PRELIMINARY DOCKET:
OCD Special Hearing for August 29, 2024
Applications for hearing shall be filed at least thirty (30) days in advance of the hearing date.
A party who intends to present evidence shall file a pre-hearing statement no later than the close of
business on the Thursday prior to the hearing date and serve a copy on the other parties, if any. The
hearing examiner will dismiss the application if the applicant does not file and serve a pre-hearing
statement as specified above. 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.
NOTICE: The hearing examiner may call the following cases in any order in his or her discretion.
1.
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24605
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Application of FAE II Operating, LLC for Enhanced Oil Recovery Project and to Qualify the Project for the Recovered Oil Tax Rate Lea County, New Mexico. Applicant is a working interest owner in the proposed North Jal Unit (the "Unit Area"), which comprises 3,154.37 acres of the following federal, state, and fee lands located in Lea County, New Mexico:
Township 24 South, Range 36 East, N.M.P.M.
Section 25: S/2 Section 26: E2SE Section 35: E2NE Section 36: ALL
Township 24 South, Range 37 East, N.M.P.M.
Section 19: E/2 Section 20: SW/4, SWNW Section 29: W/2 Section 30: NE/4, S/2 Section 31: N2NW
Township 25 South, Range 36 East, N.M.P.M.
Section 1: All
The unitized interval extends from the top of the Yates Formation to a lower limit at the base of the Queen Formation. Among the matters to be considered at hearing, pursuant to the New Mexico Statutory Unitization Act, NMSA 1978, §§ 70-7-1 et seq., will be: the necessity of unit operations; the determination of horizontal and vertical limits of the unit area; the determination of the fair, reasonable, and equitable allocation of production and costs of production, including capital investments, to each of the tracts in the unit area; the determination of credits and charges to be made among the working interest owners in the unit area for their investment in wells and equipment; and such other matters as may be necessary and appropriate.. The unit area is centered approximately 5 miles North of Jal, New Mexico.
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2.
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24606
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Application of FAE II Operating, LLC for Statutory Unitization, Lea County, New Mexico. Applicant is a working interest owner in the proposed North Jal Unit (the "Unit Area"), which comprises 3,154.37 acres of the following federal, state, and fee lands located in Lea County, New Mexico:
Township 24 South, Range 36 East, N.M.P.M.
Section 25: S/2 Section 26: E2SE Section 35: E2NE Section 36: ALL
Township 24 South, Range 37 East, N.M.P.M.
Section 19: E/2 Section 20: SW/4, SWNW Section 29: W/2 Section 30: NE/4, S/2 Section 31: N2NW
Township 25 South, Range 36 East, N.M.P.M.
Section 1: All
The unitized interval extends from the top of the Yates Formation to a lower limit at the base of the Queen Formation. Among the matters to be considered at hearing, pursuant to the New Mexico Statutory Unitization Act, NMSA 1978, §§ 70-7-1 et seq., will be: the necessity of unit operations; the determination of horizontal and vertical limits of the unit area; the determination of the fair, reasonable, and equitable allocation of production and costs of production, including capital investments, to each of the tracts in the unit area; the determination of credits and charges to be made among the working interest owners in the unit area for their investment in wells and equipment; and such other matters as may be necessary and appropriate.. The unit area is centered approximately 5 miles North of Jal, New Mexico.
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