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BEFORE THE BOARD OF OIL, GAS AND MINING DEPARTMENT OF NATURAL RESOURCES STATE OF UTAH In the matter of the Request for Agency Action of OVINTIV PRODUCTION INC. for an order partially vacating the Board’s orders entered in Cause Nos. 139-8, 139-42 and 139-90 and modifying the Board’s order entered in Cause No. 139-160 to re-orient and to establish lay-down (horizontal) and stand-up (vertical) 1,280-acre (or Docket No. 2021-014 substantially equivalent drilling units for the Cause No. 130-07 production of oil, gas and associated hydrocarbons from the Lower Green River- Wasatch Formations comprised of sections 5 and 6, 7 and 8, and 18 and 19, respectively, of Township 4 South, Range 3 West, USM, and Sections 1 and 2, 11 and 12, and 13 and 24, respectively, of Township 4 South, Range 4 West, USM, Duchesne County, Utah. INDEX OF PLEADINGS NO. PARTY DATE DESCRIPTION 1. Ovintiv Production Inc. 06/10/2021 Request for Agency Action 2. Ovintiv Production Inc. 06/14/2021 Certificate of Service 3. Ovintiv Production Inc. 06/15/2021 Supplemental Certificate of Service Second Supplemental Certificate of 4. Ovintiv Production Inc. 06/21/2021 Service 5. Ovintiv Production Inc. 06/21/2021 Third Supplemental Certificate of Service Page 1 of 2 NO. PARTY DATE DESCRIPTION Fourth Supplemental Certificate of 6. Ovintiv Production Inc. 07/02/2021 Service [Proposed] Findings of Fact, Conclusions 7. Ovintiv Production Inc. 08/10/2021 of Law and Order Page 2 of 2 F I L E D JUNE 10 2021 SECRETARY, BOARD OF OIL, GAS & MINING BEFORE THE BOARD OF OIL, GAS AND MINING DEPARTMENT OF NATURAL RESOURCES STATE OF UTAH IN THE MATTER OF THE REQUEST FOR AGENCY ACTION OF OVINTIV PRODUCTION INC. FOR AN ORDER PARTIALLY VACATING THE BOARD’S ORDERS ENTERED IN CAUSE NOS. 139-8, 139-42 REQUEST FOR AGENCY ACTION AND 139-90 AND MODIFYING THE BOARD’S ORDER ENTERED IN CAUSE NO. 139-160 TO RE- Docket No. 2021-014 ORIENT AND TO ESTABLISH LAY-DOWN (HORIZONTAL) AND STAND-UP (VERTICAL) Cause No. 130-07 1,280-ACRE (OR SUBSTANTIALLY EQUIVALENT DRILLING UNITS FOR THE PRODUCTION OF OIL, GAS AND ASSOCIATED HYDROCARBONS FROM THE LOWER GREEN RIVER-WASATCH FORMATIONS COMPRISED OF SECTIONS 5 AND 6, 7 AND 8, AND 18 AND 19, RESPECTIVELY, OF TOWNSHIP 4 SOUTH, RANGE 3 WEST, USM, AND SECTIONS 1 AND 2, 11 AND 12, AND 13 AND 24, RESPECTIVELY, OF TOWNSHIP 4 SOUTH, RANGE 4 WEST, USM, DUCHESNE COUNTY, UTAH COMES NOW, Ovintiv Production Inc. (“Ovintiv”), acting by and through its attorneys Lear & Lear, PLLC, and pursuant to Utah Code Ann. §§40-6-5(3)(b) and 40-6-6, and hereby respectfully requests the Board of Oil, Gas and Mining (the “Board”) enter an order: (1) partially vacating the Board’s Orders entered on September 20, 1972 in Cause No. 139-8 (the “139-8 Order”), entered on April 17, 1985 in Cause No. 139-42 (the “139-42 Order”), and on May 9, 2012 in Cause No. 139-90 (the “139-90 Order”) insofar as they pertain to Sections 1 and 2 of Township 4 South, Range 4 West, USM; (2) modifying the Board’s Order entered on February 26, 2019 in Cause No. 139-160 (the “139-160 Order”) insofar as it pertains to Sections 5 through 8 inclusive {00093245.2} of Township 4 South, Range 3 West, USM, to re-orient the drilling units established thereunder from stand-up to lay-down; and (3) to establish the following 1,280-acre (or substantially equivalent) drilling units for the production of oil, gas and associated hydrocarbons from the Lower Green River-Wasatch formations, defined for purposes of this cause as follows: the interval from the top of the Lower Green River formation (TGR3 marker) to the base of the Green River-Wasatch formations (top of Cretaceous), which base is defined as the stratigraphic equivalent of the Dual Induction Log depths of 16,720 feet in the Shell-Ute 1-18B5 well located in the S½NE¼ of Section 18, Township 2 South, Range 5 West, U.S.M., and 16,970 feet in the Shell-Brotherson 1-11B4 well located in the S½NE¼ of Section 11, Township 2 South, Range 4 West, U.S.M. (the “Subject Formations”): Lay-Down (Horizontal) Orientation: Township 4 South, Range 4 West, USM Sections 1 and 2 Sections 11 and 12 Stand-Up (Vertical) Orientation: Township 4 South, Range 3 West, USM Sections 18 and 19 Township 4 South, Range 4 West, USM Sections 13 and 24 (all lands described under (1) through (3) above collectively hereinafter the “Subject Lands”), with the following caveats: (a) up to 12 long lateral horizontal (over one mile in length) (“LLHZ”) wells may be drilled and produce on each such drilling unit so established, with no more than {00093245.2} Page 2 eight (8) such wells in any one producing interval within the Subject Formations (e.g., the “Uteland Butte” or “Upper Wasatch” intervals); (b) no producing interval of an authorized LLHZ well may be located closer than 330 feet to the north and south, and 560 feet to the east and west, boundaries of each stand-up drilling unit so established, and no closer than 330 feet to the east and west, and 560 feet to the north and south, boundaries of each lay-down drilling unit so established, and no closer than 330 feet laterally to another horizontal well within the same drilling unit, without obtaining an exception location approval in accordance with Utah Admin. Code Rule R649-3-3. With respect to stacked LLHZ wells within the drilling unit, there shall be no inter-well setback distance laterally required provided the stacked horizontal laterals are located at least 100 feet or greater apart in vertical distance; (c) the surface location of any authorized LLHZ well not only may be located anywhere on the drilling unit, but may also be located off the drilling unit so established presuming proper surface and sub-surface authorization for such a location has been obtained from the owners and the well will be cased and cemented to the 330-ft. setback as set forth in (b) above, both to be evidenced and satisfied by a self-certification to such effect executed by the Operator of said drilling unit and filed with the Utah Division of Oil, Gas and Mining (the “Division”), and the other setbacks for the laterals set forth in (b) above are maintained; (d) up to eight (8) vertical, directionally drilled or short lateral horizontal (less than one mile in length) (“SLHZ”) wells may also be drilled and produce on each drilling unit so established with no inter-well setbacks from other wells within the same drilling unit, but providing no vertical or directionally drilled well may have producing intervals closer than 660 feet from a drilling unit boundary, and providing any SLHZ well may not have producing intervals closer than 330 feet from the north and south boundaries, and 560 feet from the east and west boundaries, of the drilling unit if in a stand-up orientation, and no closer than 330 feet from the east and west boundaries, and 560 feet from the north and south boundaries, of the drilling unit if in lay-down orientation, without an exception location approval in accordance with Utah Admin. Code Rule R649-3-3; (e) the surface location of any authorized SLHZ well not only may be located anywhere on the drilling unit, but may also be located off the drilling unit so established presuming proper surface and sub-surface authorization for such a location has been obtained from the owners and the well will be cased and cemented to the 330-ft. setback as set forth in (d) above, both to be evidenced and satisfied by a self- certification to such effect executed by the Operator of said drilling unit and filed {00093245.2} Page 3 with the Division, and the other setbacks for the laterals set forth in (d) above are maintained; (f) all existing wells within the Subject Lands are deemed to be at legal locations notwithstanding the foregoing, providing that production allocation from each such well shall remain on a sectional or wellbore basis as applicable until the first day of the month following the date of first production from the first LLHZ well drilled on the 1,280-acre (or substantially equivalent) drilling unit inclusive of the lands upon which such existing well is located; (g) as to any other authorized vertical, directionally drilled, or SLHZ wells drilled and completed from the Subject Formations prior to an LLHZ well, directing production allocation from a vertical, directionally drilled or SLHZ well to be on a similar sectional or wellbore basis to remain in effect until the first day of the month following the date of first production from the first LLHZ well drilled on the requested 1280-acre (or substantially equivalent) drilling unit inclusive of said section at which time production allocation shall convert to the 1,280-acre drilling unit basis; and (h) the setbacks in (b) through (e) above to be effective immediately upon entry of the Board’s Order, but establishment of the requested 1280-acre (or substantially equivalent) drilling units to be effective only upon the first day of the month following first production from the first LLHZ well drilled thereon. In support of this Request, Ovintiv respectfully states and represents: 1. Ovintiv is a Texas corporation with its principal place of business as to Rocky Mountain operations in The Woodlands, Texas.

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