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Civitas seeks to remove a proposed residential-adjacent well, add wells at existing Reserve North pad; city staff recommend study-session review
Summary
Civitas (formerly Cresent/Civitas Resources) proposed revisions to exhibits in the Cresno/Civitas operator agreement that would cancel one previously approved well site near residences, reduce total sites, and add six wells at the existing Reserve North pad; Energy & Environment staff recommend moving the revisions to a study session on April 21.
City energy and environment staff and an asset manager from Civitas Resources presented proposed revisions to exhibits A and B of an existing operator agreement for oil and gas operations during the April 9 Planning and Economic Development Committee meeting. The proposed changes would remove one proposed site near residences, reduce the total number of wells, and add six wells to the existing Reserve North pad.
Jeffrey Moore, manager of the Energy and Environment Division, told the committee the requested revisions include canceling a previously approved well site that was "less than 2,000 feet from two residences and zoned residential R2," reducing the total number of wells and well sites in the city, and adding six wells at the already producing Reserve North site (increasing that pad from nine to 15 wells). "There are some benefits to the city," Moore said, including reduced impacts to residents by canceling the residential-proximate site, reduced surface and traffic impacts because the expanded Reserve North pad is close to I-70, and that the Reserve North pad is located in airport district zoning rather than residential.
Van (Mr.) Harrington, asset development manager with Civitas Resources, described the consolidation as a surface-use optimization: the company would forgo the Cottonwood Creek site (a not-yet-built pad south of Jewell Avenue) which is within about 1,400 feet of two residences and would have required traffic on Jewell Avenue. Instead the company proposes to add planned wells in a phase 3 to the existing Reserve North site north of I-70.
Moore emphasized that additional wells will still require separate city and state permitting and that the Energy and Environment Division has reviewed the request. He said the Oil and Gas Advisory Committee provided a letter of support that will be included in materials for council if the item moves forward. Moore recommended the committee forward the proposed exhibit revisions to the April 21 study session for further review; no formal committee vote occurred on April 9.
