OCD Permitting

PRELIMINARY DOCKET: OCD Special Hearing for October 8, 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.

Case No. Description
1. 24632 Application of Avant Natural Resources, LLC for Compulsory Pooling and Approval of an Overlapping Non-Standard Horizontal Spacing Unit, Lea County, New Mexico. Applicant in the above-styled cause seeks an order from the Division: (1) approving an overlapping 1,280-acre, more or less, non-standard horizontal spacing and proration unit composed of all of Sections 29 and 32, Township 18 South, Range 34 East, N.M.P.M.; and (2) pooling all uncommitted mineral interests in the Bone Spring Formation, but excluding the second bench of the Bone Spring formation, designated as an oil pool, underlying said unit. The proposed wells to be dedicated to the horizontal spacing unit are the Daytona 29 Fed Com #301H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the 1st bench of the Bone Spring Formation in the SW/4SW/4 (Unit M) of Section 32; Daytona 29 Fed Com #601H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the 3rd bench of the Bone Spring Formation in the SW/4SW/4 (Unit M) of Section 32; Daytona 29 Fed Com #302H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the 1st bench of the Bone Spring Formation in the SE/4SW/4 (Unit N) of Section 32; Daytona 29 Fed Com #602H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the 3rd bench of the Bone Spring Formation in the SE/4SW/4 (Unit N) of Section 32; Daytona 29 Fed Com #303H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the 1st bench of the Bone Spring Formation in the SW/4SE/4 (Unit O) of Section 32; Daytona 29 Fed Com #603H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the 3rd bench of the Bone Spring Formation in the SW/4SE/4 (Unit O) of Section 32; Daytona 29 Fed Com #304H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the 1st bench of the Bone Spring Formation in the SE/4SE/4 (Unit P) of Section 32; and Daytona 29 Fed Com #604H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the 3rd bench of the Bone Spring Formation in the SE/4SE/4 (Unit P) of Section 32.The wells are orthodox in location, and the take points and laterals comply with Statewide Rules for setbacks. Also to be considered will be the cost of drilling and completing the wells and the allocation of the costs thereof; actual operating costs and charges for supervision; the designation of the Applicant as Operator of the wells and unit; and a 200% charge for the risk involved in drilling and completing the wells. The wells and lands are located approximately 22 miles west from Hobbs, New Mexico.
2. 24633 Application of Avant Natural Resources, LLC for Compulsory Pooling and Approving a Non-Standard Horizontal Spacing Unit and, Lea County, New Mexico. Applicant in the above-styled cause seeks an order from the Division: (1) approving a 1,280-acre, more or less, non-standard horizontal spacing and proration unit composed of all of Sections 29 and 32, Township 18 South, Range 34 East, N.M.P.M.; and (2) pooling all uncommitted mineral interests in the Wolfcamp Formation, designated as an oil pool, underlying said unit. The proposed wells to be dedicated to the horizontal spacing unit are the Daytona 29 Fed Com #006H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the Wolfcamp Formation in the SW/4SW/4 (Unit M) of Section 32; Daytona 29 Fed Com #007H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NW/4 (Unit C) of Section 29 to a bottom hole location in the Wolfcamp Formation in the SE/4SW/4 (Unit N) of Section 32; Daytona 29 Fed Com #008H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the Wolfcamp Formation in the SW/4SE/4 (Unit O) of Section 32; and Daytona 29 Fed Com #009H, which is an oil well that will be horizontally drilled from a surface location in the NE/4NE/4 (Unit A) of Section 29 to a bottom hole location in the Wolfcamp Formation in the SE/4SE/4 (Unit P) of Section 32. The wells are orthodox in location, and the take points and laterals comply with Statewide Rules for setbacks. Also to be considered will be the cost of drilling and completing the wells and the allocation of the costs thereof; actual operating costs and charges for supervision; the designation of the Applicant as Operator of the wells and unit; and a 200% charge for the risk involved in drilling and completing the wells. The wells and lands are located approximately 22 miles west from Hobbs, New Mexico.
3. 24684 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in an interval of the Bone Spring formation, an oil pool, from the
top of the First Bone Spring (at a depth of the stratigraphic equivalent of 7,760 measured feet) to
a depth of the stratigraphic equivalent of 9,668 measured feet as identified on the Spectral Density
Dual Spaced Neutron Log in the Matador Petroleum Corporation Zafiro State 32 Com 1 (API No.
30-025-34508) (“Bone Spring Interval”) underlying a standard 320-acre, more or less, horizontal
spacing unit comprised of the S/2 S/2 of Sections 33 and 32, Township 18 South, Range 34 East;
NMPM, Lea County, New Mexico. The proposed well to be dedicated to the horizontal spacing
unit is the Turnpike 33-32 State Com 211H Well, an oil well, to be horizontally drilled from a
surface location in SE/4 SE/4 (Unit P) of Section 33 to a bottom hole location in the SW/4 SW/4
(Unit M) of Section 32. Applicant seeks to designate Cimarex Energy Co. of Colorado as the
operator of the well and unit. The completed interval and first take and last take points for the well
will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved in drilling and
completing the well. The well and lands are located approximately 20.5 miles Southwest of
Lovington, New Mexico.
4. 24685 Application of Magnum Hunter Production, Inc., for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in an interval of the Bone Spring formation, an oil pool, from the
top of the First Bone Spring (at a depth of the stratigraphic equivalent of 7,760 measured feet) to
a depth of the stratigraphic equivalent of 9,668 measured feet as identified on the Spectral Density
Dual Spaced Neutron Log in the Matador Petroleum Corporation Zafiro State 32 Com 1 (API No.
30-025-34508) (“Bone Spring Interval”) underlying a standard 320-acre, more or less, horizontal
spacing unit comprised of the N/2 S/2 of Sections 33 and 32, Township 18 South, Range 34 East;
NMPM, Lea County, New Mexico. The proposed well to be dedicated to the horizontal spacing
unit is the Turnpike 33-32 State Com 212H Well, an oil well, to be horizontally drilled from a
surface location in SE/4 SE/4 (Unit P) of Section 33 to a bottom hole location in the NW/4 SW/4
(Unit L) of Section 32. Applicant seeks to designate Cimarex Energy Co. of Colorado as the
operator of the well and unit. The completed interval and first take and last take points for the well
will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved in drilling and
completing the well. The well and lands are located approximately 20.5 miles Southwest of
Lovington, New Mexico.
5. 24686 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in the in an interval of the Bone Spring formation, an oil pool, from
the top of the First Bone Spring (at a depth of the stratigraphic equivalent of 7,760 measured feet)
to a depth of the stratigraphic equivalent of 9,668 measured feet as identified on the Spectral
Density Dual Spaced Neutron Log in the Matador Petroleum Corporation Zafiro State 32 Com 1
(API No. 30-025-34508) (“Bone Spring Interval”) underlying a standard 320-acre, more or less,
horizontal spacing unit comprised of the S/2 N/2 of Sections 33 and 32, Township 18 South, Range
34 East; NMPM, Lea County, New Mexico. The proposed well to be dedicated to the horizontal
spacing unit is the Turnpike 33-32 State Com 213H Well, an oil well, to be horizontally drilled
from a surface location in SE/4 NE/4 (Unit H) of Section 33 to a bottom hole location in the SW/4
NW/4 (Unit E) of Section 32. Applicant seeks to designate Cimarex Energy Co. of Colorado as
the operator of the well and unit. The completed interval and first take and last take points for the
well will comply with setback requirements under statewide rules. The unit overlaps with an
existing vertical well, the Union State Com #001 (API 30-025-24992) in the W/2 NW/4 of Section
32, for which Applicant will seek approval. 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; and a 200% charge for the risk involved in drilling and completing the well. The well
and lands are located approximately 20.5 miles Southwest of Lovington, New Mexico.
6. 24687 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in an interval of the Bone Spring formation, an oil pool, from the
top of the First Bone Spring (at a depth of the stratigraphic equivalent of 7,760 measured feet) to
a depth of the stratigraphic equivalent of 9,668 measured feet as identified on the Spectral Density
Dual Spaced Neutron Log in the Matador Petroleum Corporation Zafiro State 32 Com 1 (API No.
30-025-34508) (“Bone Spring Interval”) underlying a standard 320-acre, more or less, horizontal
spacing unit comprised of the N/2 N/2 of Sections 33 and 32, Township 18 South, Range 34 East;
NMPM, Lea County, New Mexico. The proposed well to be dedicated to the horizontal spacing
unit is the Turnpike 33-32 State Com 214H Well, an oil well, to be horizontally drilled from a
surface location in SE/4 NE/4 (Unit H) of Section 33 to a bottom hole location in the NW/4 NW/4
(Unit D) of Section 32. Applicant seeks to designate Cimarex Energy Co. of Colorado as the
operator of the well and unit. The completed interval and first take and last take points for the well
will comply with setback requirements under statewide rules. This unit overlaps with an existing
vertical well, the Union State Com #001 (API 30-025-24992) in the W/2 NW/4 of Section 32, for
which the Applicant will seek approval. 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; and a 200% charge for the risk involved in drilling and completing the well. The well
and lands are located approximately 20.5 miles Southwest of Lovington, New Mexico.
7. 24756 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in the Wolfcamp formation, an oil pool, underlying a standard 320-
acre, more or less, horizontal spacing unit comprised of the S/2 S/2 of Sections 33 and 32,
Township 18 South, Range 34 East; NMPM, Lea County, New Mexico. The proposed well to be
dedicated to the horizontal spacing unit is the Turnpike 33-32 State Com 701H Well, an oil well,
to be horizontally drilled from a surface location in SE/4 SE/4 (Unit P) of Section 33 to a bottom
hole location in the SW/4 SW/4 (Unit M) of Section 32. Applicant seeks to designate Cimarex
Energy Co. of Colorado as the operator of the well and unit. The completed interval and first take
and last take points for the well will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved
in drilling and completing the well. The well and lands are located approximately 20.5 miles
Southwest of Lovington, New Mexico.
8. 24757 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in the Wolfcamp formation, an oil pool, underlying a standard 320-
acre, more or less, horizontal spacing unit comprised of the N/2 S/2 of Sections 33 and 32,
Township 18 South, Range 34 East; NMPM, Lea County, New Mexico. The proposed well to be
dedicated to the horizontal spacing unit is the Turnpike 33-32 State Com 702H Well, an oil well,
to be horizontally drilled from a surface location in SE/4 SE/4 (Unit P) of Section 33 to a bottom
hole location in the NW/4 SW/4 (Unit L) of Section 32. Applicant seeks to designate Cimarex
Energy Co. of Colorado as the operator of the well and unit. The completed interval and first take
and last take points for the well will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved
in drilling and completing the well. The well and lands are located approximately 20.5 miles
Southwest of Lovington, New Mexico.
9. 24758 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in the Wolfcamp formation, an oil pool, underlying a standard 320-
acre, more or less, horizontal spacing unit comprised of the S/2 N/2 of Sections 33 and 32,
Township 18 South, Range 34 East; NMPM, Lea County, New Mexico. The proposed well to be
dedicated to the horizontal spacing unit is the Turnpike 33-32 State Com 703H Well, an oil well,
to be horizontally drilled from a surface location in SE/4 NE/4 (Unit H) of Section 33 to a bottom
hole location in the SW/4 NW/4 (Unit E) of Section 32. Applicant seeks to designate Cimarex
Energy Co. of Colorado as the operator of the well and unit. The completed interval and first take
and last take points for the well will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved
in drilling and completing the well. The well and lands are located approximately 20.5 miles
Southwest of Lovington, New Mexico.
10. 24759 Application of Magnum Hunter Production, Inc. for Compulsory Pooling, Lea County, New
Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all
uncommitted mineral interests in the Wolfcamp formation, an oil pool, underlying a standard 320-
acre, more or less, horizontal spacing unit comprised of the N/2 N/2 of Sections 33 and 32,
Township 18 South, Range 34 East; NMPM, Lea County, New Mexico. The proposed well to be
dedicated to the horizontal spacing unit is the Turnpike 33-32 State Com 704H Well, an oil well,
to be horizontally drilled from a surface location in SE/4 NE/4 (Unit H) of Section 33 to a bottom
hole location in the NW/4 NW/4 (Unit D) of Section 32. Applicant seeks to designate Cimarex
Energy Co. of Colorado as the operator of the well and unit. The completed interval and first take
and last take points for the well will comply with setback requirements under statewide rules. 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; and a 200% charge for the risk involved
in drilling and completing the well. The well and lands are located approximately 20.5 miles
Southwest of Lovington, New Mexico.
11. 24760 Application of MRC Permian Company 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 the Bone Spring formation underlying the W2W2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 121H well to be horizontally drilled from a surface location on the SW4 of Section 21, with proposed first take point in the NW4NW4 (Unit D) of Sections 28 and a last take point in the SW4SW4 (Unit M) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
12. 24761 Application of MRC Permian Company 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 the Bone Spring formation underlying the E2W2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 122H well to be horizontally drilled from a surface location on the SW4 of Section 21, with proposed first take point in the NE4NW4 (Unit C) of Sections 28 and a last take point in the SE4SW4 (Unit N) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.

13. 24762 Application of MRC Permian Company 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 the Bone Spring formation underlying the W2E2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 123H well to be horizontally drilled from a surface location on the SW4 of Section 21, with proposed first take point in the NW4NE4 (Unit B) of Sections 28 and a last take point in the SW4SE4 (Unit O) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
14. 24763 Application of MRC Permian Company 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 the Bone Spring formation underlying the E2E2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 124H well to be horizontally drilled from a surface location on the SW4 of Section 21, with proposed first take point in the NE4NE4 (Unit P) of Sections 28 and a last take point in the SE4SE4 (Unit P) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
15. 24764 Application of MRC Permian Company 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 the Wolfcamp formation underlying the W2W2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 241H well to be horizontally drilled from a surface location in the SW4 of Section 21, with a first take point in the NW4NW4 (Unit D) of Section 28 and a last take point in the SW4SW4 (Unit M) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.

16. 24765 Application of MRC Permian Company 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 the Wolfcamp formation underlying the E2W2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 242H well to be horizontally drilled from a surface location in the SW4 of Section 21, with a first take point in the NE4NW4 (Unit C) of Section 28 and a last take point in the SE4SW4 (Unit N) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
17. 24766 Application of MRC Permian Company 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 the Wolfcamp formation underlying the E2E2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 244H well to be horizontally drilled from a surface location in the SW4 of Section 21, with a first take point in the NE4NE4 (Unit A) of Section 28 and a last take point in the SE4SE4 (Unit P) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
18. 24767 Application of MRC Permian Company 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 the Wolfcamp formation underlying the W2E2 of Sections 28 and 33, Township 18 South, Range 34 East, NMPM, Lea County, New Mexico. Said unit will be initially dedicated to the proposed Bobby Pickard State Com 243H well to be horizontally drilled from a surface location in the SW4 of Section 21, with a first take point in the NW4NE4 (Unit B) of Section 28 and a last take point in the SW4SE4 (Unit O) of Section 33. Also, to be considered will be the cost of drilling and completing the well and the allocation of the cost thereof, actual operating costs and charges for supervision, designation of Matador Production Company as operator of the well, and a 200% charge for risk involved in drilling the well. The subject area is located approximately 20 miles southwest of Lovington, New Mexico.
19. 24866 Application of Matador Production Company to Extend the Drilling Deadline Under Order R-22395, Lea County, New Mexico. Applicant in the above-styled cause seeks an extension of time to drill the initial well under pooling Order No. R-22395. This Order pooled the Bone Spring formation underlying a standard 320-acre horizontal well spacing unit comprised of the W2SE4 of Section 18, the W2E2 of Section 19, and the W2NE4 of Section 30, Township 24 South, Range 36 East, NMPM, Lea County, New Mexico. Matador is the designated operator under the pooling order and the pooled spacing unit is initially dedicated to the proposed Huneke Fed Com 137H well. Said area is located 13 miles southeast of Malaga, New Mexico.

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