OCD Permitting

Cases Scheduled for Commission Hearing for Thursday, November 9, 2023

Below is a preliminary list of cases schedule to be heard at this OCC hearing. A party desiring to use projection equipment at the hearing shall contact Florene Davidson, OCD Clerk, no later than seven (7) business days prior to the hearing.

Case No. Description
1. 21744 Application of Cimarex Energy Co. for Hearing De Novo of Case No. 21629. The New Mexico Oil Conservation Division issued Order No. R-21575 in Case No. 21629. Magnum Hunter Production, Inc., an affiliate of Cimarex Energy Co. (collectively referred to herein as “Cimarex”) owned a working interest in the unit pooled by Order No. R-21575, issued pursuant to a hearing held before the Division on January 7, 2021. Cimarex, a party of record adversely affected by Order No. R-21575, requests that the matter raised in this case be heard de novo before the Oil Conservation Commission pursuant to NMSA 1978, §70-2-13.
2. 22018 Application of Cimarex Energy Co. for a Horizontal Spacing and Proration Unit and Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division: (1) creating a standard 479.39-acre, more or less, horizontal spacing and proration unit comprised of the S/2 N/2 of Sections 2 and 1, Township 20 South, Range 29 East; and the S/2 N/2 of Section 6, Township 20 South, Range 30 East; NMPM, Eddy County, New Mexico, and (2) pooling all mineral interests in the Bone Spring formation underlying the unit. Said horizontal spacing unit is to be dedicated to the Crest 2-1-6 State Fed Com 2H Well, to be horizontally drilled from a surface location in the SW/4 NW/4 (Unit E) of Section 2 to a bottom hole location in the SE/4 NE/4 (Unit H) of Section 6. The completed interval and first take and last take point for the well meets the Division’s statewide setback requirements for horizontal oil wells. Also to be considered will be the cost of drilling and completing the well and the allocation of the costs thereof; actual operating costs and charges for supervision; the designation of the Applicant as Operator of the well and unit; and a 200% charge for the risk involved in drilling and completing the well. The well and lands are located approximately 12 miles northeast of Carlsbad, New Mexico.
3. 22019 Application of Cimarex Energy Co. for a Horizontal Spacing and Proration Unit and Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division: (1) creating a standard 484.63-acre, more or less, horizontal spacing and proration unit comprised of the N/2 N/2 of Sections 2 and 1, Township 20 South, Range 29 East; and the N/2 N/2 of Section 6, Township 20 South, Range 30 East; NMPM, Eddy County, New Mexico, and (2) pooling all mineral interests in the Bone Spring formation underlying the unit. Said horizontal spacing unit is to be dedicated to the Crest 2-1-6 State Fed Com 1H Well, to be horizontally drilled from a surface location in SW/4 NW/4 (Unit E) of Section 2 to a bottom hole location in Lot 1 (aka NE/4 NE/4) of Section 6. The completed interval and first take and last take point for the well meets the Division’s statewide setback requirements for horizontal oil wells. Also to be considered will be the cost of drilling and completing the well and the allocation of the costs thereof; actual operating costs and charges for supervision; the designation of the Applicant as Operator of the well and unit; and a 200% charge for the risk involved in drilling and completing the well. The well and lands are located approximately 12 miles northeast of Carlsbad, New Mexico.
4. 23942 Application Of Avant Operating, LLC For Hearing De Novo of Case Nos. 23640-23645, Eddy County, New Mexico--Applications of Colgate Production, LLC for Compulsory Pooling, Eddy County, New Mexico.
5. 23943 Application of Northwind Midstream Partners LLC for Approval of Redundant Acid Gas Injection Well As Required Under Order No. R-20913, As Amended, Lea County, New Mexico. Applicant in the above-styled cause seeks an order authorizing injection of treated acid gas (“TAG”) for purposes of disposal into a redundant acid gas injection (“AGI”) well to be named the Salt Creek AGI #2 Well (API No. pending) as required under Order No. R-21093-D, as amended. The proposed well will be located approximately 2,513 feet from the north line and 310 feet from the west line (Unit E) of said Section 21, Township 26 South, Range 36 East, NMPM, Lea County, New Mexico. Injection will be into the Silurian-Devonian formations at depths of approximately 17,550 feet to 18,650 feet below the ground through an open-hole completion. The injection stream will consist of TAG comprised of approximately 80 percent carbon dioxide and 20 percent hydrogen sulfide from oil and gas wells in the area. The proposed maximum rate of injection is 12 million standard cubic feet (MMSCF) per day (approximately 6,631 barrels per day) of TAG. The proposed maximum allowable operating pressure will be 5,798 psig. The subject well will be located approximately 7.5 miles southwest of Jal, N.M.
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