State Oil and Gas Board Board Members JAMES W. SANDIFER, Isola Chairman CARROLL V. HOOD, Hazlehurst Vice-Chairman JAMES S. MEEK, Batesville EILEEN N. SHAFFER, Ridgeland JOSEPH S. ZUCCARO, Natchez State of Mississippi 500 Greymont Avenue, Suite E Jackson, MS 39202 Telephone (601) 354-7142 December 31, 2003 WALTER L. BOONE, JR. STATE OIL & GAS SUPERVISOR The regular monthly meeting of the State Oil and Gas Board will be held in Suite E, 500 Greymont Avenue, Jackson, Mississippi, on the 21st day of January, 2004 commencing at 9:00 a.m., with an administrative meeting to consider such business as may come before the Board and at 9:30 a.m. to consider the dockets hereinafter set out. Applications are on file in the office of the State Oil and Gas Board, Suite E, 500 Greymont Avenue, Jackson, Mississippi, for your examination. All exhibits and data to be used in a hearing in support of a petition will be filed with the Supervisor at least nine (9) days prior to the hearing. DOCKET NUMBER CONTINUED DOCKET 436-2003-1 TINSLEY FIELD Yazoo County. Petition of Merit Energy Company requesting the Board to reform the presentlyexisting 40-acre oil unit for the Powell No. 10 Well to a 320-acre gas unit, situated in the S/2 of Section 36, Township 11 North, Range 3 West, with the resulting exception location 920 from the North line of the proposed unit for production from the Hosston Formation and to integrate all interests in said new unit. ORDER NO. 8-2004 - DECISION CONTINUED, Extend Test Period Approved 439-2003-138 JUNCTION CITY FIELD - Clarke County. Petition of Pinebelt Operating Company and Richard Rossie requesting the Board to approve an extension of inactive well status under Rule 28 for certain wells in the field. ORDER NO. 9-2004 - DECISION - APPROVED AFFIDAVIT 444-2003-504 GOSHEN SPRINGS FIELD Rankin County. Amended Petition of Denbury Resources, Inc., requesting authority to drill the Barksdale 6-3 No. 1 Well on a 640-acre gas unit, situated in Section 6, Township 7 North, Range 4 East, at an exceptional location for geological reasons 436 from the North line and 1,900 from the West line of the proposed unit to a depth of 16,500 to test the Norphlet Formation and all other formations and pools which may be encountered. ORDER NO. 10-2004 - DECISION - APPROVED AFFIDAVIT 447-2003-723 SULLIVAN S HOLLOW FIELD Smith County. Amended Petition of Spooner Petroleum Company, requesting the Board to integrate, with alternate risk charges, all interests in a 320-acre gas unit, situated in Section 29, Township 10 North, Range 15 West, for the drilling of the Johnson 29-1 No. 1 Well at an exceptional location for geological reasons 500 from the East unit line and 1,150 from the North line of Section 29 to a depth of 7,600 to test the Stanley and Christmas Sands of the Eutaw Formations and all other formations and pools which may be encountered. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 11-2004 - DECISION - APPROVED AFFIDAVIT 467-2003-440 OAKVALE FIELD Jefferson Davis County. Petition of Senax, Inc., requesting the Board to approve an extension of inactive well status under Rule 28 for certain wells in the field. ORDER NO. 12-2004 - DECISION - APPROVED ON TESTIMONY 1
468-2003-140 GITANO FIELD Jones County. Petition of Gulf South Resources, Inc., requesting the Board to allow for fired treating vessels to be placed no closer than 20 from vessels handling and storing crude oil as an exception to Rule 16. ORDER NO. 13-2004 - DECISION - APPROVED AFFIDAVIT 471-2003-24 WEST YELLOW CREEK FIELD Wayne County. Petition of Denbury Resources, Inc., requesting the Board to integrate all interests in an exception 40-acre oil unit, situated in the NW/4 of the SW/4 and the NE/4 of the SW/4 of Section 18, Township 9 North, Range 7 West, for the sidetracking of the J. West 18-13 No. 1 Well from an exceptional off unit surface location to an exceptional bottom hole location for geological reasons not less than 200 from the West unit line to a depth of 10,800 to test the Lower Cretaceous Oil Pool with a full allowable and to rename said well the J. West 18-13 ST No. 1 Well. ORDER NO. 14-2004 - DECISION - APPROVED AFFIDAVIT 476-2003-49 CHAPARRAL FIELD Wayne County. On the Board s own motion, Show Cause Order No. 623-2003 was issued to Combine Oil Company as to why it should not be penalized for violation of Rule 45 of the Statewide Rules for failure to clean up an oil spill inside the firewall at the Pete Duvall Fee No. 1 Well, located in Section 18, Township 10 North, Range 6 West. ORDER NO. 15-2004 - DECISION - DISMISSED WITHOUT PREJUDICE DOCKET NUMBER NEW DOCKET 1-2004-77 BOLTON FIELD Hinds County. ORDER NO. 16-2004 - DECISION - CONTINUED 2-2004-119 DEXTER FIELD Walthall County. inactive well status under Rule 28 for the Morris 35-9 No. 1 Well. ORDER NO. 17-2004 - DECISION - APPROVED AFFIDAVIT 3-2004-15 HUB FIELD Marion County. ORDER NO. 18-2004 - DECISION - APPROVED AFFIDAVIT 4-2004-138 JUNCTION CITY FIELD Clarke County. inactive well status under Rule 28 for the Land Bros. No. 1 Well. ORDER NO. 19-2004 - DECISION - APPROVED AFFIDAVIT 5-2004-147 KNOXO FIELD Marion County. inactive well status under Rule 28 for the Knoxo Gas Unit 8 No. 1 Well and the M. L. Bennet, Jr. No. 1 Well. ORDER NO. 20-2004 - DECISION - APPROVED AFFIDAVIT 6-2004-149 KOKOMO FIELD Walthall County. inactive well status under Rule 28 for the Walker 1-3 Well. ORDER NO. 21-2004 - DECISION - APPROVED AFFIDAVIT 7-2004-152 WEST LANGSDALE FIELD Clarke County. inactive well status under Rule 28 for the Jarrett-Player No. 1 Well. ORDER NO. 22-2004 - DECISION - CONTINUED 8-2004-255 NANCY FIELD Clarke County. ORDER NO. 23-2004 - DECISION - APPROVED AFFIDAVIT 2
9-2004-517 NETTLETON FIELD Monroe County. inactive well status under Rule 28 for the Schlicht 4-8 No. 1 Well and the Stovall 5-1 No. 1 Well. ORDER NO. 24-2004 - DECISION - APPROVED AFFIDAVIT 10-2004-486 WEST OAKVALE FIELD - Lawrence County. inactive well status under Rule 28 for the Robert H. Myers No. 1 Well. ORDER NO. 25-2004 - DECISION - APPROVED AFFIDAVIT 11-2004-309 WEST PAULDING FIELD Jasper County. inactive well status under Rule 28 for the Ike Myers Est. 17-8 No. 1 Well. ORDER NO. 26-2004 - DECISION - CONTINUED 12-2004-160 POOL CREEK FIELD Jones County. ORDER NO. 27-2004 - DECISION - APPROVED AFFIDAVIT 13-2004-373 SOUTH SUMMERLAND FIELD Covington and Jones Counties. inactive well status under Rule 28 for the Central Oil Co. 10-1 No. 2 Well and the Eastling M C 9-1 No. 1 Well. ORDER NO. 28-2004 - DECISION - APPROVED AFFIDAVIT 14-2004-224 WAVELAND FIELD Hancock County. inactive well status under Rule 28 for the Waveland Gas Unit 2 No. 1 Well. ORDER NO. 29-2004 - DECISION - CONTINUED 16-2004-138 JUNCTION CITY FIELD Clarke County. Petition of Junction City Oil Company requesting the Board to approve an extension of ORDER NO. 30-2004 - DECISION - APPROVED AFFIDAVIT 17-2004-543 EAST MAGEE FIELD Smith and Simpson Counties. Petition of Midroc Operating Company requesting the Board to approve an extension of inactive well status under Rule 28 for the Yelverton No. 1 Well. ORDER NO. 31-2004 - DECISION - APPROVED AFFIDAVIT 18-2004-143 PUCKETT FIELD Smith and Rankin Counties. Petition of Hawkeye Drilling Company requesting the Board to approve an extension of ORDER NO. 32-2004 - DECISION - APPROVED AFFIDAVIT 19-2004-138 JUNCTION CITY FIELD Clarke County. Petition of Fleming Management, Inc. requesting authority to permanently convert the Robert W. Fleming 33-13 No. 1H Salt Water Disposal Well, located in Section 33, Township 2 North, Range 17 East, to a conventional Class II saltwater disposal well with an injection interval of 2,704 to 2,962.5' in the Selma Chalk Oil Pool. ORDER NO. 33-2004 - DECISION - APPROVED AFFIDAVIT 20-2004-881 SMITH CREEK FIELD Lee County. Amended Petition of Continental Resources, Inc., requesting the Board to integrate, with alternate risk charges, all interests in a 320-acre gas unit, situated in the SW/4 of Section 21 less and except the W/2 of the W/2 of the W/2 of the SE/4, also the SW/4 and the W/2 of the W/2 of the W/2 of the SE/4 of Section 22, Township 11 South, Range 6 East, for the drilling of the Ruff 22-14 No. 1 Well to a depth of 2,500 to test all productive intervals down through the Evans/Lewis Formations at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 34-2004 - DECISION - CONTINUED 3
21-2004 WEBSTER COUNTY. Petition of Clayton Williams Energy, Inc., requesting the Board to integrate, with alternate risk charges, all interests in a 640-acre gas unit, situated in the SE/4 of Section 11, the SW/4 of Section 12, the NW/4 of Section 13 and the NE/4 of Section 14, Township 21 North, Range 10 East, for the drilling of the Weyerhaeuser No. 1 Well to a depth of 15,000 or a depth sufficient to test the Stone River Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 35-2004 - DECISION - APPROVED AFFIDAVIT 22-2004-171 WAUSAU FIELD Wayne County. Petition of Primal Energy Corporation requesting the Board to integrate, with alternate risk charges, all interests in a 40-acre oil unit, situated in the E/2 of the NW/4 of the NW/4 and the W/2 of the NE/4 of the NW/4 of Section 28, Township 8 North, Range 9 West, for the drilling of the Wausau Prospect 28-4 No. 1 Well, to a depth of 11,400 to test all productive zones down through the Paluxy/Mooringsport Formation at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 36-2004 - DECISION - APPROVED AFFIDAVIT 23-2004-9 GWINVILLE FIELD Jefferson Davis and Simpson Counties. Petition of Laurel Fuel Company requesting the Board to integrate, with alternate risk charges, all interests in a 313.8-acre gas unit, situated in Sections 23 and 24, Township 9 North, Range 19 West, for the drilling of the Gwinville 24-13 No. 2 Well at an exception location for geological reasons 320 from the South line and 1,000 from the West line of Section 24 and an exception distance from the B. D. Walker No. 1 Well to a depth sufficient to test all productive intervals from the top of the Selma Chalk Gas Pool down through the Eutaw-Upper Tuscaloosa Formation. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 37-2004 - DECISION - APPROVED AFFIDAVIT 24-2004-9 GWINVILLE FIELD Jefferson Davis and Simpson Counties. Petition of Laurel Fuel Company requesting the Board to approve an extension of ORDER NO. 38-2004 - DECISION - APPROVED AFFIDAVIT 25-2004-15 HUB FIELD Marion County. Petition of Skrivanos Engineering, Inc., requesting the Board to integrate, with alternate risk charges, all interests in a 320-acre gas unit, situated in Section 26, Township 2 North, Range 18 West, for the drilling of the Lester No. 1 Well to a depth of 9, 250 to test the Lower Tuscaloosa Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 39-2004 - DECISION - APPROVED AFFIDAVIT 26-2004-15 HUB FIELD Marion County. Petition of Skrivanos Engineering, Inc., requesting the Board to integrate, with alternate risk charges, all interests in an exceptionally configured 320-acre gas unit, situated in Sections 20, 21, 28 and 29, Township 2 North, Range 14 East, and Section 22, Township 2 North, Range 18 West, for the drilling of the Hub Gas Unit 20 No. 1 Well to a depth of 9,250 to test the Lower Tuscaloosa Formation and all other formations and pools which may be encountered at a regular location. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 40-2004 - DECISION - APPROVED AFFIDAVIT 27-2004-474 CARSON FIELD Jefferson Davis County. Petition of Moon-Hines-Tigrett Operating Company, Inc., requesting the Board to integrate all interests in a 640-acre gas unit, situated in Section 11, Township 7 North, Range 18 West, for the drilling of the Bullock No. 1 Well at an exception location for geological reasons 330 from the South line and 1,650 from the West line of Section 11 to a depth of 16,100 to test and produce the Hosston Formation and all other formations and pools which may be encountered. ORDER NO. 41-2004 - DECISION - DISMISSED WITHOUT PREJUDICE 4
28-2004-8 HEIDELBERG FIELD Jasper County. Petition of Denbury Resources, Inc., requesting the Board to integrate all interests in a 320-acre gas unit, situated in the W/2 of Section 32, Township 1 North, Range 13 East, for the drilling of the J. E. King Gas Unit No. 16 Well as an exceptional sixteenth increased density well to a depth of 4,500 to test the Selma Chalk Formation and all other formations and pools which may be encountered at a regular location. ORDER NO. 42-2004 - DECISION - APPROVED AFFIDAVIT 29-2004 MONROE COUNTY. Petition of Armadillo Services, Inc., of Alabama requesting the Board to integrate, with alternate risk charges, all interests in a 320-acre gas unit, situated in the N/2 of Section 31, Township 11 South, Range 6 East, for the drilling of the Taylor-Trophy 31-5 No. 1 Well at an exception location for geological and topographical reasons 800 from the West line and 660 from the South line of the proposed unit to a depth of 2,500 to test all productive zones down through the Lewis Sand. Alternatively, Petitioner requests the Board to integrate all interests in said unit without alternate risk charges. ORDER NO. 43-2004 - DECISION - CONTINUED 30-2004 WILKINSON COUNTY. Petition of Threshold Development Company requesting authority to drill the USA F-9 No. 1 Well, located on a 160-acre gas unit, situated in the S/2 of the NE/4 and the N/2 of the SE/4 of Section 37, Township 4 North, Range 1 East, at an exception location for geological and topographical reasons 200 from the West line of the proposed unit to a depth of 4,000 to test the Frio or Oligoncene Formation. ORDER NO. 44-2004 - DECISION - APPROVED AFFIDAVIT 31-2004-41 KINGSTON FIELD Adams County. On the Board s own motion, Show Cause Order No. 2-2004 was issued to Clyde W. Alexander as to why he should not be penalized for violation of Statewide Rules 27 and 28 for failure to plug and abandon after production operations ceased in the W. C. Walker No. 6-W Well, located in Section 11, Township 5 North, Range 2 West. ORDER NO. 45-2004 - DECISION - APPROVED AFFIDAVIT 32-2004 GREENE COUNTY. On the Board s own motion, Show Cause Order No. 3-2004 was issued to Atlas Oil & Refining and Roser & Pendleton, Inc., as to why it should not be penalized for violation of Statewide Rules 27 and 28 for failure to plug and abandon after drilling operations ceased in the Lamar Hennington No. 1 Well, located in Section 33, Township 4 North, Range 5 West. ORDER NO. 46-2004 - DECISION - APPROVED AFFIDAVIT 33-2004-74 JACKSON GAS FIELD Rankin County. On the Board s own motion, Show Cause Order No. 4-2004 was issued to Strahan Oil & Gas, Inc., as to why it should not be penalized for violation of Statewide Rules 27 and 28 for failure to plug and abandon after drilling operations ceased in the Love Petroleum Corp No. 3 Well, located in Section 1, Township 5 North, Range 1 East. ORDER NO. 47-2004 - DECISION - APPROVED AFFIDAVIT 34-2004 AMITE COUNTY. On the Board s own motion, Show Cause Order No. 5-2004 was issued to Magnolia State Oil & Gas Company as to why it should not be penalized for violation of Statewide Rules 27 and 28 for failure to plug and abandon after drilling operations ceased in the C. Anderson No. 1 Well, located in Section 14, Township 3 North, Range 3 East. ORDER NO. 48-2004 - DECISION - APPROVED AFFIDAVIT 35-2004-11 BAXTERVILLE FIELD Lamar and Marion Counties. On the Board s own motion, Show Cause Order No. 6-2004 was issued to Crown Royalties of Louisiana Inc., as to why it should not be penalized for violation of Statewide Rule 63 for failure to perform a mechanical integrity test on the T. W. Davis No. 1 Well, located in Section 31, Township 2 North, Range 16 West within the prescribed period of time. ORDER NO. 49-2004 - DECISION - CONTINUED 5
36-2004-91 ANSLEY FIELD Hancock County. On the Board's own motion, Show Cause Order No. 7-2004 was issued to Boca Production Company as to why it should not be penalized for violation of Statewide Rule 28 for failing to petition the Board for an extension of inactive well status and Rule 69 for failing to file Form 21, NORM Survey, for the International Paper Co. No. 1 Well, located in Section 19, Township 9 South, Range 15 West. ORDER NO. 50-2004 - DECISION - CONTINUED 37-2004-363 MCKINLEY CREEK FIELD Monroe County. Petition of Kerr-McGee Chemical LLC., requesting authority to conduct temporary injectivity and other similar tests at the HP No. 1 Stratigraphic Test Well, located in Section 30, Township 15 South, Range 18 West, for a period of 180 days as an exception to Statewide Rule 63 with an injection interval of approximately 6,650 to 14,500' in the Middle Stones River Group, Knox Group, Copper Ridge Dolomite, Conasauga Formation, Rome Formation and Weisner Quartzite. ORDER NO. 51-2004 - DECISION - APPROVED AFFIDAVIT 38-2004-847 KOLA DOME FIELD Covington County. Petition of Key Production Company, Inc., requesting the Board to correct Order No. 634-2003 naming Key Production Company, Inc., as operator of the Thoth No. 1 Well. ORDER NO. 52-2004 - DECISION - APPROVED AFFIDAVIT Applications on all the above dockets may be examined in the office of the State Oil and Gas Board. Any person may appear before the Board and be heard. Walter Boone STATE OIL AND GAS SUPERVISOR This docket can be viewed on our Internet Home Page at www.ogb.state.ms.us As proclaimed by the Governor of the State of Mississippi, the offices of the State Oil and Gas Board will be closed on the following dates: Thursday and Friday, January 1 & 2, 2004, in observance of New Year s Day and Monday, January 19, 2004 in observance of Robert E. Lee and Martin Luther King, Jr. s Birthdays 6
PROPOSED EMERGENCY DOCKET 45-2004-42 PISTOL RIDGE FIELD Forrest and Pearl River Counties. Petition of Delphi Oil, Inc., requesting authority to integrate all interests in an existing 320-acre gas unit, situated in the W/2 of Section 12, Township 1 South, Range 14 West, for the recompletion of the P. E. Norris No. 2 Well in the Lower Tuscaloosa Formation and any other formations or pools which may be encountered at an existing exception location and to designate Delphi Oil, Inc., as the operator of said well. ORDER NO. 53-2004 -DECISION - APPROVED AFFIDAVIT EMERGENCY 51-2004-838 WEST CHICORA FIELD Wayne County. Petition of Rebel Drilling Company, LP, requesting the Board to integrate all interests in a 640-acre gas unit, situated in Sections 19 and 30, Township 7 North, Range 6 West and Sections 24 and 25, Township 7 North, Range 7 West, for the drilling of the West No. 1 Well to a depth of 18,000 to test the Smackover or Norphlet Formations and all other formations and pools which may be encountered at an exception location for geological reasons 839 from the North line of the proposed unit. ORDER NO. 54-2004 -DECISION - APPROVED AFFIDAVIT EMERGENCY 7