BEFORE THE OIL CONSERVATION COMMISSION
OF THE STATE OF NEW MEXICO

IN THE MATTER OF THE HEARING CALLED BY THE OIL CONSERVATION COMMISSION ON ITS OWN MOTION TO CONSIDER THE AMENDMENT OF ORDER No. R-3221, THE COMMISSION'S SALT WATER DISPOSAL ORDER, TO PERMIT THE EXEMPTION OF CERTAIN PRESENTLY EXISTING AND FUTURE POOLS IN EDDY AND LEAD COUNTIES, NEW MEXICO, FROM CERTAIN REQUIREMENTS OF SAID ORDER.

CASE No. 3806
Order No. R-3221-B


ORDER OF THE COMMISSION

BY THE COMMISSION:

This cause came on for hearing at 9 a.m. on July 17, 1968, at Santa Fe, New Mexico, before the Oil Conservation Commission of New Mexico, hereinafter referred to as the "Commission."

NOW, on this 25th day of July, 1968, the Commission, a quorum being present, having considered the testimony presented and the exhibits received at said hearing, and being fully advised in the premises,

FINDS:

(1) That due public notice having been given as required by law, the Commission has jurisdiction of this cause and the subject matter thereof.

(2) That effective January 1, 1969, Order (3) of Commission Order No. R-3221, dated May 1, 1967, prohibits in that area encompassed by Lead, Eddy, Chaves, and Roosevelt Counties, New Mexico, the disposal, subject to minor exceptions, of water produced in conjunction with the production of oil or gas, or both, on the surface of the ground, or in any pit, pond, lake, depression, draw, streambed, or arroyo, or in any watercourse, or in any other place or in any manner which will constitute a hazard to any fresh water supplies and said disposal has not previously been prohibited.

(3) That within the area described as:

EDDY AND LEA COUNTIES, NEW MEXICO

TOWNSHIP 19 SOUTH, RANGE 30 EAST, NMPM
Sections 8 through 36
TOWNSHIP 20 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 36
TOWNSHIP 20 SOUTH, RANGE 31 EAST, NMPM
Sections 1 through 36
TOWNSHIP 20 SOUTH, RANGE 32 EAST, NMPM
Sections 4 through 9;
Sections 16 through 21;
and Sections 28 through 33
TOWNSHIP 21 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 36
TOWNSHIP 21 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 36
TOWNSHIP 21 SOUTH, RANGE 31 EAST, NMPM
Sections 1 through 36
TOWNSHIP 22 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 36
TOWNSHIP 22 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 36
TOWNSHIP 23 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 3;
Sections 10 through 15;
Sections 22 through 27;
and Sections 34 through 36
TOWNSHIP 23 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 19

exist a number of oil and gas pools which produce varying amounts of salt water.

(4) That the major portions of Clayton Basin and North Draw, broad depressions caused by the slumping of the surface due to the removal of the underlying salt by solution, lie within the above described area.

(5) That the general direction of movement of both ground water and surface water in the subject area is toward and into said basins, thence southwest in Nash Draw toward Malaga Bend.

(6) That a substantial amount of water is produced in conjunction with the production of oil or gas, or both, by the oil and gas wells located in the above-described area.

(7) That said produced water is presently being disposed of in surface pits located in the
above-described area.

(8) That a number of large surface ponds, or lakes, containing extremely high concentrations of chlorides are located in the above-described area.

(9) That in relation to said surface lakes, said disposal pits are inconsiderable in volume of water received and seepage underground.

(10) That the aforesaid disposal pits and surface lakes are located within the same surface and subsurface drainage system, as described in Finding (5) above.

(11) That the purpose of Order No. R-3221, to afford reasonable protection against contamination of fresh water supplies by surface disposal of produced water, would not be advanced by the enforcement of said order as to the above-described area.

IT IS THEREFORE ORDERED:

(1) That all oil and gas wells, both existing and prospective, located in the following-described area are hereby excepted from the provision of Order (3) of Order No. R-3221, to authorize the operators of said wells to dispose of water produced in conjunction with the production of oil or gas, or both, from said wells in unlined surface pits located in said following-described area until further order of the Commission:


EDDY AND LEA COUNTIES, NEW MEXICO

TOWNSHIP 19 SOUTH, RANGE 30 EAST,NMPM
Sections 8 through 3
TOWNSHIP 20 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 36
TOWNSHIP 20 SOUTH, RANGE 31 EAST, NMPM
Sections 1 through 36
TOWNSHIP 20 SOUTH, RANGE 32 EAST, NMPM
Sections 4 through 9;
Sections 16 through 21;
and Sections 28 through 33
TOWNSHIP 21 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 36
TOWNSHIP 21 SOUTH. RANGE 30 EAST, NMPM
Sections 1 through 36
TOWNSHIP 21 SOUTH, RANGE 31 EAST, NMPM
Sections 1 through 36
TOWNSHIP 22 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 36
TOWNSHIP 22 SOUTH. RANGE 30 EAST. NMPM
Sections 1 through 36
TOWNSHIP 23 SOUTH, RANGE 29 EAST, NMPM
Sections 1 through 3;
Sections 10 through 15;
Sections 22 through 27;
and Sections 34 through 36
TOWNSHIP 23 SOUTH, RANGE 30 EAST, NMPM
Sections 1 through 19

(2) That the Commission may by administrative order rescind such authority as to any or all such wells whenever it reasonably appears to the Commission that such rescission would serve to afford reasonable protection against contamination of fresh water supplies.

(3) That jurisdiction of this cause is retained for the entry of such further orders as the Commission may deem necessary.

DONE at Santa Fe, New Mexico, on the day and year hereinabove designated.


STATE OF NEW MEXICO

OIL CONSERVATION COMMISSION

Signed by

DAVID F. CARGO, Chairman

Signed by

Guyton B. Hayes, Member

Signed by

A. L. PORTER, Jr., Member & Secretary


S E A L

esr/

BEFORE THE OIL CONSERVATION COMMISSION
OF THE STATE OF NEW MEXICO

IN THE MATTER OF THE HEARING CALLED BY THE OIL CONSERVATION COMMISSION ON ITS OWN MOTION TO CONSIDER THE AMENDMENT OF ORDER No. R-3221, THE COMMISSION'S SALT WATER DISPOSAL ORDER, TO PERMIT THE EXEMPTION OF CERTAIN PRESENTLY EXISTING AND FUTURE POOLS IN EDDY AND LEA COUNTIES, NEW MEXICO, FROM CERTAIN REQUIREMENTS OF SAID ORDER.


CASE No. 3806
Order No. R-3221-B-1

NUNC PRO TUNC ORDER

BY THE COMMISSION:

It appearing to the Commission that due to clerical error, Order No. R-3221-B, dated July 25, 1968, does not correctly state the intended finding of the Commission in one particular,


IT IS THEREFORE ORDERED:

(1) That the phrase "North Draw" is hereby stricken from the first line of Finding (4) on Page 2 of Order No. R-3221-B, dated July 25, 1968, and the phrase "Nash Draw" is hereby substituted in lieu thereof.

(2) That this order shall be effective nunc pro tune as of July 25, 1968.

DONE at Santa Fe, New Mexico, on this 13th day of August, 1968.


STATE OF NEW MEXICO
OIL CONSERVATION COMMISSION

Signed by
DAVID CARGO, Chairman


Signed by
Guyton B. Hayes, Member

Signed by
A. L. Porter, Jr., Member and Secretary


S E A L

esr/