The Draco Oil & Gas Development Plan (OGDP) hearing has been rescheduled for March 13th, 2025. Extraction Oil & Gas submitted an updated 127 page prehearing statement, which we’ve analyzed below.
TL;DR (Too Long, Didn’t Read)
“Extraction believes that AL 4 and AL 4.1 are objectively infeasible alternatives to the Draco Pad,” citing 200+ homes within 2,000 ft, difficulties with rezoning to heavy industrial, an inability to procure an oil & gas permit from the Town of Erie, and uncertainty in negotiating with the Town Council. They propose moving forward with the original Draco Pad location just north of the Crestone Hub northwest of CR6 and CR7 just outside of Erie, Colorado.
Alternative Locations 4/4.1 Are Unsuitable
In its November 15th decision, the ECMC commissioners directed Extraction to further evaluate Alternative Location 4 (AL4), just north of the Vista Ridge neighborhood in Erie.
- Proximity to the Neuhauser Landfill was a major concern in Extraction’s initial application materials, and continues to be so. The CDHPE submitted a “a Notice of Intent to Issue a Notice of Environmental Use Restriction” that prohibits “temporary or permanent improvements, earthwork, structures or appurtenances that increase the flow of storm water over, through or under the Restricted Property.” This essentially prohibits construction at the AL 4 location.
- In response, Extraction considered Alternative Location 4.1, moving the site 1,000 feet south, closer to the Vista Ridge neighborhood. AL 4.1 has 207 residential building units within 2,000 ft in the Vista Ridge neighborhood.
- Transportation routes for both AL 4 and AL 4.1 would result in greater traffic impacts compared to the originally proposed Draco Pad, especially along CR5, which is already heavily used by traffic to and from the Front Range Landfill.
- AL 4 is a suitable burrowing owl, non-eagle raptor nesting, and migratory bird habitat, given the presence of a robust prairie dog colony and other water features.
Heavy Industrial Use Rezoning is Uncertain and Unlikely
- AL 4 is within the municipal boundaries of the Town of Erie and thus subject to Erie Municipal Code, which requires heavy industrial zoning for oil and gas permit approval. No such heavy industrial zoned land currently exists in Erie, and the guidance for establishing such a zone is uncertain.
- Rezoning to heavy industrial is inconsistent with the Town’s comprehensive plan.
- Extraction does not own, and has no interest in acquiring the lands at AL 4, and thus does not have the authority to seek rezoning.
- Town Staff indicates the permitting process for rezoning could happen concurrently with the oil & gas permitting and could be completed in 6 months.
Some Interesting Quotes
“When asked directly if the Town had a preference between the proposed Draco Pad and AL 4, the Town responded that it did not have a preference. Additionally, the Town was unwilling to indicate how an application for rezoning and a subsequent oil and gas permit would be received by the Town Council, especially given the likely strong opposition any such rezoning or permitting would receive from the adjacent residential developments and the presence of a remediated historic hazardous material dump site.” — pp. 8
“[The] permitting process would require multiple community engagements with communities that have a historical track record of opposition to oil and gas development (Town representatives indicated that the Vista Ridge Community had filed more complaints to the COGCC (now ECMC) associated with previous nearby oil and gas development than any other known community).” — pp. 9
We’ll see how the ECMC Commissioners respond to these materials at the hearing tentatively scheduled for March 13, 2025. Of note, no additional public comment is scheduled for this hearing, as it was heard in the November 13th hearing, of which this hearing is a continuance.