drilling of up to seven horizontal wells within the proposed unit, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation; and 3) Authorize an additional five horizontal wells, for a total of six horizontal wells within an approximate 1, acre drilling and spacing unit established by Order No for production of oil, gas, and associated hydrocarbons from the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Extraction Oil & Gas, LLC s request for an order to among other things: Pool all interests in three approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Bill Barrett Corporation s request for an order to among other things: Pool all interests in two approximate 640-acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Hamilton Creek Field, San Miguel County Approves CCI Paradox Upstream LLC s request for an order to among other things: 1) Establish an approximate acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Hermosa Group Formation; 2) Approve one directional well within the unit. Page 67 of 76

68 Order No , Docket No , Wattenberg Field, Larimer & Weld Counties Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in five approximate 240-acre to 480-acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Larimer & Weld Counties Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in three approximate 480-acre designated horizontal wellbore spacing units established for the Application Lands, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Unnamed Field, Garfield County Approves Mustang Creek Operating, LLC s request for an order to among other things: 1) Establish an approximate 160-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Lansing, Marmaton, Cherokee, Atoka, Morrow (Pennsylvanian age), St. Louis, Spergen, Warsaw, Harrison, Gilmore City (Mississippian age), Arbuckle and Reagan Formations. Order No , Docket No , Unnamed Field, Weld County Approves Bayswater Exploration & Production, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Bayswater Exploration & Production, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Unnamed Field, Weld County Approves Caerus WashCo LLC s request for an order to among other things: 1) Establish an approximate 1280-acre drilling and spacing unit for the Application Lands for the production of oil, gas and associated hydrocarbons from the Niobrara and Codell Formations 2)Approve up to 28 horizontal wells within the unit, with 24 horizontal wells to be drilled to the Niobrara Formation and four horizontal wells to be drilled to the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: 1) Pool all interest in an approximate 480-acre horizontal wellbore spacing unit designated for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: 1) Pool all interest in two approximate 480-acre designated horizontal wellbore spacing units, for the development and operation of the Niobrara and Codell Formations. Order No , Docket No , Wattenberg Field, Weld County Page 68 of 76

69 Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: 1) Pool all interest in two approximate 240-acre designated horizontal wellbore spacing units, for the development and operation of the Niobrara and Codell Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interest in two approximate 480-acre horizontal wellbore spacing units designated for the Application Lands for the development and operation of the Niobrara and Codell Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: 1) Pool all interest in an approximate 240-acre horizontal wellbore spacing unit designated for the Application Lands for the development and operation of the Niobrara Formation. Order No , Docket No , Hereford Field, Weld County Approves EOG Resources, Inc. s request for an order to among other things: 1) Establish 11 approximate 1280-acre drilling and spacing units for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation; 2) Approve up to three horizontal wells within the unit. Order No , Docket No , Hereford Field, Weld County Approves EOG Resources, Inc. s request for an order to among other things: Modify portions of Order No to allow for up to six horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Order No , Docket No , Hereford Field, Weld County Approves EOG Resources, Inc. s request for an order to among other things: Modify portions of Order No to allow for up to six horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Order No , Docket No , Hereford Field, Weld County Approves EOG Resources, Inc. s request for an order to among other things: Modify portions of Order No to allow for up to six horizontal wells within each drilling and spacing unit comprising the Application Lands, for the production of oil, gas and associated hydrocarbons from the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 560-acre designated wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated wellbore spacing unit for the development and operation of the Codell Formation. Page 69 of 76

70 Order No , Docket No , Wattenberg Field, Weld County Approves Bonanza Creek Energy Operating Company LLC s request for an order to among other things: Pool all interests in an approximate 630-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 299-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 299-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 296-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 315-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 315-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Page 70 of 76

71 Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 480-acre designated horizontal wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Unnamed Field, Weld County Approves Noble Energy, Inc. s request for an order to among other things: 1) Establish two approximate 640-acre drilling and spacing units for the Application Lands for the Codell Formation. 2) Approve up to 15 horizontal wells within the 640-acre drilling and spacing unit established for Section 21, Township 9 North, Range 59 West, 6th P.M. (DSU #1), and up to 16 horizontal wells within the 640-acre drilling and spacing unit established for Section 24, Township 9 North, Range 59 West, 6th P.M. (DSU #2), for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations. Order No , Docket No , Unnamed Field, Weld County Approves Noble Energy, Inc. s request for an order to among other things: 1) Establish an approximate 3840-acre drilling and spacing unit for the Application Lands and approve up to 56 horizontal wells within the unit, for the production of oil, gas and associated hydrocarbons from the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Page 71 of 76

72 Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 480-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Great Western Operating Company, LLC s request for an order to among other things: Pool all interests in an approximate 1120-acre drilling and spacing unit, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Great Western Operating Company, LLC s request for an order to among other things: Subject additional parties to Order No , which pooled all interests, including non-consenting parties, in an approximate 320-acre designated horizontal wellbore spacing unit, for the development of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 240-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Page 72 of 76

73 Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 280-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Wattenberg Field, Weld County Approves PDC Energy, Inc. s request for an order to among other things: Pool all interests in an approximate 320-acre designated horizontal wellbore spacing unit, for the development and operation of the Codell Formation. Order No , Docket No , Unnamed Field, Elbert County Approves Mustang Creek Operating, LLC s request for an order to among other things: 1) Pool all interests within an approximate 160-acre drilling and spacing unit for the Application Lands, for the development and operation of the Lansing, Marmaton, Cherokee, Atoka, Morrow (Pennsylvanian age), St. Louis, Spergen, Warsaw, Harrison, Gilmore City (Mississippian age), Arbuckle and Reagan Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in the approximate 400-acre designated wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Kerr-McGee Oil & Gas Onshore LP s request for an order to among other things: Pool all interests in the approximate 400-acre designated wellbore spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Bayswater Exploration & Production, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Bayswater Exploration & Production, LLC s request for an order to among other things: Pool all interests in an approximate acre drilling and spacing unit established for the Application Lands, for the development and operation of the Niobrara Formation. Order No , Docket No , Wattenberg Field, Weld County Approves Great Western Operating Company, LLC s request for an order to among other things: Pool all interests in two approximate 560-acre designated horizontal wellbore spacing units, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Wattenberg Field, Weld County Approves Great Western Operating Company, LLC s request for an order to among other things: Pool all interests in two approximate 320-acre designated horizontal wellbore spacing units, for the development and operation of the Codell and Niobrara Formations. Order No , Docket No , Unnamed Field, Arapahoe County Page 73 of 76

74 Approves ConocoPhillips Company s request for an order to among other things: 1) Approve an additional two horizontal wells, for a total of up to four horizontal wells, within an approximate drilling and spacing unit established for the Application Lands. Order No , Docket No , Unnamed Field, Arapahoe County Approves ConocoPhillips Company s request for an order to among other things: Establish an approximate 1280-acre drilling and spacing unit for the Application Lands, for the production of oil, gas and associated hydrocarbons from the Niobrara Formation, and approve up to two horizontal wells within the unit. Enforcement Orders: Order No. 1V-526, Docket No , Ranchers Exploration Partners LLC (Operator No ) Approves Staff s request for entry of an Order Finding Violation against Ranchers for violations of Section (1), C.R.S., and Rules 1002.f. (Stormwater Management) and 1004 (Final Reclamation) at the Retta J 1 Well and River West 2 Well. Staff requested that the Commission impose a penalty of $78,500 and authorize Staff to foreclose Ranchers existing financial assurance and claim both the principal and any accrued, but undisbursed, interest that may exist, if Ranchers fails to pay the penalty or perform the required corrective actions. Order No. 1V-515, Docket No , Black Diamond Minerals LLC (Operator No ) Approves Staff s request for approval of an AOC with Black Diamond Minerals imposing a $72,000 penalty for violations of Rule 210 (Signs & Markers, Tanks), Rule 603.f. (Statewide Requirements for Weeds, Unused Equipment, Debris and Trash), and the Colorado Oil and Gas Conservation Act ( Act ), (1), C.R.S. (Violation of a Permit) at the TPR Well Pad/36A. Order No. 1V-518, Docket No , KP Kauffman Company, Inc. (Operator No ) Approves Staff s request for approval of an AOC with KP Kaufman Company imposing a $1,000 penalty for a one-day violation of Rule 317 (General Drilling Rules) at the A.D. Jeffers A #1 Well. Order No. 1V-525, Docket No , Kestrel Resources, Inc. (Operator No ) Approves Staff s request for approval of an AOC with Kestrel Resources imposing a $174,600 penalty, $125,000 mandatory payment and $49,600 suspended, for violations of Rule 906.a. (Spills & Releases, General), Rule 906.b. (Reporting spills or releases of E&P Waste or produced fluids), and Rule 907.a.(1) (Management of E&P waste, Operator Obligations) at the Travis 1 Well and Ward Kincheloe 1 Well. Order No. 1V-520, Docket No , P&M Petroleum Management LLC (Operator No ) Approves Staff s request for approval of an AOC with P&M Petroleum Management and its Managing Member and sole employee, Mr. Neibauer, imposing a $256,300 penalty, with $156,300 suspended pending successful completion of numerous compliance requirements outlined in the AOC, for violations of: 1. Rule 210 (Signs and Markers) and Rule 603.f (Equipment, weeds, waste, and trash requirements) at the Axsom 430 Well (API No ) in Washington County. 2. Rule 906.a. (Spills and Releases) and Rules 1004.a and b (Final Reclamation) at the Lousberg 1 Well (API No ) in Weld County. 3. Rule Page 74 of 76

75 309 (Form 7, Operator s Monthly Report of Operations) and Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Hunt 1 Well (API No ) in Baca County. 4. Rule 309 (Form 7, Operator s Monthly Report of Operations) and Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Newlin 1 Well (API No ) in Baca County. 5. Rule 326.b.(1) (Mechanical Integrity Testing, Shut-in Wells) at the Silvey Flats 1-8 Well (API No ) in Mesa County. 6. Statewide violation of Rule 302 (Registration for Oil and Gas Operations). Order No. 1V-522, Docket No , Suncor Energy (U.S.A.) Inc.(Operator No ) Approves Staff s request for approval of an AOC with Suncor Energy imposing a $10,000 penalty, $1,000 mandatory payment and $9,000 suspended, for a violation of Rule 302.a. (COGCC Form 1. Registration for Oil and Gas Operations). Order No. 1V-513, Docket No , TOP Operating Company (Operator No ) Approves Staff s request for approval of an AOC with Top Operating Company imposing a $2,000 penalty for a violation of Rule 318A.e.(4) (now Rule 318A.f.) (Groundwater Baseline Sampling and Monitoring) for failing to perform pre-spud groundwater sampling at the Haley 10 Well (API No ) in Weld County. Order No. 1V-521, Docket No , Overland Resources LLC (Operator No ) Approves Staff s request for approval of an AOC with Overland Resources imposing a $53,900 penalty, $3,734 mandatory payment and $50,166 suspended, for a violation of Rule 302.a. (COGCC Form 1. Registration for Oil and Gas Operations). Order No. 1V-511, Docket No , Bayswater Exploration & Production, LLC Approves Staff s request for approval of an AOC with Bayswater Exploration & Production imposing a $10,000 penalty for violations of Rule 902.a. (Pits - General and Special Rules) and Rule 902.b. (Pits - General and Special Rules). Order No. 1V-517, Docket No , Coachman Energy Operating Company LLC Approves Staff s request for approval of an AOC with Coachman Energy Operating Company imposing a $2,000 penalty for a violation of Rule 609 (Statewide Groundwater Baseline Sampling and Monitoring) for failing to perform pre-spud groundwater sampling at the Federal 14/ (API No ) in Garfield County. Order No. 1V-512, Docket No , Mendell Finisterre II LLC (Operator No ) Approves Staff s request for approval of an AOC with Mendell Finisterre II LLC imposing a $2,000 penalty for violations of the Colorado Oil and Gas Conservation Act, (1), C.R.S., for the failure to install light abatement measures according to an approved Form 2A permit at the Alicia 12-15H-5N Well. Order No. 1V-516, Docket No , Stelbar Corporation, Inc. (Operator No ) Approves Staff s request for approval of an AOC with Stelbar Corporation imposing a $45,000 penalty for violations of Rule 303.b.(1)C (Oil and Gas Location Assessment), Rule 903.a.(1) (Pit Permitting/Reporting Requirements), Rule 905.b. (Closure of pits, and buried or partially buried produced water vessels), and Rule 906.b. (Reporting spills or releases of E&P Waste or produced fluids). Page 75 of 76

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