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Uixlrlct I 1625 N. French Dr.. Hobbs. NM 88240 Phone: (575) 393-6161 Fax: (575) 393-0720 ItotriclU 811 S. Irini Si.. Artesia. NM 882)0 Phone: (575) 748-1283 Fax: (575) 748-9720 District 111 1000 Rio Drams Road. Azlec. NM 87410 Phone: (505) 334-6173 Fax: (505) 334-6170 District IV 1220 S. Si. Francis Dr.. Sami Fe. NM 87505 Phone: (505) 476-3460 Fax: (505) 476-3462 HOBBS OCB FEB 0 5 2014 State of New Mexico Energy Minerals and Natural Resources Oil Conservation Division 1220 South St. Francis Dr. Santa Fe, NM 87505 Form C-I0I Revised July IS. 2013 amended report APPLICATION FOR PERMIT TO DRILL, RE-ENTER, DEEPEN, PLUGBACK, OR ADD A ZONE Operator Name and Address HARVEY II. YAT1IS Qs<D P.OBOX 1933 ROSWELL N.M 88202 " OGR1D Number . 10179 ■' AlI Number »^355<r - J' Property Name airstrip 31 State com Well No. 2H 7- Surface Location UI.- l-oi ScCciion 'township Range Lei Idn Feet (him N/S Line Feet From EAVUnc County M 31 IS S 35 E 4 tier SOUTH - 330' WEST IXA 1 Proposed Bottom Hole Location UL-Loi Section Township Range I_cjt Idn Feet from N/S Line Feet From EAVLine County D 31 IS S 35 E 1 330' NORTH 710' WEST LEA 9- Pool Information Pool Code 960 Pool Naim AIRSTRIP: BONE SPRING Additional Well Information "■ Work Type 12. Well Type 15 Cahle/Roiary 14 Lease Type 15 Ground Level Elevation NEW HRI fi OIL ROTARY STATE 394H' la Multiple Proposed Depth ls Fornation Contractor ^ Spud Date N TVD 10.9807 MD 15,185' 3rd BONE SPRING 5/15/14 Depth to Ground water 60' Distance from nearest fresh water well Distance lo nearest surface water ^ We will be using a closed-loop system in lieu of lined pits 2I- Proposed Casing and Cement Program Type Hole Size Casing Si/e Casing Weight/ft Setting Depth Sacks of Cement Estimated TOC SURE 17.5 13.375 43# 1945 1600 SURF INT 12.25 9.625 36# 3840 1100 SURF PROD 8.75 5.5 17# 15,185 2700 2950 Casing/Cement Program: Additional Comments Plan to drill 17 ■/:" lo 1945' uses fresh water, run 13 3/854.5# J-55 csg and emt back to surf. Drill 12 '/*' hole to 3840' with brine, run 9 5/836# J-55 cgs and emt back to surf. [Drill 7 7/8curve and lateral with eul brine to MD depth of approx. 15,185. Run 5 !A" 17* PI 10 esg and emt and emt back to 3600' in two stage. Set DVtool @ 9950'+/- NMOCD Case No. 15363 21 Proposed Blowout Prevention Program Type Working Pressure Test Pressure DOUBLE RAM 5(XX)P.S1 3000PSI Hearing: SEP 29, 2015 Jalapeno EX ^ I hereby certify that the information given above is true and complete to the best of my knowledge and belief. 1 further certify that# have complied with 19.15.14.9 (A) NMAC and/or 19.15.14.9 (B) NMi^C Qjif appjkable. Signature: fag/ OIL CONSERVATION DIVISION j Approved By: j Printed name: Keith Cannon Title ^ | Title: Drilling Superintendent Approved Date: //fc Expiration Date: f) '7-/2-£ //£ E-mail Address: [email protected] Date: /-."?/'/ </ Phone: S73&JL3- CC&/ | Conditions of Approval Attached FEB &7.20^
Transcript

Uixlrlct I

1625 N. French Dr.. Hobbs. NM 88240

Phone: (575) 393-6161 Fax: (575) 393-0720

ItotriclU811 S. Irini Si.. Artesia. NM 882)0

Phone: (575) 748-1283 Fax: (575) 748-9720

District 111

1000 Rio Drams Road. Azlec. NM 87410

Phone: (505) 334-6173 Fax: (505) 334-6170

District IV1220 S. Si. Francis Dr.. Sami Fe. NM 87505

Phone: (505) 476-3460 Fax: (505) 476-3462

HOBBS OCB

FEB 0 5 2014

State of New Mexico

Energy Minerals and Natural Resources

Oil Conservation Division

1220 South St. Francis Dr.

Santa Fe, NM 87505

Form C-I0I

Revised July IS. 2013

□amended report

APPLICATION FOR PERMIT TO DRILL, RE-ENTER, DEEPEN, PLUGBACK, OR ADD A ZONE‘ Operator Name and Address

HARVEY II. YAT1IS Qs<D

P.OBOX 1933ROSWELL N.M 88202

" OGR1D Number .

10179

■' Al’I Number

‘»“^355<r - J' Property Nameairstrip 31 State com

“■ Well No.2H

7- Surface Location

UI.- l-oi ScCciion 'township Range Lei Idn Feet (him N/S Line • Feet From EAVUnc County

M 31 IS S 35 E 4 tier SOUTH - 330' WEST IXA

1 Proposed Bottom Hole Location

UL-Loi Section Township Range I_cjt Idn Feet from • N/S Line Feet From EAVLine County

D 31 IS S 35 E 1 330' NORTH 710' WEST LEA

9- Pool Information

Pool Code

960

Pool Naim

AIRSTRIP: BONE SPRING

Additional Well Information"■ Work Type 12. Well Type 15 Cahle/Roiary 14 Lease Type 15 Ground Level Elevation

NEW HRI fi OIL ROTARY STATE 394H'la Multiple Proposed Depth ls Fornation ” Contractor ^ Spud Date

N TVD 10.9807 MD 15,185' 3rd BONE SPRING 5/15/14

Depth to Ground water 60' Distance from nearest fresh water well Distance lo nearest surface water

^ We will be using a closed-loop system in lieu of lined pits

2I- Proposed Casing and Cement Program

Type Hole Size Casing Si/e Casing Weight/ft Setting Depth Sacks of Cement Estimated TOC

SURE 17.5 • 13.375 43# 1945 1600 SURF

INT 12.25 9.625 36# 3840 1100 SURF

PROD 8.75 5.5 17# 15,185 2700 2950

Casing/Cement Program: Additional Comments

Plan to drill 17 ■/:" lo 1945' uses fresh water, run 13 3/8” 54.5# J-55 csg and emt back to surf. Drill 12 '/*' hole to 3840' with brine, run 9 5/8” 36# J-55 cgs and emt back to

surf. [Drill 7 7/8” curve and lateral with eul brine to MD depth of approx. 15,185. Run 5 !A" 17* PI 10 esg and emt and emt back to 3600' in two stage. Set DVtool @

9950'+/-

NMOCD Case No. 15363

21 Proposed Blowout Prevention Program

Type Working Pressure Test Pressure

DOUBLE RAM 5(XX)P.S1 3000PSI

Hearing: SEP 29, 2015

Jalapeno EX

^ I hereby certify that the information given above is true and complete to the

best of my knowledge and belief.

1 further certify that# have complied with 19.15.14.9 (A) NMAC □ and/or

19.15.14.9 (B) NMi^C Qjif appjkable.Signature: fag/

OIL CONSERVATION DIVISION j

Approved By: j

Printed name: Keith CannonTitle ^ |

Title: Drilling SuperintendentApproved Date: //fc Expiration Date: f) '7-/’2-£ //£

E-mail Address: [email protected]

Date: /-."?/'/ </ Phone: S73‘ &JL3- CC&/ | Conditions of Approval Attached

FEB &7.20^

HiV

OV

S10NC UARKEQ V

_7W,ff-s ££

7 - /i?-5 ,

ov-

OA—

QA----------

6<5'

GU_-—:

6*5'

I M5‘-AO—AO

-AD

16'

-/y

imp’

15'

_ji/tt. ROW UJ.

5-lV OARS, rue IN.

LEGEND® DENOTES FOUND CORNER AS NOTED

LEGEND

NOTE: Warning Signs Will Be Placed

1500 Feet In Both Directions

During Construction.

NOTE: <=> = Shoulder Work Ahead

O = Be Prepared To Stop

M:

-CLST.mVY.MS29-

y POIY SURF IN.

ED CD or PAVCUOJT

C.L ST. HWY. /570

C001 OF PAVIHCNT

O = Flagman Aheod

* SHOULDER WORK AHEAD and BE -

PREPARED TO STOP" signs shall remain in place from the time consfa/ction starts until it is completed.

“FLAGMAN AHEAD* signs will be in place during the hours construction men and equipment ore working. A flogman will be on duty all the time that construction men and/or equipment are working.Signs will be' 48 x48" fn size. Color will be black on orange and will meet (he reflective quality specified in the New Mexico Stofe Higfiwoy & Transportation Standard Specifications.

40 40

Sco/e: I ~=4Q'

PROVIDING SUlrVLYING SfHVICt'S SINCE 1945

JOHN WEST SURVEYING COMPANY

*12 N. DAL PASO HOBBS. N.M. 882*0

(575) JQJ-Jl 17 www.jw,

HARVEY E. YAEES

A PROPOSED ROAD TURN OUT ON ST. HIGHWAY #529

LOCA TED IN SECTION 31.TOWNSWr 18 SOUTH, RANGE 35 EAST, N.M.P.M.

LEA COUNTY, NEW MEXICOSurvey Dote: 12/16/13 |

■th> JUo- N°-: 13111091 Hev: .CAD Dote: 1/6/1*

Rel. W.O.:

Drown Gy: ACK

~ | Sheet 1 ol 1*

(d) Anjslico\20l J\Nodel one Coismon Permian, LLC\Wells\«.M

date

tno/u

hevcoHORIZONTAL WORKSItEGT

wen. Nome: AirjCnp 31 Slals Com #2H

. SURFACE LOCATION: 1

sec TOYTNSH1P KANOS

IFACET BERTH:

TAROFT ANGLE:

PLANNED MJ LFNGTH:

PVANNtOKOR:

50FSL330 FWL

31 IBS 3£E

10510 nTVDOTO3.7 DECREES

4800 ft

1QQ80 n rvo

countv: Lep STATE: NM

foamation: Bone Sprtno 3rd Sd MAXIMUM ROB: 10 OEOT1M ft

roouAinu m»: l decrees

ooliction: 150 A41MUTHDCCLLNAnOH: NOE DEGREES

SlUnNOPT: 0001 DEGREES

AT 1800 FEET

BEGINNING SURVEY

COM PANY; 0

QEPIH FROM

TO

SURVEY TYPE:

0 FT

0 FT

0

M0 INCl A7IMUTH TVD COORDINATES VERT.SEC(OA«| wn 1HTIS-1 l»8

TIG IN POINT 3840 00 0 23 150.00 3839.99 -0 01 001 -001

MEASURED IHCL HOLE COURSE TOTAL COOflCHKAT €9 CLOSURE OOOLEO BUILD

DEPTH ANGLE A71MU1H LENGTH T.V.D. VERT,SEC (N*rv) (Etw;.| DISTANCE SEVER! [Y SATE(II) INPUT nr»l ITU (TO in) mi mi TO J«p»GM) IOtp'im)

4000.0 0 25 120.0 160.0 40000 -0 4 -0.5 05 0.7 0.1 0.0

4500 0 0 30 110.0 500.0 4500 0 -1.3 •1.5 2.7 3.0 0.0 00

5000 0 0.35 100.0 500.0 5000.0 -1.9 -2 2 34 5.8 0.0 0.0

5500 0 040 90 0 SOOO 5500 0 -1.9 -7.5 88 9.0 0.0 00BDCO 0 045 80 0. 5000 6000 0 •1.4 -7.2 12.3 17.5 oio 00

8SCOO 050 70.0 JOO.O 0499.9 -0.1 -1.1 10.3 16 4 0 0 00

7000.0 0.55 80 0 500 0 6999 9 2.1 0.8 205 20 5 0.0 0.0

7500 0 060 50.0 500 0 7499.9 5.3 3.7 24.6 240 0.0 006000 0 oes 400 500.0 7999.9 9.4 7.5 26 4 29 4 00 0.0

8500.0 0.70 30.0 500.0 8499 B 14.4 12 4 31.8 34.1 0.0 00

5000 0 0.75 20.0. 500 0 8999.8 20.3 18.1 34.5 38 9 0.0 0.0

9500 0 0 80 10.0 5000 0409.7 28.9 24 0 352 438 00 o.a10000.0 0.85 3.7 500.0 9939.7 34.1 31.8 .37.1 488 00 00

10030.0 0.9 3.7 80.0 10079.7 35.3 33.0 37.2 40.7' 0.1 0.1

10180.0 10.0 3.7 100.0 10179.1 44.8 47 4 37 8 588 9.1 9 1

10280.0 20.0. 3.7 100.0 10275.6 70 3 882 39.4 78 8 100 10.0

10380.0 30.0 3.7 1000 10368.1 112.9 1104 47.2 118.1 10.0 100

NEYCO DATE

ANiRip 31 suit CpmATH inSDA

MEASURFD INCL. HDL£ COURSE TOTAL COOflOWATfft CLOSURE DOGLEG BUILD

DEPTH ANGLE A2JMUTH LENGTH I.VB VERT.StC (N*/5J (E-ftV.I Distance SEVERITY RALE

(*l) (e*frv«T| |<Mgrp»>| in> TO I") im IN ("1 {JPSMOQ} (Urt/IMI

10430.0 40.0 3.7 1000 10447.9 170.1 167.5 459 173.7 100 10.0

1C580.0 50.0 3.7 1000 10518.5 .740.6 738.0 504 243 3 100 100

1C680.0 60.6 3.7 10OO 10575.8 322. B 319 6 53 7 324.5 10.0 100

10780.0 70.0 3.7 1000 10618 0 413.1 4100 015 414.0 100 10.0

108 B0.0 80 0 3.7 inoo 10643 9 509 8 500.2- 07 8 510.6- 10.0 10.0

10980.0 900 3.7 100.0 10052 8 609.0 005.3 74 2 610.1 10.0 10.0

11250.0 92 0 3.7 770 0 10647.9 8790 874.9 91.0 870.7 0.7 0.7

115000 92.0 3.7 250.0 10639:1 1128.8 1124.2 107.7 1129.4 0.0 00

12000.0 92.0 3.7 500.0 10021.8 1628 5 1822.9 140.0 1628.9 DO 00

12500 0 07.0 3.7 500.0 .10604.1 2128.2 2121.5 172.2 7178.5 0.0 00

13000 0 92.0 3.7 500.0 10566.6 2627.0 2620 2 204.4 2626.2 o.a 00

13500.0 92.0 3.7 500.0 10589.1 3127.6 3118.8 236.7 3127.8 00 00

14000.0 92.0 3.7 500 0 10551. S 3527.3 3817.5 709.0 3627.5 0.0 0.0

14500.0 92.0 3.7 500 0 10534.1 4127.0 4116.1 30I.2 4127.2 00 00

15000.0 02.0 3.7 500.0 10M6.7 4878.7 4014 8 333.4 4 6 26.6 0.0 00

1S18S.0 92.0 3.7 185.0 10510.2 4811.6 4799.3 345 4 4811.7 0.0 00

FOR GRAPHINC,

MO 3840

4000

4500

5003 9500

6000

6500

7000

7500

8000

8500

9000

9500

10000 10080

101 GO

10780

10380 10480

10580

10080 10780

10380

10980

11250

11500

12000 12500

13000

13500

14000

14500

15000

13183

2027

34

35

45

71

113

170

741

373

413510

609

B78

1170

1620

2128

2078

3178

3627

41774627

4812

0

0

TVD-3840

-4000

•4500

-5000

-5500

•6000

-71500

-7000

-7500

-8000

-8500

•9000

-0500

-10000-1D080

-10179

-10270

-10388 -10443

•10519

•10578

-10618 -10644

-10653

-10646

-10639

•10622

•10604

-10587

-10569

-10552

-10534

• 10517

-10510

0

0

EXHIBIT "D" location diagram

Harvey E. YatesAirstrip 31 State Com 1H150' FSL & 330' FWLUNIT M, SEC 31, T10S, R35ELea County, NM

Sooth

0>

North

Well: Airstrp 31 State Com 2H

150' FSL & 330' FWL, Sec 31, T18S, R35E Harvey E. Yates

BOP Scematic 12.25" holeLEA County New Mexico

Well AIRSTRIP 31 STATE COM 2H

150' FSL, 330 FWL, Sec. 31, T18S, R35E Harvey E. Yates

BOP Scematic 8.75" holeLEA County New Mexico

AIRSTRIP 31 STATE COM #2H

3000 psl BOP Manifold System

HARVEY E. YATES

P.O. BOX 1936

ROSWELL N.M. 88202

(575) 623-6601 (Office)

(575) 624-5321 (Fax)

1/31/2014

Mr. Paul Kautz

Disirict 1 Geologist

New Mexico Oil and Gas Division

1625 N. French Drive

Hobbs N.M 88240

Re: AIRSTRIP 31 STATE COM 2H

150’ FSL & 330’ FWL

Unit Letter M, Sec. 31, T18S, R35E

LEA, NM

Rule 118 H2S Exposure

Dear MR Kautz

Harvey E. Yates, have evaluated this well and we do not expect to encounter hydrogen sulfide.

However, we will employ a third party monitoring system. We will begin monitoring prior to

drilling out the intermediate casing and will continue monitoring the remainder of the well.

Please contact me if you have any additional questions.

Keith Cannon

Drilling Superintendent

Hydrogen Sulfide Drilling Operations Plan Harvey E. Yates

Airstrip 31 State Com 2H UNIT M, 560 31,1188, R35E

150’ FSL&330’ FWL Lea Co. N.M.

1. Company and contract personnel admitted on location should be trained by a qualified H2S safety instructor to the recognize and handle following:

A. Characteristics of H2$ gasB. Physical effects and hazardsC. Proper use of safety equipment and life support systemsD. Principle and operation of H2S detectors, warning system and briefing knowledgeE. Evacuation procedure, routes and first aid supportF. Proper use of 30 minutes Pressure-on-Demand Air Pack

2. H2S Detection and Alarm SystemsA. H2S detectors and audio alarm system to be located at bell nipple, end of blooie line (mud pit) and on

derrick floor or doghouse

3. Windsock and/or Wind StreamersA. Windsock at mud pit area (high enough to be visible)B. Windsock at briefing area (high enough to be visible)C. Windsock at location entrance

4. Condition Flags and SignsA. H2$ warning signs on lease access road into locationB. Flags displayed on sign at location entrance

1. Green flag indicates “Normal Safe Conditions1’2. Yellow Flag indicates “Potential Pressure and Danger1’3. Red Flag indicates “Danger - H2S Present in High Concentrations" admit only emergency personnel

5. Well Control EquipmentA. See Exhibit #5.

6. CommunicationA. While working under masks chalkboards will be used for communicationB. Hand signals v/ill be used where chalk board is inappropriateC. Two -way radios or cell phones used to communicate off location or minimally in Drilling Foreman’s

trailer or living quarters

7. Drillstsm TestingA. Exhausts wateredB. Flare line equipped with electric Igniter/propane pilot light in case gas reaches surfaceC. If location near dwelling closed DST will be performed

8. Drilling Supervisor required to be familiar with effects of H2S on tubular goods/mechanical equipment

9. If H2S encountered, mud system shall be addressed to maintain control of formation, A mud gas separator will

be brought into service along with H2S scavengers, if necessary.

Page 1 of 1

PUBLIC PROTECTION PLAN FOR EMERGENCY CONTACTS

HARVEY E. YATES

Comoanv Personnel

(575) 623-6601

Lanny Overby Prod. Enrineer

Keith Cannon Drilling Supt.

575-623-6601575-317-5059575-623-6601575-626-1936

ARTESIAN. M.AmbulanceState PoliceCity PoliceSheriff's OfficeFire DepartmentN.M.O.C.D

911575-746-5000575-746-5000575-746-9888575-746-5050 or 575-746-5051 575-748-1283

CARLSBAD N.M.AmbulanceState PoliceCity PoliceSheriff's OfficeFire DepartmentCarlsbad BLM

911575-885-3137575-885-2111575-887-7551575-885-3125 or 575-885-2111 575-887-6544

HOBBS N.M.AmbulanceState PoliceCity PoliceSheriff's OfficeFire DepartmentN.M.O.C.DHobbs BLM

911575-392-5588575-397-9265575-396-3611575-397-9308575-393-6161575-393-3612

Flight for Life (Lubbock Tx)Aerocare (Lubbock Tx)Med flight air Ambulance (Albuq NM)SB air Med Services (Albuq NM)

806-743-9911806-747-8923505-842-4433505-842-4949

Boots & Coots IWCCudd Pressure ControlBJ Services (Artesia NM)

(Hobbs NM)

800-256-9688 or 281-931-8884 915-699-0139 or 915-563-3356 575-746-3569575-392-5556

New Mexico Emergency Response Commission (Santa Fe) 505-476-960024 Hour 505-827-9126

New Mexico State Emergency Operations Center 505-476-9635

CLOSED-LOOP SYSTEM

Design Plan:

Operating and Maintenance Plan:

During drilling operations, third party service companies will utilize solids control equipment to remove cuttings from the drilling fluid and collect it in haul-off bins. Equipment will be closely monitored at all times while drilling by the derrick man and the sen/ice company employees.

Closure Plan:

During drilling operations, third party service companies v/ill haul-off drill solids and fluids to an approved disposal facility. At the end of the well, all closed loop equipment will be removed from the location.

HOBBS OGS>district i(625 N French Ui.. Ilobla NMBSJdO I’tione: (575) 393-6161 l-a*-. (575) 393-0720

DISTRICT

BiPlionc; (575)

district m.1000 IIio Hia/us Rcod Aacr. NM S74I0I’hrm* (505) 334-6178 Fat: (505) 334-6)70 __

DISTRICT IV. RECEIVES)1720 S. Si. Frurei* Or.. Sana ft. NM H75U5 Phone: (505) A76-J460 Fat: (505) 476 346:

State ofNew MexicoEnergy, Minerals & Natural Resources Department

5 m OIL CONSERVATION DIVISION 1220 South St. Francis Dr.

Santa Fe, New Mexico 87505

Form C-102

Revised August 1.2d 11

Submil one copy lu appropriate

District Office

□AMENDED REPORT

WELL LOCATION AND ACREAGE DEDICATION PLATAPI Number

7>0' 02.tr- 4Pool Code

_______ ^<*6 _________

Pool Name

______5 g har h.__Banc. $ Dfnc.____ .

properly Codem

Property Name " 1AIRSTRIP 31 STATE COM

—s Well,Number

2H '

OGRlDNu..

to /79

Operator Name

HARVEY E. YATESHlevation

3948'

Surface Location

ULorlflt No.

4

Section

31

Township

18-S

Range

35-H

Lu( Ida l-eet from (he

150

North/South line

SOUTH

Feel frum the

330

liist/Wes! line

WEST

County

LEA

Bottom Holt Location IfDiflcrent From Surface

ULor lot No.

1

Section

31

Township

18-S

Range

35-E

l.oi Idn Feci from the

330

NonWSouth line

NORTH

Feet from (he

710

Easi/V/esi line

WEST

County

LEA

Dedicated Acres

)LoJuiiu or Infill Consolidation Code Order No.

NO ALLOWABLE WILL BE ASSIGNED TO THIS COMPLETION UNTIL ALL INTERESTS HAVE BEEN CONSOLIDATED 0.1 A NON-STANDARD UNIT HAS BEEN APPROVED BV THE DIVISION

'JU

, B.H.. -710“

r

i.-r

!T>I »

^/S

LOT t 38.55 AC.

LOT 2 38.55 AC.

IV)1

<1CN

3

LOT 3

33.58 AC

LOT A

33.5S AC

’ S.L.

I SZt 0~TAilJJ0' i

^ geodetic Coordinates

| NAD 27 NV.E

1 SURFACE LOCATION1 N=6ISJ75.6 N

| X=755233.1 E

I L4T =22.697268’ N1 L0NC.= 103.503559- V/

1 BOTTOM HOLE LOCATION

. Y=52J189.9 N\ X= 7555 6 7.3 E

1 1

CORNER COORDINATES TABLE

-

' A - Y= 523518.7 N. X=754854.3

1 B - Y-523520.7 N. X=756135.31 C - Y=518228.9 N, X=756188.8

1 D - Y=518224.3 N. X=754904.61 1

EEEE

i 1

1 DETAIL 1

| 3950.8' 3940.7" j

] ! 0 -a 1

, ! "ii_ _600’__j

3952^0' . 3947.3'

OPERATOR CERTIFICATION1 hereby ceitify (hsi the mformuian herein a true and

complete to (be be* of my knowledge end belief sad

(bat this orgaahatso eitberomaa working icicnsi or ur, (rated miners/ marts in the lead including (be

proposed boirom bo/e /ocalion or in a rigbl fo drill (bis

we// al ibis locuonpursuaaJ to a rcomci wiib an owner

of steb minora/ nr wotting inlerert. nr to a voJuruuy

pooling agreement or a mspulsor/ pooling order

beteafore stated by tits division.

/-3WSignature

XcM dDale

<knn_o s~\Primed Name

icxTg g~/7C/V>E-mail Address

SURVEYOR CERTIFICATION

l hereby certify tbs: die wt!J focaScn ibouu on (All pie:

uu plotted from field note of«c(ia/ turvsyt nude bv

me ot undo my i'jper/isian. end pat the amt is inx

end correct to lie ben of my belief

DECEMBER 16,2013Date of Survey

Signature ^Seitl-bl'T’lofe^sinnal Surveyor:

/Q/^ \; : S// NS-v •

. ^ttWl j )d

Cc; h,Tfi %i.le • Nja m tx: r .G/ary^iEidsiin 12641

‘rf^’jitFJ.'tiidson 3239 ack 'i»Tu';.Dri:0J^s-3- jwsc w.u.: u.t i.uiiT

lr to,-S-M

r

3950.8' 600' 3940.7’

340‘

rPROPOSED WELL PAD

397ro'1

o

Oo(O

17G' 170'

AIRSTRIP 31 STATE COM

ELEV. 3947.8’

LAT =32.697268° N

LONG.=103.503659° V/

bo

T-18-S SECTION 31

—SECTION 6-----ROW ■--------T.19-S--------»____

3950.2' 3943.4'

60' OF

-PROPOSED ROAD

■5 B.W. PENCEj

3 POLY SURF. LN.

___ BAR DITCH .'

———— ------- ST. HWY. #529---------- — ———

3952.0'

EAR. DITCH

600' 3947.3'

NOTE: ^ARCHEOLOGICAL SUR'TEY BOUNDARYSEE "LOCATION VERIFICATION MAP"FOR PROPOSED ROAD LOCATION.

DIRECTIONS TO LGCATION

FROM THE INTERSECTION OF US HWY 62-180 AND ST. HVFf 1529, GO WEST ON ST. H’.YY §529 FOR APPROX. 7.) MILES. THE LOCATION IS NORTH OF RIGHT OF WAY FENCE APPROX. 160 FEET.

f J PROVIDING SURVEYING SERVICES "\

SINCE 1946

JOHN WEST SURVEYING COMPANY

412 N. DAL FASO HOBBS. N.M. 83240

^ V, 1 (375) 39J-3U7 www.jwsc.bi2 j

(c) Anjelica\2013\Nodel and Cussrccn Permtcn, LLC\Weils\N.y

100 100 200 Fest

Scale:! "=100'

AIRSTRIP31 STATE COM#2H WELL LOCATED 150 FEET FROM THE SOUTH LINE

AND 330 FEET FROM THE WEST LINE OF SECTION 31,

TOWNSHIP 18 SOUTH, RANGE 35 EAST, NMP.M.,

LEA COUNTY, NEW MEXICO

Survey Cate: 12/16/13 CAD Date: 1/6/13 Drcwn 8y: ACK

W.O. No.: 13111419 Rev: Rel. W.O.: Sheet 1 of 1

NO

RT

H

LOCA TION VERIFICA TION MAP

SCALE: 1”

SEC. 3!

= 2000’

TV/P. J8-S RGE. 35-E

S! IRVFY N.M.P.M.

COUNTY LEA STATE NEW MEXICO

DESCRIPTION 150' FSL & 330‘ FVVL

ELEVATION 3948'

OPERATOR HARVEY E. YATES

1 EASE AIRSTRIP 31 STATE COM

CONTOUR INTERVAL:IRON HOUSE DRAY/, NM - W IRON HOUSE WELL NM - /O'

DIRECTIONS TO AIRSTRIP 3! STATE COM §2H:

FROM THE INTERSECTION OF US HY/Y 62- 180 AND ST. H'HY if529, CO WEST ON ST. HW §529 FOR APPROX. 7.) MILES. THE LOCATION IS NORTH OF RIGHT OF WAY FENCE APPROX. ISO FEET.

U.S.G.S. TOPOGRAPHIC MAP

IRON HOUSE DRAW, N.M.

PROVIDING SURVEYING SERVICES ^

SINCE 1346

| JOHN WEST SURVEYING COMPANY

■M2 N. DAL PASO H033S, AJ.M. 33240

(575) 393-3117 WWM.jiVSZ.blZ J

NO

RT

H

VICINITY MAP

SCALP 1" = 2 MILES DRIVING ROUTE: SEE LOCATION VERIFICATION MAP

SEC. 31 VHP. IS-S RCE. 35-E

SURVEY N.M.P.M.

COUNTY LEA STATE NEW MEXICO

DESCRIPTION 150' FSI A 350’ FV/l

ELEVATION 3948'

OPERATOR HARVEY E YATES

LEASE AIRSTRIP 3) STATE COM

providing Surveying services >

SINCE 1545

JOHN WEST SURVEYING COMPANY

412 N. DAL PASO H0B3S, NM. 88240

(575) 393-31 !7 wwivjwsc.bi? j

2/24/2015 C-145

oistrkn1625 N. French Of.. Hobbs, NM 88240 Phone:(575)393-6161 Fax:(575)393-0720

District II611 S. Firel SV, Artesta. NM 80210 Phone:(575) 748-1283 Fax:(575) 748-9720 District 111

1000 R» Brazos Rd.. Aztec. NM 37410 Phone:(505)334-6178 Fax:(505) 334-6170 District tV

1220 S. St Francis Dr.. Santa Fe, NM 87505 Phone:(505)476-3470 Fax:(505)476-3462

State of New Mexico Energy, Minerals and Natural

ResourcesOil Conservation Division

1220 S. St Francis Dr. Santa Fe, NM 87505

Change of Operator

Form C-145 August 1. 2011

Penrit 198879

HOBBS OCD

MR 1 2 20*

RECEIVED

Previous Operator Information

OGRlD: 1Q179___________________

Name: HARVEY E YATES CO

Address: PQ BOX 1933

City, State. Zip: ROSWELL .NM 88202

New Operator Information

ERedive Date: [Effective on the date of approval by the OCD

OGRlD: 228937

Name: MATADOR PRODUCTION COMPANY

Address: One Lincoln Centre

5400 LBJ Freeway, Ste 1500

City, state. Dallas, IX 75240Zip: ---------------------------------------------------------

I hereby certify that the rules of the Oil Conservation Division have been complied with and that the information on this form and the certified list

of wells is true to the best of my knowledge and belief.

Additionally, by signing below, MATADOR PRODUCTION COMPANY certifies that it has read and understands the following synopsis of

applicable rules.

PREVIOUS OPERATOR certifies that all below-grade tanks constructed and installed prior to June 16,2008 associated with the selected wells

being transferred are either (1) in compliance with 19.15.17 NMAC, (2) have been closed pursuant to 19.15.17.13 NMAC or (3) have been

retrofitted to comply with Paragraphs 1 through 4 of 19 15.17.11(1) NMAC.

MATADOR PRODUCTION COMPANY understands that the OCD's approval of this operator change:

1. constitutes approval of the transfer of the permit for any permitted pit, below-grade tank or closed-loop system associated with the

selected wells; and2. constitutes approval of the transfer of any below-grade tanks constructed and installed prior to June 16,2008 associated with the

selected wells, regardless of whether the transferor has disclosed the existence of those below-grade tanks to the transferee or to the

CCD. and regardless of whether the below-grade tanks are in compliance with 19.15.17 NMAC.

!

httpsJ<VAwapps.emrrdst2te.nm.ifi/OCD/OCDPermitting/Report/C1O4A/C1O4ARepcrt.3spx?p0TnitlD= 151,124,152.44.140,83,167,197 1/3

2/24/2015

As the operator of record of wells in New Mexico, MATADOR PRODUCTION COMPANY agrees to the following statements:

1.1am responsible for ensuring that the wells and related facilities comply with applicable statutes and rules, and am responsible for all

regulatory filings with the OCD. lam responsible forknowing all applicable statutes and rules, not just the rules referenced in this list. I understand that the OCD's rules are available on the OCD website under “Rules," and that the Water Quality Control Commission rules are available on the OCD website on the “Publications" page.

2. I understand that if I acquire wells from another operator, the OCD must approve the operator change before I begin operating those

wells. See 19.15.9.9.B NMAC. I understand that if I acquire wells or facilities subject to a compliance order addressing inactive wells or environmental cleanup, before the OCD will approve the operator change it may require me to enter into an enforceable agreement to

return those wells to compliance. See 19.15.9.9.C(2) NMAC.

3. I must file a monthly C-115 report showing production for each non-plugged well completion for which the OCD has approved an

allowable and authorization to transport, and injection for each injection well. See 19.15.7.24 NMAC. (understand that the OCD may

cancel my authority to transport from or inject into all the wells! operate if l fail to file C-115 reports. See 19.15.7.24.C NMAC.

4. I understand that New Mexico requires wells that have been inactive for certain lime periods to be plugged or placed on approved

temporary abandonment See 19.15.25.8 NMAC. I understand the requirements for plugging and approved temporary abandonment in19.15.25 NMAC. I understand that! can check my compliance with Ihe basic requirements of19.15.25.8 NMAC by using the “Inactive

Well List” on OCD's website.

5. I must keep current with financial assurances forwei! plugging. I understand that New Mexico requires each state or fee well that has

been inactive for more than two years and has not been plugged and released to be covered by a single-well financial assurance,

even if the well is also covered by a blanket financial assurance and even if the well is on approved temporary abandonment status.

See 19.15.8.9.C NMAC. I understand that I can check my compliance with the single-well financial assurance requirement by using the

“Inactive Well Additional Financial Assurance Report" on the OCD's website.

6. I am responsible for reporting releases as defined by 19.15.29 NMAC. I understand the OCD will look to me as the operator of record to

take corrective action for releases at my wells and related facilities, including releases that occurred before I became operator of

record.

7. t have read 19.15.5.9 NMAC, commonly known as ‘Part 5.9," and understand that to be in compliance with its requirements I must have

the appropriate financial assurances in place, comply with orders requiring corrective action, pay penalties assessed by the courts or

agreed to by me in a settlement agreement, and not have too many wells out of compliance with the inactive well rule (19.15.25.8

NMAC). If I am in violation of Part 5.9.1 mav not be allowed to drill, acquire or produce any additional wells, and will not be able to

cblain any new injection permits. See 19.15.16.19 NMAC. 19.15.26.8 NMAC. 19.15.9.9 NMAC and 19.15.14.10 NMAC. If I am in

violation of Pari 5.9 the OCD mav, after notice and hearing, revoke mv existing injection permits. See 19.15.26.8 NMAC.

8. For injection wells, I understand that I must report injection on my monthly C-115 report and must operate my wells in compliance with

19.15.26 NMAC and the terms of my injection permit, (understand that I must conduct mechanical integrity tests on my injection wells at

least once every five years. See 19.15.26.11 NMAC. I understand that when there is a continuous one-year period of non-injection into

ail wells in an injection or storage project or into a saltwater disposal well or special purpose injection well, authority for that injection

automatically terminates. See 19.15.26.12 NMAC. I understand that if I transfer operation of an injection well to another operator, the

OCD must approve the transfer of authority to inject, and the OCD may require me to demonstrate the well's mechanical integrity prior

to approving that transfer. See 19.15.26.15 NMAC.

9. I am responsible for providing the OCD with my current address of record and emergency contact information, and I am responsible for

updating that information when it changes. See 19.15.9.8.C NMAC. I understand that I can update that information on the OCD's

website under “Electronic Permitting.”

10. If I transfer well operations to another operator, the OCD must approve the change before the new operator can begin operations. See 19.15.9.9.B NMAC. I remain responsible for the wells and related facilities and all related regulatory filings until the OCD approves the

operator change. I understand that the transfer will not relieve me of responsibility or liability for any act or omission which occurred while loperated the wells and related facilities.

C-145

https-y/,ww,vaFps.emnrd.state.nm.us/OCD/OCDPermitting'Repcrt/C104A'C104ARepcf1.aspx?PermittD= 151,124.152,44.140.83,167.197 2/3

2/24/2015 C-145

Previous Operator

Signature:

New Operator

Tit!#:

Data:

Printed Name: Arelen Rowland

Vice President

Signature:

Printed Name:

Tile:

Matthew V. Hairford

President

3/3/15 Phone: 5 7 5~6 2 3-6 601 Date: 3/2/15 Phone; 972-371-5200

Permit 198879

NMOCD ApprovalElectronic Signature: Randv Dade. District 2

Date: March 12. 2015

* n tnn rm-

District)13C5 N. F.-i-ch Cl.. Metis. NM ~12&Fre.’.t:{!71) 3(3-313! rix:(J7J) 2iK’

District II

911 S. Frst St. Ar«» ».N\1SS2ia IPrortCTf) 743-i:33 Fax;(J7S)74^-67;IDistrict IIIi:-;0 F.io =rsz:» =d„ A-tt. NV 37413P.-»fi«:(!CEj 324-3173 Fj;c(S:5) 32-H1

District IV1i:OS.Sl=r»re*Er, Ssr.-j Ft. flM 37!

r.-sr«:('Cf i 474-24TC Fjt(*C!) 47?-24(

State of New Mexico Energy, Minerals and Natural Resources

Oil Conservation Division 1220S. St Francis Dr.Santa Fe, NM 87505

Carr/reru

F&rrr.t U537&

CHANGEOP COMMENTSCcerjxr. CC-=.C:

HARVEY E YATES CO 10179FO 50X 193-3ROSWELL, NM 53202 155379

F«rrr.: T/ct:

ChanqeOo

Comments

Ccrfrsr; Camrrart SitsDirk Will ce effectivr on March 1, 2015 1/27,2015

Submit 3 Copies To Appropriate DJrta^g QGDStatC of New MexicoDistrict I n! ^ ^ Energy, Minerals and Natural Resources

1625 N. French Dr,. Hobbs, NM8S240 OftlS

1301 W. Grand Ave.. Artssia. NM SS2^^ ' OIL CONSBRVA 1 ION DIVISION

Dl^^sl !|i /r-l»320 South St. Francis Dr.1000l{nnmrosRd..Azicc.NM874l^cpP\\/r:lX ^Diyjitfttv RfcU*-»v u Santa Fe, NM 875051220 S. St. Francis Dr.. Santa he, NM

87505

Form C-103Mav 27. 2004

WELL API NO.30-025-41678

5. Indicate Type of LeaseSTATE fxl FEE fl

6. State Oil Sc Gas Lease No.

SUNDRY NOTICES AND REPORTS ON WELLS(DO NOT USE THIS FORM FOR PROPOSALS TO DRILL OR TO DEEPEN OR PLUG BACK. TO A

DIFFERENT RESERVOIR. USE’APPLICATION FOR PERMIT’(FORM C-101) FOR SUCH

PROPOSALS.)

1. Type of Well: Oil Well 0 Gas Well □Other

7. Lease Name or Unit Agreement Name

Airstrip 31 State Com

8. Well Number

2. Name of OperatorMatador Production Company

9. OGKIDNumber228937

3. Address of Operator PO BOX 1936

ROSWELL NM 88202-1936 575/623-6601

I0. Pool name or Wildcat

Airstrip; Bone Springs

4. Wei! Location

Unit Letter M ; 150 feet from the SOUTH line and 330 feet from the Was! line

Section 31 Township 18S Range 35E NMPM County Lea

wmmsmim ... ....................wsmmmsI'if nr Hclou'-rritdit Tank Annticniiun 1 1 nr dnciirc t j

ante from nciirest surface writer

iislruciioit Material

Pit tvnc Dcnlti to Groundwater Distunes from nearest fresh water wet! 13b

Pit 1 .incr Thickness mil tlcloH'-GrudcTmik: Volume bbU; C<

12. Check Appropriate Box to Indicate Nature of Notice, Report or Other Data

NOTICE OF INTENTION TO: SUBSEQUENT REPORT OF:PERFORM REMEDIAL WORK □ PLUG AND ABANDON □ REMEDIAL WORK □ ALTERING CASING □TEMPORARILY ABANDON □ CHANGE PLANS □ COMMENCE DRILLING OPNS.Q PANDA □PULL OR ALTER CASING □ MULTIPLE COMPL □ CASING/CEMENT JOB □

OTHER: Well Name Change a OTHER: □13. Describe proposed or completed operations. (Clearly state ail pertinent details, and give pertinent dates, including estimated date

of starting any proposed work). SEE RULE 1103. For Multiple Completions: Attach wellbore diagram of proposed completion

or rccomplclion.

E-PERMITTING INT to PA.

[ hereby certify that t^rtfTTTrbrmation above is true and complete to the best of my knowledge and belief. ! further certify th:ii any pit or below-- ^rnde lank has bccn/wifl he ciAsEriicted nr dused nccortJin£jy NMOCD guidelines Q, it general permit Q or an (attached) alternative OCD-npprovcd plan Q. ’

SIGNATURE

Type or print name

For State Use Only

APPROVED DY;Conditions of Approval (tfatfy):

TITLE PRODUCTION ANALYST DATE 5/12/2015

E-mail address: ^©matacionesourcesxoin Telephone No. 575.623.6601

i /

DATE ^

J~ttitle Petroleum Engineer

MAY 2 1 2011'

suhnj. 3 Copies TnApp^riagg^, qCQ State of New Mexico FormC-103

District i nvw Energy, Minerals and Natural Resources _M.iy 27,2004

1625 N. French Dr., Hobbs. NM 83240

1301 W. Grand Avc.. Artcsil^hl! OIL CONSERVATION DIVISION

Phtrici in __ 1220 South St. Francis DrIOOORioDra«sRd.,A2tcti4tfM.SWEI\/PD „ ^District IV RfcCfcl * DU Santa NM g7505

1220 S. Si. Francis Qr„ Santa Fc.NM87505

WELL API NO.30-025-41678

5. Indicate Type of LeaseSTATE [7] FEE fl

6. State Oil & Gas Lease No.

SUNDRY NOTICES AND REPORTS ON WELLS(DO NOT USE THIS FORM FOR PROPOSALS TO DRILL OR TO DEEPEN OR PLUG PACK TO A DIFFERENT RESERVOIR. USE “APPLICATION FOR PERMIT* (FORM C-101) FOR SUCH PROPOSALS.)1. Type of Well: Oil Well QD Gas Well □ Other

7. Lease Name or Unit Agreement Name

Airstrip 31 18 35 RN State Com

S. Well Number #20lH

2. Name of OperatorMatador Production Company

9. OGRJD Number228937

3. Address of Operator po BOX 1936

ROSWELL NM 83202-1336 575/623-6601

10. Pool name or Wildcat

Airstrip; Bone Springs

4. Well Location

Unit Letter hi • 150' feet from the SOUTH line and 330 feet from the West line

Section 31 Township 18S Range 35E NMPM County Lea

mpNMMm 1 ] ■Eievati0" ̂ ^ *** “*)

3953'Pit or ndc>w*»»rml« Tank AtmticHlion 1 1 or Closure j J

rince from nearest surface water

nslruction Material

Pit tvne Death In Groundwater Distance from nearest fresh water well Di.s

Pit Liner Thickness: mil llclow-C.radeTanlt: Volume hbls: Cc

12. Check Appropriate Box to indicate Nature of Notice, Report or Other Data

NOTICE OF INTENTION TO: PERFORM REMEDIAL WORK □ PLUG AND ABANDON Q

TEMPORARILY ABANDON □ CHANGE PLANS 0

PULL OR ALTER CASING □ MULTIPLE COMPL Q

SUBSEQUENT REPORT OF:

REMEDIAL WORK □ ALTERING CASING □

COMMENCE DRILLING OPNS.D PANDA Q

CASING/CEMENT JOB □

OTHER: Change of formation OTHER: □

13. Describe proposed or completed operations. (Clearly stale all pertinent details, and give pertinent dates, including estimated date

of starting any proposed work). SEE RULE II03. For Multiple Completions: Attach wellbore diagram of proposed completion

or recompletion.

Note: change of formation being Airstrip; Wollcamp (970) Sec attached C-102.

OF£B. OG^D

p^OP£RTV

POOL COOS.—

date —

am-

I hereby certify that tkSTiTformation above is true and complete to the best of my knowledge and belief. I further certify that any pit or bclow-

grade lanh has beeii/wift he dxytriicteU or closed according to NMOCD guiiiclittcs O, a general permit 0 or an (attached) alternative OCD-npprovcd plnu Q.

SIGNATUI

Type ov print name

For State Use Only

APPROVED BY:__________Conditions of Approval (iPar#):

TITLE PRODUCTION ANALYST DATE 5/12/2015

E-mail address: [email protected] Telephone No. 575.623.6601

Petroleum EngineerTITLE DATE ’'Z'i

HAY 2 1 201

\

iI

i

District I

1613 N. French Dr., HobPs.NM SS240

niiirictn1301 W. Grand Avenue, Anesi.i, NM 8S210

District 1111000 Rio Brazos Kd., Aztec. NM 87410

District IV

1210 S. Si. Francis Dr., S^nlx lrc, NM 87505

Stale of New MexicoEnergy, Minerals &. Natural Resources Department

OIL CONSERVATION DIVISION

1220 South St. Francis Dr.

Santa Fe, NM 87505

Form C-102

Revised October 12, 2005

Submit to Appropriate District Office

Stale Lease-4 Copies

Fee Lease -3 Copies

0 AMENDED REPORT

WELL LOCATION AND ACREAGE DEDICATION PLAT'Ai’I Number

313-025-11678

* Poul Cod«f J Pool Njm*

970 • Ainirip; Wolfcamp

* Properly Code

314251

s Properly Name

Airstrip 31 IS 35 RN Stale Com

‘Well Number

20111

'OCRIDNa.

22S937

’ Operator Name

Matador Production Company

’ Kievatton

3953'

,u Surface LocationUl. or lot no.

M

Section

3t

Township

18S

ft ,inge

3SE

1.01 Idtl Feet front the

ISO’

Nortli/Suulh line

South

Feet from the

330'

Easl/West line

West

County

l.ca

11 Bottom Ho e Location I f Different From SurfaceUL or lot nu.

D

Section

31

Township

ISS

Kjnge

35 y.

Lot Idrt Feet from the

330’

North/South line

Norlh

F«t from the

710’

EislAVcstline

Weal

County

Lett

'• Dedicated Acres

160

IJ Joint or infill iJ CfliunliiUlmn Coik 15 Order No.

No allowable will be assigned to tiiis completion until all interests have been consolidated or a non-standard unit has been approved by the

division.

i

i

" OPERATOR CERTIFICATION

3:

®

Ian

$

TE-50I4-/6

111ft*n j

1€

ItuvrtycalijyiUvihcinjieiHViin cu-Aindherein n rtrr ad ca-ni^tt

/«;/«• U'ilo/ny h**i t,4df<d tuiliv'kj. iVrllli’J eni.ir

uvTUir mviwig interest i* ujiL'a^rl mineral interest in rfv kuxhieftiLix

llc/ieiyei’e,!imitm Iwjir irr ln\a rr^Li tnJrtll Jesnellnt t/iii

kctuimtpurzKM :aa-.\rnmri \,uhto<c*ittr uf uthn miner,t! e* *n'\iug

iu/iv.J. tsi*-rr~m^Vsyjnjjif’rtg'renici t ty cl run//iiZw37*«;fty unfcr

hircIr/eesenUirJIbyttK Jmcuol -j fj ,

I$

i'ti nA

^55 1 Q

eh

IP

Signature ---------' Dare VI2/I3

1 1Piinled Name: Timmy K. l.inV

i

X:\11 1

1

i

f{

*>»

&w.

11

k

I19

$

1

i

‘"SURVEYOR CERTIFICATIONI hereby certify that the we!! Incclion .Oiown on this pint

was plottedfrom field notes of actual simeys made by

me or under my supervision, and that the same is live

and correct to the best of my belief.

?,i 1 1A

'<Tft

Airstrip 31 18 35 RN

State Com 201H

LhiteofSurvey

Signstnieand Sat uflhufniicral Sm-cyci:

SR

•2g§5

W

^G-7317-l

&

>£|%

iV41

rj Certificate Number

?;AV 2 1 ?Qlfi


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