Papers - - Production - Domestic - Oil and Gas Development in Colorado in 1935

There were 110 important discoveries of either oil or gas in Co1orado in 1935. There was, however, further development of the Price structure in southern Colorado and developments since the first of the year indicate. that an important oil field may be in the making. The discovery of oil in Price structure was made by the Oil City Petroleum Co. late ill Novem-ber, 1934, in its No. 2 Garnett in the northeast corner of lot 3 in the SW.¼ of sec. 25-33N.-2E. This well developed a good showing of oil in Dakota sand at 970 ft. The hole filled up 15 ft. with 40° gravity oil overnight and after standing for several days the oil level was 400 ft. higher. As a result of the discovery of oil by the No. 2 Garnett, three wells were drilled by the William E. Hughes Estate. Two of these wells had good showings of oil and may make good producers but it is doubtful whether they will produce the estimated capacity of 500 bbl. each with which they have been credited. Although the Hughes Estate wells have been completed for some time, they have not been given thorough production tests because of the isolated position of the field and lack of proper facilities. The. first well drilled by the Hughes Estate was located on the west side of the Navajo River on the downthrow side of a fault. It encoun-tered water ill the Dakota sand at 1285 ft, and was abandoned in green shales of the Morrison at 1405 ft. Well cuttings from the Dakota sand showed some evidence of once containing oil, so a 1ocation was selected for No. 2 Fee on the east side of the river and on the upthrow side of the fault. Oil was discovered in Dakota sands ill 1935 by Continental Oil Co. in its No. 3 Hoye, NW.NW.NE. of sec. 34-9N.-78W., on the South McCallum anticline in North Park, Jackson County, Colo., but on account of heavy flows of carbon dioxide gas under high pressure it has been impossible for the company to get an accurate gage of the oil production. The freezing action of expanding carbon dioxide makes the producing of the oil difficult and costly.