Parker, CO, and Castle Rock, CO, are moving to adopt oil & gas drilling regulations for the Niobrara Shale after the Colorado Oil and Gas Conservation Commission received two unit applications in Douglas County, CO. This is the first real sign of activity. We’ve known about mineral leasing in the area, but this is the first regulatory filing that show someone has leased minerals and plans to drill. It’s no guarantee, but it looks like Niobrara Shale activity is moving in.
This should serve as a good indicator that interest is increasing for minerals in this area. Be prudent in your negotiations as mineral leasing will likely increase throughout the county.
Interest in drilling oil from the Niobrara oil formation that reaches under Douglas County prompted local government agencies to begin the process of drafting regulations for oil industry operations.
Parker is the first among Douglas County agencies to adopt regulations for oil and gas drilling. Parker Town Council on July 18 approved on second reading its new use by special review requirements for oil and gas operations in town limits.
The regulations were drafted in response to inquiries in mid-March from oil and gas operators to lease town property on the Norton Farms open space parcel north of Cottonwood for the possible drilling of oil and gas, said Elise Penington, Parker community affairs director.
Douglas County in early June received its first inquiry for drilling operations in unincorporated Douglas County on a parcel of land south of Wolfensberger Road and just west of the Castle Rock town boundary. Castle Rock reported an inquiry for drilling operations on the Hazen/Moore property on Front Street, south of Blackfeather and the Metzler Park area, said Bill Detweiler, Castle Rock director of development services.
Read the full news release at ourcoloradonews.com