OCD Permitting

PRELIMINARY DOCKET: Examiner Hearing for June 26, 2025

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. 25312 Application of Pride Energy Company for Compulsory Pooling, Lea County, New Mexico. Applicant in the above-styled cause seeks an order from the Oil Conservation Division pooling all uncommitted mineral interests in the Bone Spring formation (AVALON; BONE SPRING, EAST [3713]) in a standard 640-acre, more or less, horizontal spacing and proration unit (“HSU”), including proximity tracts, comprised of the W/2 W/2 of Sections 15 and 22, all in Township 21 South, Range 34 East, in Lea County, New Mexico. Applicant proposes to drill the following 2-mile wells in the HSU: (1) South Berry State Com #91H well, to be horizontally drilled from a surface hole location approximately 635’ FWL and 220’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 330’ FWL and 100’ FSL of Section 22, T21S-R34E; (2) South Berry State Com #92H well, to be horizontally drilled from a surface hole location approximately 660’ FWL and 250’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 990’ FWL and 100’ FSL of Section 22, T21S-R34E; (3) South Berry State Com #101H well, to be horizontally drilled from a surface hole location approximately 660’ FWL and 220’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 660’ FWL and 100’ FSL of Section 22, T21S-R34E; (4) South Berry State Com #201H well, to be horizontally drilled from a surface hole location approximately 685’ FWL and 220’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 990’ FWL and 100’ FSL of Section 22, T21S-R34E.; (5) South Berry State Com #202H well, to be horizontally drilled from a surface hole location approximately 635’ FWL and 250’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 330’ FWL and 100’ FSL of Section 22, T21S-R34E; and (6) South Berry State Com #301H well, to be horizontally drilled from a surface hole location approximately 685’ FWL and 250’ FNL of Section 15, T21S-R34E, to a bottom hole location approximately 990’ FWL and 100’ FSL of Section 22, T21S-R34E. The completed intervals and first and last take points will meet the setback requirements set forth in the statewide rules for horizontal oil wells. Additional considerations will be the cost of drilling and completing the wells and allocation of such costs, the designation of Applicant as operator of the HSU and wells to be drilled thereon, and a 200% charge for the risk involved in drilling and completing the wells. The wells and lands are located approximately 17 miles West of Eunice, New Mexico.
2. 25347 Application of Avant Operating II, LLC for approval of a non-standard spacing unit and compulsory pooling, Lea County, New Mexico. Applicant seeks an order from the Division approving a non-standard 560-acre, more or less, Wolfcamp horizontal spacing unit and pooling all uncommitted interests in the E/2 of Section 22 and the NE/4 and N/2SE/4 of Section 27, Township 20 South, Range 32 East, N.M.P.M., Lea County, New Mexico, in the Salt Lake; Wolfcamp pool (Pool code 53570). This spacing unit will be dedicated to the following wells: the Thai Curry 22-27 Fed Com #701H, Thai Curry 22-27 Fed Com #721H, Thai Curry 22-27 Fed Com #722H, Thai Curry 22-27 Fed Com #801H, and Thai Curry 22-27 Fed Com #802H wells with proposed surface hole locations in the NE/4 NE/4 (Unit A) of Section 22, and proposed last take points in the NE/4 SE/4 (Unit I) of Section 27; and the Thai Curry 22-27 Fed Com #702H, Thai Curry 22-27 Fed Com #723H, and Thai Curry 22-27 Fed Com #803H wells with proposed surface hole locations in the N/4 NE/4 (Unit A) of Section 22, and proposed last take points in the NW/4 SE/4 (Unit J) of Section 27. The wells will be drilled at orthodox locations. Also to be considered will be the cost of drilling and completing said wells, the allocation of these costs as well as the actual operating costs and charges for supervision, designation of Avant Operating II, LLC as operator of the wells, and a 200% charge for risk involved in drilling said wells. Said area is located approximately 36 miles southwest of Hobbs, New Mexico.
3. 25348 Application of Avant Operating II, LLC for approval of a non-standard spacing unit and compulsory pooling, Lea County, New Mexico. Applicant seeks an order from the Division approving a non-standard 560-acre, more or less, Bone Spring horizontal spacing unit and pooling all uncommitted interests in the E/2 of Section 22 and the NE/4 and N/2SE/4 of Section 27, Township 20 South, Range 32 East, N.M.P.M., Lea County, New Mexico in the Salt Lake; Bone Spring pool (Pool code 53560). This spacing unit will be dedicated to the following wells: Thai Curry 22-27 Fed Com #301H, Thai Curry 22-27 Fed Com #302H, Thai Curry 22-27 Fed Com #401H, Thai Curry 22-27 Fed Com #501H, Thai Curry 22-27 Fed Com #502H, Thai Curry 22-27 Fed Com #601H, and Thai Curry 22-27 Fed Com #602H wells with proposed surface hole locations in the NE/4 NE/4 (Unit A) of Section 22, and proposed last take points in the NE/4 SE/4 (Unit I) of Section 27; and the Thai Curry 22-27 Fed Com #303H, Thai Curry 22-27 Fed Com #402H, Thai Curry 22-27 Fed Com #503H, and Thai Curry 22-27 Fed Com #603H wells with proposed surface hole locations in the N/4 NE/4 (Unit A) of Section 22, and proposed last take points in the NW/4 SE/4 (Unit J) of Section 27. The wells will be drilled at orthodox locations. Also to be considered will be the cost of drilling and completing said wells, the allocation of these costs as well as the actual operating costs and charges for supervision, designation of Avant Operating II, LLC as operator of the wells, and a 200% charge for risk involved in drilling said wells. Said area is located approximately 36 miles southwest of Hobbs, New Mexico.
4. 25247 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 480-acre, more or less, horizontal well spacing unit in the Bone Spring formation underlying the N2N2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the proposed Dick and Donna 2729 Fed Com 121H well to be horizontally drilled from a surface location in the NW4 of Section 26, with a first take point in the NE4NE4 (Unit A) of Section 27 and a last take point in the NW4NW4 (Unit D) of Section 29. 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 5 miles north of Loving, New Mexico.
5. 25248 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 480-acre, more or less, horizontal well spacing unit in the Bone Spring formation underlying the S2N2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the proposed Dick and Donna 2729 Fed Com 122H well to be horizontally drilled from a surface location in the NW4 of Section 26, with a first take point in the SE4NE4 (Unit H) of Section 27 and a last take point in the SW4NW4 (Unit E) of Section 29. 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 5 miles north of Loving, New Mexico.
6. 25250 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 960-acre, more or less, horizontal well spacing unit in the Wolfcamp formation underlying the N2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the following proposed wells to be drilled from a surface location in the NW4 of Section 26:
•    Dick and Donna 2729 Fed Com 201H, with a first take point in the NE4NE4 (Unit A) of Section 27 and a last take point in the NW4NW4 (Unit D) of Section 29, and
•    Dick and Donna 2729 Fed Com 202H, with a first take point in the SE4NE4 (Unit H) of Section 27 and a last take point in the SW4NW4 (Unit E) of Section 29.
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 Matador Production Company as operator of the wells, and a 200% charge for risk involved in drilling the wells. The subject area is located approximately 5 miles north of Loving, New Mexico.

7. 25252 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 480-acre, more or less, horizontal well spacing unit in the Bone Spring formation underlying the N2S2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the proposed Warrior 2729 Fed Com 123H well to be horizontally drilled from a surface location in the SW4 of Section 26, with a first take point in the NE4SE4 (Unit I) of Section 27 and a last take point in the NW4SW4 (Unit L) of Section 29. 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 5 miles north of Loving, New Mexico.
8. 25253 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 480-acre, more or less, horizontal well spacing unit in the Bone Spring formation underlying the S2S2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the proposed Warrior 2729 Fed Com 124H well to be horizontally drilled from a surface location in the SW4 of Section 26, with a first take point in the SE4SE4 (Unit P) of Section 27 and a last take point in the SW4SW4 (Unit M) of Section 29. 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 5 miles north of Loving, New Mexico.

9. 25254 Application of MRC Permian Company for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order pooling a standard 960-acre, more or less, horizontal well spacing unit in the Wolfcamp formation underlying the S2 of Sections 27, 28 and 29, Township 22 South Range 28 East, NMPM, Eddy County, New Mexico. Said unit will be initially dedicated to the following proposed wells to be drilled from a surface location in the SW4 of Section 26:
•    Warrior 2729 Fed Com 203H, with a first take point in the NE4SE4 (Unit I) of Section 27 and a last take point in the NW4SW4 (Unit L) of Section 29, and
•    Warrior 2729 Fed Com 204H, with a first take point in the SE4SE4 (Unit P) of Section 27 and a last take point in the SW4SW4 (Unit M) of Section 29.
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 Matador Production Company as operator of the wells, and a 200% charge for risk involved in drilling the wells. The subject area is located approximately 5 miles north of Loving, New Mexico.
10. 25234 Application of Mewbourne Oil Company for Compulsory Pooling, Eddy County, New Mexico. Applicant applies for an order pooling all uncommitted interests in the Wolfcamp formation underlying a 1,121.12-acre, more or less, non-standard horizonal spacing unit comprised of all of Section 33 and the NW/4 and S/2 of Section 34, Township 21 South, Range 26 East, Eddy County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): Buffalo Nickel 33/34 Fed Com #711H, which will be drilled from a surface hole location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in the NE/4 NW/4 (Unit C) of Section 34; Buffalo Nickel 33/34 Fed Com #713H, which will be drilled from a surface hole location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in the SE/4 NW/4 (Unit F) of Section 34; Buffalo Nickel 33/34 Fed Com #716H; which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NE/4 SE/4 (Unit I) of Section 34; and Buffalo Nickel 33/34 Fed Com #718H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SE/4 SE/4 (Unit P) of Section 34. The completed intervals of the Wells will be orthodox. Applicant is seeking approval of the non-standard spacing unit through the Division’s administrative process. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the costs, the designation of Applicant as the operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located less than one mile from northwest Carlsbad, New Mexico.
11. 25235 Application of Mewbourne Oil Company for Compulsory Pooling, Eddy County, New Mexico. Applicant applies for an order pooling all uncommitted interests in the Bone Spring formation underlying a 1,121.12-acre, more or less, non-standard horizonal spacing unit comprised of all of Section 33 and the NW/4 and S/2 of Section 34, Township 21 South, Range 26 East, Eddy County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): Buffalo Nickel 33/34 Fed Com #525H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NE/4 SE/4 (Unit I) of Section 34; and Buffalo Nickel 33/34 Fed Com #527H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SE/4 SE/4 (Unit P) of Section 34. The completed intervals of the Wells will be orthodox. Applicant is seeking approval of the non-standard spacing unit through the Division’s administrative process. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the costs, the designation of Applicant as the operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately one mile northwest of Carlsbad, New Mexico.
12. 25217 Application of Mewbourne Oil Company for Compulsory Pooling, Eddy County, New Mexico. Applicant applies for an order pooling all uncommitted mineral interests in the Bone Spring formation underlying a 1,281.32-acre, more or less, non-standard horizontal spacing unit comprised of Sections 31 and 32, Township 21 South, Range 26 East, Eddy County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): G W Buffalo 32/31 Fed Com #521H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NW/4 NW/4 (Unit D) of Section 31; G W Buffalo 32/31 Fed Com #523H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SW/4 NW/4 (Unit E) of Section 31; G W Buffalo 32/31 Fed Com #525H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NW/4 SW/4 (Unit L) of Section 31; and G W Buffalo 32/31 Fed Com #527H and, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SW/4 SW/4 (Unit M) of Section 31.The completed intervals of the Wells will be orthodox. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the costs, the designation of Applicant as the operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately 3 miles west of Carlsbad, New Mexico.
13. 25218 Application of Mewbourne Oil Company for Compulsory Pooling, Eddy County, New Mexico. Applicant applies for an order pooling all uncommitted mineral interests in the Wolfcamp formation underlying a 1,281.32-acre, more or less, non-standard horizontal spacing unit comprised of Sections 31 and 32, Township 21 South, Range 26 East, Eddy County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): G W Buffalo 32/31 Fed Com #711H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NW/4 NW/4 (Unit D) of Section 31; G W Buffalo 32/31 Fed Com #713H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SW/4 NW/4 (Unit E) of Section 31; G W Buffalo 32/31 Fed Com #716H, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NW/4 SW/4 (Unit L) of Section 31; and G W Buffalo 32/31 Fed Com #718H and, which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SW/4 SW/4 (Unit M) of Section 31.The completed intervals of the Wells will be orthodox. Also to be considered will be the cost of drilling and completing the Wells and the allocation of the costs, the designation of Applicant as the operator of the Wells, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately 3 miles west of Carlsbad, New Mexico.
14. 25378 Application of Devon Energy Production Company, L.P., for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Bone Spring formation, designated as an oil pool, underlying a 1,281.32-acre, more or less, non-standard horizontal spacing unit comprised of all of Sections 32 and 31, in Township 21 South, Range 26 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Cheevers 32-31 Fed Com 221H Well, an oil well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in Lot 1 (the NW/4 NW/4) of Section 31; the Cheevers 32-31 Fed Com 222H Well, an oil well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in Lot 2 (the SW/4 NW/4) of Section 31; the Cheevers 32-31 Fed Com 223H Well, an oil well, to be horizontally drilled from a surface location in the SE/4 SE/4 (Unit P) of Section 32 to a bottom hole location in Lot 3 (the NW/4 SW/4) of Section 31; and the Cheevers 32-31 Fed Com 224H Well, an oil well, to be horizontally drilled from a surface location in the SE/4 SE/4 (Unit P) of Section 32 to a bottom hole location in Lot 4 (the SW/4 SW/4) of Section 31. The wells are orthodox in their locations; the take points and completed intervals will comply with setback requirements under statewide rules. Applicant will seek approval of the non-standard spacing unit through the Division’s administrative process. 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 adjacent to the southern state line and approximately 5 miles West of Carlsbad, New Mexico.
15. 25379 Application of Devon Energy Production Company, L.P., for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Wolfcamp formation, designated as a gas pool, underlying a 1,281.32-acre, more or less, non-standard horizontal spacing unit comprised of all of Sections 32 and 31, in Township 21 South, Range 26 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Cheevers 32-31 Fed Com 621H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in Lot 1 (the NW/4 NW/4) of Section 31; the Cheevers 32-31 Fed Com 622H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in Lot 2 (the SW/4 NW/4) of Section 31; the Cheevers 32-31 Fed Com 623H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 SE/4 (Unit P) of Section 32 to a bottom hole location in Lot 3 (the NW/4 SW/4) of Section 31; and the Cheevers 32-31 Fed Com 624H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 SE/4 (Unit P) of Section 32 to a bottom hole location in Lot 4 (the SW/4 SW/4) of Section 31. The wells are unorthodox in their locations; the take points will not comply with setback requirements under statewide rules. Applicant will apply for approval of the non-standard locations through the Division’s administrative process, and Applicant will seek approval of the non-standard spacing unit through the Division’s administrative process. 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 adjacent to the southern state line and approximately 5 miles West of Carlsbad, New Mexico.
16. 25380 Application of Devon Energy Production Company, L.P., for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Bone Spring formation, designated as an oil pool, underlying an 800-acre, more or less, non-standard horizontal spacing unit comprised of the S/2 of Sections 33 and 34, and the SW/4 of Section 35, all in Township 21 South, Range 26 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Red Prime 33-35 Fed Com 223H Well, an oil well, to be horizontally drilled from a surface location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NE/4 SW/4 (Unit K) of Section 35; and the Red Prime 33-35 Fed Com 224H Well, an oil well, to be horizontally drilled from a surface location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SE/4 SW/4 (Unit N) of Section 35. The wells are orthodox in their locations; the take points and completed intervals will comply with setback requirements under statewide rules. Devon will seek approval of the non-standard spacing unit through the Division’s administrative process. 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 1.8 miles West of Carlsbad, New Mexico.
17. 25381 Application of Devon Energy Production Company, L.P., for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Wolfcamp formation, designated as a gas pool, underlying a 480-acre, more or less, standard horizontal spacing unit comprised of the N/2 of Section 33, and the NW/4 of Section 34, all in Township 21 South, Range 26 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Red Prime 33-34 Fed Com 621H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in the NE/4 NW/4 (Unit C) of Section 34; and the Red Prime 33-34 Fed Com 622H Well, a gas well, to be horizontally drilled from a surface location in the SE/4 NE/4 (Unit H) of Section 32 to a bottom hole location in the SE/4 NW/4 (Unit F) of Section 34. The wells are unorthodox in their locations; the take points will not comply with setback requirements under statewide rules. Applicant will apply for administrative approval of the non-standard locations. 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 adjacent to the southern state line and approximately 1.8 miles West of Carlsbad, New Mexico.
18. 25382 Application of Devon Energy Production Company, L.P., for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Wolfcamp formation, designated as a gas pool, underlying a 800-acre, more or less, standard horizontal spacing unit comprised of the S/2 of Sections 33 and 34, and the SW/4 of Section 35, all in Township 21 South, Range 26 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Red Prime 33-35 Fed Com 623H Well, a gas well, to be horizontally drilled from a surface location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the NE/4 SW/4 (Unit K) of Section 35; and the Red Prime 33-35 Fed Com 624H Well, a gas well, to be horizontally drilled from a surface location in the NE/4 SE/4 (Unit I) of Section 32 to a bottom hole location in the SE/4 SW/4 (Unit N) of Section 35. The wells are unorthodox in their locations; the take points will not comply with setback requirements under statewide rules. Applicant will apply for administrative approval of the non-standard locations. 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 1.8 miles West of Carlsbad, New Mexico.
19. 25407 Application of WPX Energy Permian, LLC, for Compulsory Pooling, Eddy County, New Mexico. Applicant in the above-styled cause seeks an order from the Division pooling all uncommitted mineral interests in the Bone Spring formation, designated as an oil pool, underlying a standard 609.5-acre, more or less, spacing unit comprised of the W/2 of Sections 33 and 28, and the SW/4 of Section 21, all in Township 26 South, Range 30 East, NMPM, Eddy County, New Mexico. The proposed wells to be dedicated to the horizontal spacing unit are the Clawhammer 33-28-21 Fed Com 322H Well, an oil well, to be horizontally drilled from a surface location in Lot 3 of Section 33 to a bottom hole location in the NW/4 SW/4 (Unit L) of Section 21; the Clawhammer 33-28-21 Fed Com 323H Well, an oil well, to be horizontally drilled from a surface location in Lot 3 of Section 33 to a bottom hole location in the NE/4 SW/4 (Unit K) of Section 21; the Clawhammer 33-28-21 Fed Com 330H Well, an oil well, to be horizontally drilled from a surface location in Lot 2 of Section 33 to a bottom hole location in the NE/4 SW/4 (Unit K) of Section 21; the Clawhammer 33-28-21 Fed Com 333H Well, an oil well, to be horizontally drilled from a surface location in Lot 3 of Section 33 to a bottom hole location in the NW/4 SW/4 (Unit L) of Section 21; and the Clawhammer 33-28-21 Fed Com 334H Well, an oil well, to be horizontally drilled from a surface location in Lot 2 of Section 33 to a bottom hole location in the NW/4 SW/4 (Unit L) of Section 21. The Clawhammer 33-28-21 Fed Com 334H Well is a proximity well and proximity tracts will be utilized. All the proposed wells have orthodox locations and meet setback requirements under statewide rules. 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 adjacent to the southern state line and approximately 17 miles southeast of Malaga, New Mexico.
20. 25408 Application of Coterra Energy Operating Co. for approval of a non-standard spacing unit and compulsory pooling, Eddy County, New Mexico. Applicant seeks an order from the Division approving a non-standard spacing unit and pooling all uncommitted interests within a 1280-acre, more or less, Wolfcamp horizontal spacing unit comprised of Sections 34 and 35, Township 25 South, Range 25 East, NMPM, Eddy County, New Mexico. This spacing unit will be dedicated to the following wells: Scarlet 35-34 Federal Com 1H well with a proposed first take point in the NE/4 NE/4 (Unit A) of Section 35 and proposed last take point in the NW/4 NW/4 (Unit D) of Section 34; Scarlet 35-34 Federal Com 3H well with a proposed first take point in the SE/4 NE/4 (Unit H) of Section 35 and proposed last take point in the SW/4 NW/4 (Unit E) of Section 34; Scarlet 35-34 Federal Com 5H well with a proposed first take point in the NE/4 SE/4 (Unit I) of Section 35 and proposed last take point in the NW/4 SW/4 (Unit L) of Section 34; and Scarlet 35-34 Federal Com 7H well with a proposed first take point in the SE/4 SE/4 (Unit P) of Section 35 and proposed last take point in the SW/4 SW/4 (Unit M) of Section 34. The wells will be located within the Purple Sage Wolfcamp Gas Pool (Code 98220), which is subject to special pool rules that establish 330-foot setback requirements. Coterra will administratively apply for non-standard location approvals for the wells’ first and last take points. 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 Cimarex Energy Co. as operator of the wells, and a 200% charge for risk involved in drilling said wells. Said area is located approximately 5.7 miles from Whites City, New Mexico.
21. 25376 Application of Spur Energy Partners LLC for Compulsory Pooling and Approval of Overlapping Spacing Unit, Eddy County, New Mexico. Applicant seeks an order pooling all uncommitted interests from approximately 3,935’ MD to 5,110’ MD, underlying a 320-acre, more or less, standard, overlapping horizontal spacing unit comprised of the S/2 of Section 29, Township 17 South, Range 28 East, Eddy County, New Mexico (“Unit”). The Unit will be dedicated to the following wells (“Wells”): Smithdale 29 Federal Com 50H well (API No. 30-015-56423), which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 30 to a bottom hole location in the NE/4 SE/4 (Unit I) of Section 29; Smithdale 29 Federal Com 70H well (API No. 30-015-56424), which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 30 to a bottom hole location in the NE/4 SE/4 (Unit I) of Section 29; Smithdale 29 Federal Com 71H well (API No. 30-015-56425), which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 30 to a bottom hole location in the SE/4 SE/4 (Unit P) of Section 29; Smithdale 29 Federal Com 90H well (API No. 30-015-56427), which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 30 to a bottom hole location in the NE/4 SE/4 (Unit I) of Section 29; and Smithdale 29 Federal Com 91H well (API No. 30-015-56428), which will be drilled from a surface hole location in the NE/4 SE/4 (Unit I) of Section 30 to a bottom hole location in the SE/4 SE/4 (Unit P) of Section 29. The completed intervals of the Wells will be orthodox. The completed interval of the Smithdale 29 Federal Com 50H well will be located within 330’ of the quarter-quarter section line separating the N/2 S/2 and the S/2 S/2 of Section 29 to allow for the creation of a 320-acre standard horizontal spacing unit. Applicant seeks only to pool those uncommitted interests from the top of the Blinebry at a stratigraphic equivalent depth of approximately 3,935’ MD, as found in the Schlumberger Outlaw State #12 (API No. 30-015-42562) Compensated Neutron LithoDensity log, to 5,110’ MD. The Wells partially overlap with the spacing units for the following wells, which produce from the Artesia; Glorieta-Yeso (O) pool (Code 96830): Williams A Federal #002Q (API No. 30-015-32459); Williams A Federal #001Z (API No. 30-015-32554); Williams A Federal #004T (API No. 30-015-33130); Williams A Federal #005 (API No. 30-015-33232); Red Lake 29 I State #001 (API No. 30-015-33579); Red Lake 29 I State #002 (API No. 30-015-34003); Williams A Federal #006 (API No. 30-015-34200); Williams A Federal #003 (API No. 30-015-34614); Williams A Federal #007 (API No. 30-015-36512); Williams A Federal #008 (API No. 30-015-36513); Williams A Federal #010 (API No. 30-015-40480); Williams A Federal #012 (API No. 30-015-41890); Williams A Federal #014 (API No. 30-015-41891); Williams A Federal #015 (API No. 30-015-41892); Williams A Federal #011 (API No. 30-015-41983); Williams A Federal #016 (API No. 30-015-42116); Williams A Federal #013 (API No. 30-015-42303); Outlaw State #002 (API No. 30-015-42554); Outlaw State #005 (API No. 30-015-42555); Outlaw State #006 (API No. 30-015-42556); Outlaw State #007 (API No. 30-015-42557); Outlaw State #008 (API No. 30-015-42558); Outlaw State #009 (API No. 30-015-42559); Outlaw State #010 (API No. 30-015-42560); Outlaw State #011 (API No. 30-015-42561); Outlaw State #012 (API No. 30-015-42562); Outlaw State #001 (API No. 30-015-42563); Outlaw State #003 (API No. 30-015-42564); and Outlaw State #004 (API No. 30-015-42565). Also to be considered will be the cost of drilling and completing the Wells, the allocation of the costs, the designation of Applicant as operator of the Wells and the Unit, and a 200% charge for the risk involved in drilling and completing the Wells. The Wells are located approximately 12.5 miles east-southeast of Artesia, New Mexico.
22. 24491 Application of Goodnight Midstream Permian, LLC to Amend Order No. R-22506 (SWD-2392) for a One-Year Extension to Commence Injection Operations, Lea County, New Mexico. Applicant in the above-styled cause seeks to amend Order No. R-22506 (SWD-2392) for a one-year extension to commence injection operations in its proposed Rocket SWD #1 until March 2, 2025. The proposed Rocket SWD #1 will be located approximately 565 feet from the south line and 245 feet from the west line (Unit M) in Section 28, Township 21 South, Range 36 East, NMPM, Lea County, New Mexico. The proposed injection disposal interval will be within the San Andres formation [SWD; San Andres (Pool Code 96121)] between approximately 4,380 feet and 5,750 feet below the ground through a perforated completion. Disposal fluid will be produced saltwater from oil and gas wells in the area producing from the Delaware Mountain Group, Wolfcamp, and Bone Spring formations. The estimated average surface injection pressure is expected to be approximately 438 psi. The maximum surface injection pressure will be 876 psi. The maximum surface injection pressure will be 840 psi. The subject well will be located approximately 7 miles northwest of Eunice, N.M.
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