Details for Montana Brd Oil & Gas Conservation - Ad from 2021-07-18

STATE OF MONTANA
DEPARTMENT OF NATURAL RESOURCES AND CONSERVATION
BOARD OF OIL AND GAS CONSERVATION
BILLINGS, MONTANA
August 11 & 12, 2021
NOTICE OF PUBLIC HEARING

prior to the hearing. Failure to appear at the Show Cause hearing or to
make suitable arrangements prior to said hearing subjects Brainstorm
Energy, Inc. to further penalties as prescribed by Board Policy.
Docket 70-2021
SHOW-CAUSE HEARING

( CONSERVATION AND PREVENTION
( OF WASTE OF OIL AND GAS

RESPONDENT: AMERICAN MIDWEST OIL & GAS CORP. – TOOLE
COUNTY, MONTANA

The Board will be returning to normal hearing procedures at the
August hearing. Those planning on testifying or presenting should
be present at the business meeting or hearing.

Upon the Board’s own motion to require American Midwest Oil
& Gas Corp. to appear and show cause, if any it has, why additional
penalties should not be imposed for failure to file production reports
and to pay the administrative penalty assessed for delinquent reporting.
In accordance with Board policy the amount due now is $220.00. This
docket will be dismissed if payment and reports are received prior to the
hearing. Failure to appear at the Show Cause hearing or to make suitable
arrangements prior to said hearing subjects American Midwest Oil & Gas
Corp. to further penalties as prescribed by Board Policy.

The Board of Oil and Gas Conservation of the State of Montana will hold
its business meeting on Wednesday, August 11, 2021, at 2:00 p.m. in the
hearing room at its office at 2535 St. Johns Avenue in Billings, Montana.
The agenda for that meeting is as follows:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.

Call to order
Roll Call & Instructions
Approval of minutes of June 9, 2021, business meeting
Public comment on agenda and non-agenda items
Financial report
Bond summary & incident report
Docket summary
Gas flaring exceptions
Inactive well review
Attorney representation discussion
Staff reports
Other business
Adjourn

The Board will conduct public hearings pursuant to Chapter 11 of
Title 82 of the Montana Code Annotated on the matters described below
at 9:00 a.m. on Thursday, August 12, 2021, in the hearing room at its
office at 2535 St. Johns Avenue in Billings, Montana. Interested persons
have the opportunity to be heard for each docket. For more information or
to request accommodation for a disability, please contact Erin Ricci at
(406) 444-6731 or Jennifer Breton at (406) 656-0040, as soon as possible
before the scheduled hearing.
Docket 65-2021
APPLICANT: EMPIRE NORTH DAKOTA LLC– RICHLAND COUNTY,
MONTANA
Upon the application of Empire North Dakota LLC to pool all
interests in the permanent spacing unit comprised of the S½NW¼ and
N½SW¼ of Section 13, T24N-R58E, Richland County, Montana, for the
production of oil and associated natural gas from the Duperow Formation
and to authorize the recovery of non-consent penalties in accordance
with Section 82-11-202(2), M.C.A., with respect to the Ullman No. 2 well.
Docket 66-2021
APPLICANT: KRAKEN OIL & GAS LLC – ROOSEVELT COUNTY,
MONTANA
Upon the application of Kraken Oil & Gas LLC to create an
overlapping temporary spacing unit comprised of all of Sections 3 and
10, T27N-R57E and all of Section 34, T28N-R57E, Roosevelt County,
Montana, to drill a horizontal Bakken/Three Forks Formation well
anywhere within said spacing unit but not closer than 200’ (heel/toe
setback) and 500’ (lateral setback) to the exterior boundaries thereof,
provided that operations for the drilling of said well commence within
one year of the date of the order issued by the Board. Applicant
will apply for permanent spacing within 90 days of successful well
completion. Applicant further requests that Board Order 39-2018 be
amended to clarify that said order is limited to oil and associated natural
gas produced from the Bakken/Three Forks Formation from the Doris
10-3 #1H well. The overlapping temporary spacing unit shall be limited
to production from the proposed horizontal well.
Docket 67-2021
APPLICANT: KRAKEN OIL & GAS LLC – ROOSEVELT COUNTY,
MONTANA
Upon the application of Kraken Oil & Gas LLC to authorize the drilling
of up to two additional horizontal Bakken/Three Forks Formation wells
anywhere within the overlapping temporary spacing unit comprised
of all of Sections 3 and 10, T27N-R57E and all of Section 34, T28NR57E, Roosevelt County, Montana, but not closer than 200’ (heel/toe
setback) and 500’ (lateral setback) to the exterior boundaries thereof.
The overlapping temporary spacing unit shall be limited to production
from the proposed horizontal wells.
Docket 41-2021
Continued from June 2021
APPLICANT: LONEWOLF OPERATING, LLC – BLAINE COUNTY,
MONTANA
Upon the application of Lonewolf Operating, LLC to create a
temporary spacing unit comprised of the E½NE¼SW¼ and W½NW¼SE¼
of Section 32, T35N-R21E, Blaine County, Montana, to drill a Sawtooth
Formation test well at any location not closer than 330’ from the exterior
boundaries thereof, as an exception to A.R.M. 36.22.702.
Docket 42-2021
Continued from June 2021
APPLICANT: LONEWOLF OPERATING, LLC – BLAINE COUNTY,
MONTANA
Upon the application of Lonewolf Operating, LLC to create
a temporary spacing unit comprised of the SW¼SW¼SE¼ and
SE¼SE¼SW¼ of Section 31, T35N-R21E, and the NW¼NW¼NE¼
and NE¼NE¼NW¼ of Section 6, T34N-R21E, Blaine County, Montana,
to drill a Sawtooth Formation test well at any location not closer than
330’ from the exterior boundaries thereof, as an exception to A.R.M.
36.22.702.
Docket 68-2021
APPLICANT: CLAY’S CONSULTING, LLC – YELLOWSTONE COUNTY,
MONTANA
Request for a change of operator, and as required by Board policy, the
Board will hold a hearing to consider approval of the transfer of plugging
and reclamation responsibilities for 48 wells in Yellowstone County,
Montana, identified in the application from Western Meadowlark
Resources, LLC to Clay’s Consulting, LLC and to determine if the
proposed plugging and reclamation bond coverage is adequate under
§ 82-11-123(5), MCA.
Docket 49-2021
Continued from June 2021
APPLICANT: DIGITAL OPERATING COMPANY LLC – RICHLAND,
ROOSEVELT, SHERIDAN AND WIBAUX COUNTIES, MONTANA
Request for a change of operator, and as required by Board policy, the
Board will hold a hearing to consider approval of the transfer of plugging
and reclamation responsibilities for 7 wells in Richland County, 2 wells
in Roosevelt County, 8 wells in Sheridan County, and one well is Wibaux
County, Montana, identified in the application from Abraxas Petroleum
Corporation to Digital Operating Company LLC and to determine
if the proposed plugging and reclamation bond coverage is adequate
under § 82-11-123(5), MCA.
Docket 69-2021
SHOW-CAUSE HEARING
RESPONDENT: BRAINSTORM ENERGY, INC. – HILL COUNTY,
MONTANA
Upon the Board’s own motion to require Brainstorm Energy, Inc. to
appear and show cause, if any it has, why additional penalties should
not be imposed for failure to pay the administrative penalty assessed for
delinquent reporting. In accordance with Board policy the amount due
now is $440.00. This docket will be dismissed if payment is received

Docket 71-2021
SHOW-CAUSE HEARING
RESPONDENT: LYON, JOHN J. – TOOLE COUNTY, MONTANA
Upon the Board’s own motion to require Lyon, John J. to appear
and show cause, if any it has, why additional penalties should not be
considered for failure to comply with Board rules.
Docket 72-2021
SHOW-CAUSE HEARING
RESPONDENT: SUMMIT GAS RESOURCES, INC. – BIG HORN
COUNTY, MONTANA
Upon the Board’s own motion to require Summit Gas Resources,
Inc. to appear and show cause, if any it has, why further penalties, which
could include revocation of the injection permits, should not be imposed
for failure to pay the annual injection well operating fee and associated
fines, for the seven injection wells it operates in Big Horn County.
Docket 73-2021
SHOW-CAUSE HEARING
RESPONDENT: HIGHLANDS MONTANA CORPORATION – CUSTER
COUNTY, MONTANA
Upon the Board’s own motion to require Highlands Montana
Corporation to appear and show cause, if any it has, why it should not
begin to restore the location of the Helios 5-52 16-21 well, file missing
completion data for the Helios 5-52 16-32 well, and begin to plug and
abandon the Helios 5-52 16-22 well.
Docket 74-2021
SHOW-CAUSE HEARING
RESPONDENT: ANG HOLDING (USA) CORP. – BLAINE COUNTY,
MONTANA
Upon the Board’s own motion to require ANG Holding (USA) Corp.
to appear and show cause, if any it has, why it should not begin to plug
and abandon its wells in Blaine County, Montana prior to the August 12,
2021, public hearing. Failure to begin to plug and abandon the wells
may result in additional penalties or the forfeiture of the plugging and
reclamation bond in its entirety, as permitted by § 82-11- 123(5), MCA.
Docket 75-2021
SHOW-CAUSE HEARING
RESPONDENT: PAMECT OIL, KEITH E. TYNER DBA AND
LOWRANCE-TYNER OPERATING – PONDERA AND TETON
COUNTIES, MONTANA
Upon the Board’s own motion to require Pamect Oil, Keith E. Tyner
Dba and Lowrance-Tyner Operating to appear and show cause, if any
it has, why additional penalties should not be assessed for failure to file
delinquent production and injection reports, failure to pay the penalty
assessed to Pamect for delinquent reporting in the amount of $240, and
for failure to pay the outstanding $200 annual injection well fee for both
companies.
Docket 76-2021
SHOW-CAUSE HEARING
RESPONDENT: KYKUIT RESOURCES, LLC – BLAINE AND FERGUS
COUNTIES, MONTANA
Upon the Board’s own motion to require Kykuit Resources, LLC to
appear and show cause, if any it has, why additional penalties should
not be applied for failure to submit production reports, failure to pay
the outstanding fine, failure to appear at the February 4, 2021, April 8,
2021, and June 10, 2021, public hearings and failure to provide a plan for
reducing its plugging liability related to its nonproducing wells.
Docket 52-2020
SHOW-CAUSE HEARING
Continued from October 2020
RESPONDENT: ZEIDERS BROS. OIL & GAS COMPANY, LLC –
MCCONE COUNTY, MONTANA
Upon the Board’s own motion to require Zeiders Bros. Oil &
Gas, LLC to appear and show cause, if any it has, why it should not
immediately plug and abandon its Rudolph Haynie 1-5 well, API #
25-055-21207, located in the SE¼NE¼ of Section 5, T22N-R47E,
McCone County, Montana before the October 1, 2020, public hearing
and pay the outstanding fine in the amount of $10,500, as required by
Board Order 3-2020, and for failure to pay the $1,000 fine assessed for
not appearing at the December 3, 2020, public hearing.
Docket 32-2021
SHOW-CAUSE HEARING
Continued from April 2021
RESPONDENT: FORWARD
COUNTY, MONTANA

ENERGY,

LLC

–

YELLOWSTONE

Upon the Board’s own motion to require Forward Energy, LLC to
appear and show cause, if any it has, why they should not be required
to provide a plan and timeline for the plugging and abandonment of its
wells in Yellowstone County, Montana.
Docket 37-2021
SHOW-CAUSE HEARING
Continued from April 2021
RESPONDENT: ROLAND OIL AND GAS – GLACIER AND PONDERA
COUNTIES, MONTANA
Upon the Board’s own motion to require Roland Oil and Gas to
appear and show cause, if any it has, why they should not be required
to provide a plan and timeline for the plugging and abandonment of its
wells in Glacier and Pondera Counties, Montana.
Docket 62-2021
SHOW-CAUSE HEARING
Continued from June 2021
RESPONDENT: CAPSTAR DRILLING, INC., FKA
EXPLORATION, INC. – LIBERTY, COUNTY, MONTANA

ELENBURG

Upon the Board’s own motion to require Capstar Drilling, Inc., FKA
Elenburg Exploration, Inc. to appear and show cause, if any it has, why
it should not immediately plug and abandon the Meissner 11-14, API #
25-051-21588, located in the SW¼NE¼SW¼ of Section 14, T29N-R6E
in Liberty County, Montana. Staff has the authority to dismiss the docket
if the Meissner 11-14 well is plugged and abandoned prior to August 12,
2021, hearing.
BOARD OF OIL AND GAS CONSERVATION

July 18, 2021. MNAXLP.

_____________________________________
Erin Ricci
Administrative Assistant

Categories