OCD Permitting

PRELIMINARY DOCKET: Special Examiner's Hearing set for October 14, 2025 [VIRTUAL]

For hearings by affidavit: presenting parties are required to submit a pre-hearing statement no later than the Thursday before the hearing. The pre-hearing statement shall include: 1) a list of disputed facts and issues; 2) identification of witnesses and their qualifications; and 3) all exhibits and written testimony a party intends to enter into evidence at the hearing and a full narrative for each.

For contested matters: pre-hearing statements shall be filed no later than 9:00 a.m., 4 business days prior to the hearing and in addition to the requirements of 19.15.4.13.B(1) NMAC, shall include: all evidentiary exhibits, documents, affidavits, and full-written testimony of any witness a party offers at the hearing. Exhibits must be sequentially marked on every page.

Failure to timely file a complete pre-hearing statement may cause the Hearing Examiner to continue the hearing and/or impose sanctions up to and including the exclusion of late-filed evidence. Evidentiary objections must be filed no later than 48 hours before the hearing. Rulings on the objections will be addressed as a preliminary matter when the case is called.

If you are an individual with a disability who needs a reader, amplifier, qualified sign language interpreter, or other form of auxiliary aid or service to attend or participate in a hearing, contact Freya.Tschantz@emnrd.nm.gov, or the New Mexico Relay Network at 1-800-659-1779, no later than 10 days prior to the hearing.

NOTICE: The hearing examiner may call the following cases in any order at their discretion.

Case No. Description
1. 25470 Application of Paloma Permian AssetCo, LLC for approval compulsory pooling, Lea County, New Mexico. Applicant seeks an order from the Division pooling all uncommitted interests within a 320-acre, more or less, Wolfcamp horizontal spacing unit comprised of the E/2 of Section 8, Township 26 South, Range 33 East, NMPM, Lea County, New Mexico. This spacing unit will be dedicated to the following wells: Fat Chicken 8 Fed Com 701H, Fat Chicken 8 Fed Com 751H, and Fat Chicken 8 Fed Com 801H wells with proposed first take points in the SW/4SE/4 (Unit O) of Section 8 and proposed last take points in the NW/4NE/4 (Unit B) of Section 8; and Fat Chicken 8 Fed Com 702H, Fat Chicken 8 Fed Com 703H, Fat Chicken 8 Fed Com 752H, and Fat Chicken 8 Fed Com 802H wells with proposed first take points in the SE/4SE/4 (Unit P) of Section 8 and proposed last take points in the NE/4NE/4 (Unit A) of Section 8. The producing area for the wells is expected to be orthodox. The completed interval for the Fat Chicken 8 Fed Com 702H well is expected to be less than 330 feet from the adjoining tracts thereby allowing for the inclusion of the proximity tracts within the proposed spacing unit. Also to be considered will be the cost of drilling, completing, and equipping said wells, the allocation of these costs as well as the actual operating costs and charges for supervision while drilling and after completion, designation of as Paloma Permian AssetCo, LLC as operator of the wells, and a 200% charge for risk involved in drilling said wells. Said area is located approximately 24 miles southwest of Jal, New Mexico.
2. 25675 Application of COG Operating LLC for Compulsory Pooling, Lea County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 320-acre, more or less, horizontal well spacing unit in a portion of the Wolfcamp formation (oil), measured from the stratigraphic equivalent between 12,068 feet total vertical depth to 12,600 feet total vertical depth beneath the surface, underlying the E/2 of Section 8, Township 26 South, Range 33 East, NMPM, Lea County, New Mexico. Applicant seeks to initially dedicate the above-referenced horizontal spacing unit to the proposed Tigercat Federal Com 701H and Tigercat Federal Com 702H wells, both to be drilled from surface locations in the N/2 NE/4 of Section 8, first take points in the NW/4 NE/4 (Unit B) of Section 8 and last take points in the SW/4 SE/4 (Unit O) of Section 8; and Tigercat Federal Com 703H and Tigercat Federal Com 704H wells, both to be drilled from surface locations in the N/2 NE/4 of Section 8, first take points in the NE/4 NE/4 (Unit A) of Section 8 and last take points in the SE/4 SE/4 (Unit P) of Section 8. The completed interval of the Tigercat Federal Com 703H is expected within 330 feet of the adjoining quarter-quarter section (or equivalent) tracts to allow inclusion of these proximity tracts within the proposed horizontal spacing unit under 19.15.16.15.B(1)(b) NMAC. Also to be considered will be the cost of drilling and completing the wells and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Applicant as operator of the wells, and a 200% charge for risk involved in drilling the wells. The subject area is located approximately 4 miles north of the Texas and New Mexico border.
3. 25676 Application of COG Operating LLC for Approval of an Overlapping Horizontal Well Spacing Unit and Compulsory Pooling, Lea County, New Mexico. Applicant in the above-styled cause seeks an order order (1) approving a 640-acre, more or less, overlapping horizontal well spacing unit in a portion of the Wolfcamp formation (oil), measured from the stratigraphic equivalent between 12,600 feet total vertical depth to 13,812 feet total vertical depth beneath the surface, underlying the E/2 of Sections 8 and 17, Township 26 South, Range 33 East, NMPM, Lea County, New Mexico, and (2) pooling all uncommitted interests in this acreage. Applicant seeks to initially dedicate the above-referenced horizontal spacing unit to the proposed Tigercat Federal Com 801H well, to be drilled from surface location in the N/2 NE/4 of Section 8, a first take point in the NW/4 NE/4 (Unit B) of Section 8 and a last take point in the SW/4 SE/4 (Unit O) of Section 17; and Tigercat Federal Com 802H and Tigercat Federal Com 803H wells, both to be drilled from surface locations in the N/2 NE/4 of Section 8, first take points in the NE/4 NE/4 (Unit A) of Section 8 and last take points in the SE/4 SE/4 (Unit P) of Section 17. This proposed horizontal well spacing unit will overlap the following spacing units in the Wolcamp formation:
•    An existing 160-acre spacing unit in the Wolfcamp formation underlying the E/2 E/2 of Section 17, T26S-R33E, currently dedicated to COG Operating LLC’s Vast State 20H (API No. 30-025-43655), Vast State 21H (API No. 30-025-43550), Vast State 22H (API No. 30-025-43551) and Vast State 23H (API No. 30-025-43552); and
•    An existing 160-acre spacing unit in the Wolfcamp formation underlying the W/2 E/2 of Section 17, T26S-R33E, currently dedicated to COG Operating LLC’s Vast State 24H (API No. 30-025-43545), Vast State 25H (API No. 30-025-43546) and Vast State 26H (API No. 30-025-43547).
The completed interval of the Tigercat Federal Com 802H is expected within 330 feet of the adjoining quarter-quarter section (or equivalent) tracts to allow inclusion of these proximity tracts within the proposed horizontal spacing unit under 19.15.16.15.B(1)(b) NMAC. Also to be considered will be the cost of drilling and completing the wells and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Applicant as operator of the well, and a 200% charge for risk involved in drilling the wells. The subject area is located approximately 4 miles north of the Texas and New Mexico border.
4. 25541 Application of Marathon Oil Permian LLC for Compulsory Pooling and Approval of Non-Standard Spacing Unit, Lea County, New Mexico. Applicant seeks an order pooling all uncommitted interests in the Wolfcamp formation underlying a 1,579.28-acre, more or less, non-standard, horizontal spacing unit comprised of all of Sections 24, 25, and irregular Section 36, Township 26 South, Range 34 East, Lea County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): Goliath 24 Federal Com #601H, which will produce from a first take point located in the NW/4 NW/4 (Unit D) of Section 24 to a last take point located in Lot 4 of Section 36; Goliath 24 Federal Com #602H, which will produce from a first take point located in the NE/4 NW/4 (Unit C) of Section 24 to a last take point located in Lot 3 of Section 36; Goliath 24 Federal Com #603H, which will produce from a first take point located in the NW/4 NE/4 (Unit B) of Section 24 to a last take point located in Lot 2 of Section 36; Goliath 24 Federal Com #604H, which will produce from a first take point located in the NW/4 NE/4 (Unit B) of Section 24 to a last take point located in Lot 2 of Section 36; Goliath 24 Federal Com #701H, which will produce from a first take point located in the NW/4 NW/4 (Unit D) of Section 24 to a last take point located in Lot 4 of Section 36; Goliath 24 Federal Com #702H, which will produce from a first take point located in the NE/4 NW/4 (Unit C) of Section 24 to a last take point located in Lot 3 of Section 36; Goliath 24 Federal Com #703H, which will produce from a first take point located in the NW/4 NE/4 (Unit B) of Section 24 to a last take point located in Lot 2 of Section 36; and Goliath 24 Federal Com #704H, which will produce from a first take point located in the NE/4 NE/4 (Unit A) of Section 24 to a last take point located in Lot 1 of Section 36. The completed intervals of the Wells will be orthodox. Marathon Oil Permian requests approval of a non-standard horizontal spacing unit pursuant to Rule 19.15.16.15(B)(5) NMAC, which will create cost efficiencies, prevent waste, and protect correlative rights. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the cost, the designation of Applicant as operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately 18 miles Southwest of Jal, New Mexico.
5. 25542 Case No. 25542: Application of Marathon Oil Permian LLC for Compulsory Pooling and Approval of Non-Standard Spacing Unit, Lea County, New Mexico. Applicant seeks an order pooling all uncommitted interests in the Bone Spring formation underlying a 1,579.28-acre, more or less, non-standard, horizontal spacing unit comprised of all of Sections 24, 25, and irregular Section 36, Township 26 South, Range 34 East, Lea County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): Goliath 24 Federal Com #303H, which will produce from a first take point located in the NW/4 NW/4 (Unit D) of Section 24 to a last take point located in Lot 4 of Section 36; Goliath 24 Federal Com #301H, which will produce from a first take point located in the NE/4 NW/4 (Unit C) of Section 24 to a last take point located in Lot 3 of Section 36; Goliath 24 Federal Com #302H, which will produce from a first take point located in the NE/4 NW/4 (Unit C) of Section 24 to a last take point located in Lot 3 of Section 36; Goliath 24 Federal Com #304H, which will produce from a first take point located in the NW/4 NE/4 (Unit B) of Section 24 to a last take point located in Lot 2 of Section 36; Goliath 24 Federal Com #305H, which will produce from a first take point located in the NE/4 NE/4 (Unit A) of Section 24 to a last take point located in Lot 1 of Section 36; Goliath 24 Federal Com #306H, which will produce from a first take point located in the NE/4 NE/4 (Unit A) of Section 24 to a last take point located in Lot 1 of Section 36; Goliath 24 Federal Com #503H, which will produce from a first take point located in the NW/4 NW/4 (Unit D) of Section 24 to a last take point located in Lot 4 of Section 36; Goliath 24 Federal Com #505H, which will produce from a first take point located in the NW/4 NE/4 (Unit B) of Section 24 to a last take point located in Lot 2 of Section 36; and Goliath 24 Federal Com #506H, which will produce from a first take point located in the NE/4 NE/4 (Unit A) of Section 24 to a last take point located in Lot 1 of Section 36. The completed intervals of the Wells will be orthodox. Applicant also requests approval of a non-standard horizontal spacing unit pursuant to Rule 19.15.16.15(B)(5) NMAC, which will create cost efficiencies, prevent waste, and protect correlative rights. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the cost, the designation of Applicant as operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately 18 miles Southwest of Jal, New Mexico.
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