Extraction Submits Application to Force Pool Unleased Mineral Owners

 

Extraction Oil and Gas submitted an application to the Colorado Oil and Gas Conservation Commission (COGCC) on August 31 to force pool approximately 1000 unleased mineral owners in the Lowell South spacing unit to be drained by 19 wells on the Livingston Pad.  Some of these unleased mineral owners received a notice about this application on September 8.  The notice also lists about 1150 leased mineral owners in the same spacing unit which is part of Section 7 and all of Section 18 and 19 in Township 1 South, Range 68 West.  See pink area on map.  

Homeowners who own their minerals in Wildgrass, Broadlands and Silverleaf had previously been sent lease offers by Extraction and various other third parties.  Homeowners who previously signed a lease offer and believe they are mistakenly listed as unleased mineral owners should contact the party with whom they signed the lease.  Mineral owners who do not sign a lease will be forced by the State of Colorado to lease their minerals to Extraction.   If a mineral owner has decided not to sign a lease and wants to explore further options, they can contact the Wildgrass Oil and Gas Committee (WOGc) at wildgrassogc@gmail.com

The Lowell South Spacing Unit was approved by the COGCC on December 11, 2017 after over a year of protests by WOGc.  Despite continuing protests by WOGc and other concerned Broomfield residents, the COGCC approved the Livingston Pad Form 2A and 2 drilling permits on June 1, 2018.  Unleased mineral owners who are the subjects of a forced pooling application by an operator are entitled to a hearing at least 60 days after receiving a reasonable offer to lease.  Extraction sent incomplete lease offers to some unleased mineral owners on June 24 and August 27.

Extraction’s forced pooling application lists the spud dates for the Livingston Pad wells as 2nd Quarter 2019.  (A spud date is when an operator begins to drill a well.)  This application only lists the 13 wells approved by the COGCC on June 1.  Additionally, some Broomfield mineral owners began receiving notices during the week of August 27 from Extraction Oil and Gas dated August 13 with the heading: “RE: Notice of Intent to Propose Rule 318A.a.(4)D Horizontal Wells.”  Extraction seemed to be following COGCC exception rules to apply for a new 800 acre narrow spacing unit in order to drill a boundary well off the Livingston Pad in a path along the western edge of the Lowell South Spacing Unit.  The proposed new unit appears to overlap several residential areas in Broomfield including portions of Anthem Ranch, Wildgrass, Broadlands and Aspen Creek, and areas west of these communities in Boulder County.