Ursa fined due to well location change at Battlement Mesa
March 27, 2018
The Colorado Oil and Gas Conservation Commission approved a fine of $29,600 for Ursa Resources at its monthly meeting in Denver last week. Ursa Vice President of Business Development Don Simpson explained the situation arose from an error related to the company's use of directional drilling.
The fine was issued for a well near the Battlement Mesa community in western Garfield County.
Simpson said Ursa chose the site after moving the well farther away from Grand Valley Middle School.
He added that moving the well farther away made directional drilling more challenging, which resulted in the error.
The $29,600 penalty was for a 38-day violation of Ursa's authorized permit to drill related to well spacing. The fine came out to just under $779 a day.
Simpson added that officials with the company have had discussions with COGCC officials who understood that the error was related to a beneficial move for the schools.
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He said the company has put checks and balances in place to avoid similar errors from happening again.