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Board approves Keyrock Energy’s Unit No. 6, asks staff to correct mapping exhibits

Virginia Gas and Oil Board · October 23, 2024
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Summary

The board granted Keyrock Energy LLC’s petition to create Unit No. 6 in the North Colby Gas Field, subject to staff verifying a plugged well on the exhibits and submitting corrected maps and a revised post‑unit filing.

The Virginia Gas and Oil Board approved a petition from Keyrock Energy LLC to establish Unit No. 6 in the North Colby Gas Field, but required staff to verify and correct mapping exhibits before the order is finalized.

Freddie Mullins, representing Keyrock, introduced witnesses Morgan Pate and Aaron Davis and affirmed the company’s leases for the proposed unit. Morgan Pate testified the unit covers "approximately 302 acres," proposed drilling depth is 1,140 feet and the company is seeking to pull 100% of the listed parties and to be named operator. When asked about reserves and costs, Pate said reserves were "approximately a thousand" and identified an estimated dry‑hole cost near $255,000.

Board members flagged an exhibit that did not show an already plugged well (BC531355). The applicant agreed to correct the exhibits and the board asked staff to verify the plug status in agency records. "We will check those and verify all the statuses," the applicant said; staff confirmed they would file a revised Exhibit C and the revised post‑unit paperwork after verification.

After the corrections were requested and staff committed to verifying the well status, the board took a vote and approved the petition subject to the exhibits and post‑unit revisions.

The board’s approval names Keyrock as operator for the unit and instructs staff to submit corrected exhibits and the revised order for the administrative record.