MDS Energy seeks approval for Castor 29 oil and gas development plan in Colorado

MDS Energy is making significant strides in Colorado's oil and gas sector, announcing a commitment of over a billion dollars in investor capital aimed at responsible energy development. During the Colorado Energy and Carbon Management Commission (ECMC) hearing on May 14, 2025, MDS Energy detailed its progress, including the construction of three well pads and the completion of four horizontal wells that have already produced 400,000 barrels of oil.

The highlight of the meeting was the request for approval of the Castor 29 Oil and Gas Development Plan (OGDP), which encompasses a 1,289.9-acre area and proposes the development of up to seven new horizontal wells. The proposed site is strategically located outside of high-density residential areas and is not situated in any disproportionately impacted communities, ensuring minimal disruption to local populations.

MDS Energy's representatives emphasized their commitment to environmental stewardship, noting that the Castor 29 site is in a remote area of the DJ Basin, far from human and wildlife receptors. The company has also engaged in extensive consultations with local and state agencies, receiving no public objections to their plans.

The timeline for the project is ambitious, with construction slated for October 2025 and drilling expected to commence in early 2026. MDS Energy has pledged to utilize advanced drilling technologies, including a Tier 4 rig, to minimize emissions and environmental impact. They also plan to implement best management practices to manage waste and reduce truck traffic during operations.

The ECMC's director has already recommended approval of the Castor 29 OGDP, citing compliance with all necessary regulations and a commitment to protecting public health and the environment. As MDS Energy moves forward, the approval of this project could mark a pivotal moment for responsible energy development in Colorado, balancing economic growth with environmental responsibility.