BEFORE THE OFFICE OF THE STATE ENGINEER STATE OF COLORADO IN THE MATTER OF PRODUCED NONTRIBUTARY ) GROUND WATER RULES AND REGULATIONS OF ) 2CCR402-17 THE OFFICE OF STATE ENGINEER OF THE ) STATE OF COLORADO ) REBUTTAL STATEMENT Pursuant to the Office of the State Engineer Notice of Proposed Rulemaking entered on August 31, 2009, and the Third Prehearing Order, issued October 21, 2009, the Colorado Petroleum Association ( CPA ) and Colorado Oil and Gas Association ( COGA ) by and through their undersigned counsel, jointly submit the following Rebuttal Statement for consideration. COGA and CPA join in and support the Responsive Prehearing Statements of Wellington Water Works. In particular, COGA and CPA support the arguments and authorities set forth in the aforementioned Responsive Prehearing Statements. a. That the State Engineer has the clear legal authority to promulgate the Rules, including alternative rules proposed by operators b. That the Rules and this Rulemaking provide due process; c. That a determination by the State Engineer that a formation or field is nontributary under these rules is binding; and d. That any appeal of these Rules is under the State Administrative Procedure Act COGA and CPA also join and support the Rebuttal Statement submitted by the Proponents of the Proposed Alternate Rule for San Juan Basin -- Fruitland Formation to the Joint Prehearing Statement submitted by the Colorado Environmental Coalition and Senior Water Users. Respectfully submitted, this 25th day of November, 2009. By: /s/ John Paul Seman Jr. John Paul Seman, Jr. # 18137 1660 Lincoln Street, Suite 1460 Denver, CO. 80264 Phone: 720-377-0704 Email: jseman@jps-law.net Attorney for Colorado Petroleum Association 002287
By: /s/ Andrew Bremner Ken Wonstolen #11090 Andrew Bremner #30590 Beatty & Wozniak, P.C. 216 16th Street, Suite 1100 303-407-4499 kwonstolen@bwenergylaw.com Attorneys for Colorado Oil & Gas Association 2 002288
CERTIFICATE OF SERVICE I, hereby certify that on the 25th day of November, 2009, that three true and correct copies of the above and foregoing Rebuttal Statement were delivered to: Office of the State Engineer Produced Water Rulemaking 1313 Sherman Street, 8 th Floor Denver, CO. 80203 With an electronic copy sent to: laura.kalafus@state.co.us and casey.shpall@state.co.us I further certify that a copy of the foregoing Rebuttal Statement was electronically delivered to the following: Matthew Bruff Altela, Inc. 5350 S Roslyn St., Suite 430 Englewood, CO 80111 matthew.bruff@altelainc.com Kent Holsinger Laura L. Chartrand Holsinger Law, LLC 104 Broadway, 3rd Floor kholsinger@holsingerlaw.com, lchartrand@holsingerlaw.com Attorneys for Bill Barrett Corporation; Julander Energy Co.; and Questar Market Resources, Inc. Zach C. Miller Steven E. Marlin Davis Graham & Stubbs LLP 1550 Seventeenth St., Suite 500 zach.miller@dgslaw.com; steven.marlin@dgslaw.com Attorneys for Anadarko Petroleum Company; BP America Production Company; EnCana Oil & Gas (U.S.A.) Inc.; McElvain Oil & Gas Properties, Inc.; Rosetta Resources Operating LP; and Rosewood Resources Inc. Timothy R. Buchanan Buchanan and Sperling, P.C. 7703 Ralston Road Arvada, CO 80002 trb@tbvs.net, vsperling@tbvs.net Attorneys for Centennial Water and Sanitation District; City of Boulder; Natural Soda, Inc.; North Sterling Irrigation District and Pawnee Well Users, Inc. Mark A. Hermundstad Kirsten M. Kurath Williams, Turner & Holmes, P.C. P.O. Box 338 200 N 6th St. Grand Junction, CO 81502-0338 mherm@wth-law.com, kmkurath@wth-law.com Attorneys for Chevron U.S.A. Inc.; Chevron Midcontinent, L.P.; and Four Star Oil & Gas Company Jeffrey J. Kahn Lyons, Gaddis, Kahn & Hall P.O. Box 978 Longmont, CO 80502 jkahn@lgkhlaw.com Attorneys for City of Trinidad Brian Nazarenus Kristen E. Cunningham Ryley Carolock & Applewhite 1999 Broadway, Suite 1800 bnazarenus@rcalaw.com; kecunningham@rcalaw.com Attorneys for Climax Molybdenum Company; Clear Creek County, CO and Grand County, CO Becky Long Colorado Environmental Coalition 1536 Wynkoop St., #5C becky@cecenviro.org 3 002289
John Paul Semen, Jr. 1660 Lincoln St., Suite 1460 Denver, CO 80264 jseman@jps-law.net Attorney for Colorado Petroleum Association Jason Turner Colorado River Water Conservation District 201 Centennial St., Suite 200 P.O. Box 1120 Glenwood Springs, CO 81601 jturner@crwcd.org Patricia M. DeChristopher Moses, Wittemyer, Harrison & Woodruff, P.C. 1002 Walnut St., Suite 300 P.O. Box 1440 Boulder, CO 80306 pdechristopher@mwhw.com Attorneys for Conejos Water Conservancy District; South Adams County Water and Sanitation District; and the Town of Aguilar, CO Gregg Wurtz ConocoPhillips Company 3401 E 30th St. Farmington, NM 87401 gregg.g.wurtz@conocophillips.com Steven J. Bushong Porzak, Browning & Bushong, LLP 929 Pearl St., Suite 300 sjbushong@pbblaw.com Attorneys for Conquest Disposal Services; Produced Water Development LLC; and Wellington Water Works, LLC Michael D. Shimmin Vranesh and Raisch, LLP P.O. Box 871 1720 14th St., Suite 200 Boulder, CO 80306 mds@vrlaw.com Attorneys for Cripple Creek & Victor Gold Mining Company; Cucharas Sanitation & Water District; and GW Management Districts, Northern High Plains Designated Ground Water Basin Mary B. Rastall Denver Water Legal Division Denver Water 1600 W 12th Ave. Denver, CO 80204 mary.rastall@denverwater.org David C. Peterson Diamond Operating Inc. 6680 Gunpark Drive, Suite 100 Boulder, CO 80301 davep@flatironenergy.com Christopher L. Thorne Holland & Hart LLP P.O. Box 8749 Denver, CO 80201-8749 cthorne@hollandhart.com Attorneys for El Paso E&P Company, L.P.; Pioneer Natural Resources USA, Inc.; and XTO Energy Inc. Daniel J. Schnee Colorado Interstate Gas Company El Paso E&P Company, L.P. 2 N Nevada Colorado Springs, CO 80903 daniel.schnee@elpaso.com Kristin Howse Moseley Glenn E Porzak Porzak Browning and Bushong, LLP 929 Pearl St., Suite 300 kmoseley@pbblaw.com Attorneys for Exxon Mobil Corporation/ExxonMobil Oil Corporation Wayne F. Forman Bret A. Fox Brownstein, Hyatt, Farber, Schreck, LLP 410 17th St., Suite 2200 wforman@bhfs.com bfox@bhfs.com Attorneys for Gunnison Energy Corporation Lila Harvey Brian Macke Delta Petroleum Corporation 370 17th St., Suite 4300 lharvey@deltapetro.com, bmacke@deltapetro.com 4 002290
Sarah Klahn White & Jankowski, LLP 511 16th St., Suite 500 sarahk@white-jankowski.com Attorneys for Hill Ranch, Ltd.; Kozad Properties, Ltd.; GLENHILLS Ranch, Ltd.; Senior Water Right Owners (Alan Bielski, Ben and Melanie Bounds, Corsentino Dairy Farms, Inc., James and Mary Fitzgerald, City of Raton, City of Sterling, Alan and Janice Tucker, William and Elizabeth Vance) Colorado and New Mexico William H. Caile Holland & Hart LLP P.O. Box 8749 Denver, CO 80201-8749 whcaile@hollandhart.com Attorneys for K.P. Kauffman Company, Inc.; and Williams Production RMT Company/Williams Production Company, LLC Bruce Bolduc Linde LLC 575 Mountain Ave. Murray Hill, NJ 07974 bruce.bolduc@linde.com Robert G. Leo, Senior Counsel Noble Energy, Inc. 1625 Broadway, Suite 2200 rleo@nobleenergyinc.com Tracy Dahl North Fork Landowner's Association 14218 Switchback Road Weston, CO 81091 polarsolar@hughes.net Scott M. Campbell Nick A. Swartzendruber Poulson, Odell & Peterson, LLC 1775 Sherman St., Suite 1400 scampbell@popllc.com, nswartzendruber@popllc.com Attorneys for OXY USA and Chevron U.S.A. Inc. Randall Ferguson Petroleum Development Corporation 1775 Sherman St., Suite 3000 rferguson@petd.com Julianne M. Woldridge MacDougall, Woldridge & Worley, P.C. 530 Communication Circle, Suite 204 Colorado Springs, CO 80905 jwoldridge@waterlaw.tv Attorneys for Purgatoire River Water Conservancy District James J. Killean Ireland, Stapleton, Prior & Pascoe, PC 1675 Broadway, Suite 2600 jkillean@irelandstapleton.com Attorneys for Red River Ranch Holdings, LLC Charles Holum 4633 Montview Blvd. Denver, CO 80207 chollum@msn.com Attorney for Rocky Mountain Farmers Union Norman Ewart Rosetta Resources Operating LP 717 Texas Ave., Suite 2800 Houston, TX 77002 norman.ewart@rosettaresources.com Kirby Hughes Sierra Club Sierra Club Rocky Mountain Chapter 2725 Black Canyon Road Colorado Springs, CO 80904 kirby.hughes@rmc.sierraclub.org Adam T. Reeves Maynes, Bradford, Shipps & Sheftel, LLP 835 E Second Ave., Suite 123 Durango, CO 81301 areeves@mbssllp.com Attorneys for the Southern Ute Indian Tribe M. Catherine Condon McElroy, Meyer, Walker & Condon, P.C. 1007 Pearl St., Suite 220 ccondon@mmwclaw.com Attorneys for Southern Ute Indian Tribe 5 002291