OIL AND GASAND

GARFIELD COUNTY

Presented To –Northwest Colorado Oil & Gas Forum

February 9, 2004

Presented By -Doug Dennison, Oil & Gas Auditor

2February 9, 2004

Outline

• Oil & Gas Industry in Garfield County

• 2003 Complaint Summary

• Initiatives

• Questions

3February 9, 2004

Oil & Gas Industry in Garfield County

• Most drilling activity in Colorado– As of 01/30/04, 26 out of 53 drilling rigs operating

in Colorado were in Garfield CountyDRILLING RIGS RUNNING IN COLORADO BY COUNTY EACH WEEK IN 2004

(Based on Data in PI/Dw ights Drilling Wire - Rocky M ountain Region Rotary Report - Section III - see IHS Energy)

2 2 1 1 41 2 2 1

11 1 1 124 4 4 4

33 4 4 55

15141412

12

21

272827

26

5351

5454

47

0

10

20

30

40

50

60

70

1/2

1/16

1/30

2/13

2/27

3/12

3/26 4/

9

4/23 5/

7

5/21 6/

4

6/18 7/

2

7/16

7/30

8/13

8/27

9/10

9/24

10/8

10/2

2

11/5

11/1

9

12/3

12/1

7

12/3

1WE

EK

LY

# O

F R

IGS

(Lab

els

on

bar

s in

dic

ate

# o

f ri

gs

by

cou

nty

)

TOTAL

GARFIELD

WELD

RIO BLANCO

LA PLATA

MOFFAT

YUMA

OTHER

4February 9, 2004

Oil & Gas Industry in Garfield County (cont.)

• APDs submitted– CY 2003 = 580– CY 2004 (as of 02/05/04) = 76– Projected for 2004 = >790

• Over 1,600 active wells

• Over 300 new natural gas wells drilled during 2003 with over 500 planned for 2004

5February 9, 2004

Oil & Gas Industry in Garfield County (cont.)

• Third highest natural-gas producing county– Production estimated at over 500 million

cubic feet (mmcf)/day – and growing

• Oil production is minimal– Approximately 900 barrels/day– Primarily a byproduct of gas production

6February 9, 2004

2003 Summary of Complaints

Complaints Received 4/1/03 – 12/31/03Category Number of Complaints

Odors/Air Quality 23

Traffic 19

Facility Location/Size 14

Dust/Roads 12

Private Property Damage 11

Water Concerns 10

Noise 10

Other 8

Leaks/Spills 7

Lights/Visual 5

Trash 4

7February 9, 2004

Initiatives

• Workshop for proposed members on 2/10/04 to discuss GarCo Energy Advisory Board

• Pursuing energy impact grant funds to establish air-quality monitoring program

• Assisting local emergency responders and industry in assessing HAZMAT capabilities and training needs

• Pursuing additional resources for educational opportunities for public

8February 9, 2004

For More Information

• Garfield County Oil & Gas Auditor– Doug Dennison

Phone 970-625-5691

Fax 970-625-0908

Cell 970-309-5441

ddennison@garfield-county.com

• County Website– www.garfield-county.com– Click on “Oil & Gas Liaison” under “County

Departments”