The Town of Firestone Receives $4,000,000 Payment from Oil and Gas Partner

Kerr-McGee has Met Operational Milestones Required
by the Town to Plug 57 Wells

Submitted by Paul Suter

Firestone, CO (February 2025) -- The Town of Firestone is proud to announce that it has received a $4,000,000 payment from oil and gas operator Kerr-McGee based on a Cooperative Development Plan agreement that was approved in October 2023.

In the agreement, the Town of Firestone granted right-of-way access permits and entered into certain license agreements and in return received beneficial returns from Kerr-McGee, including:

• A one-time cash payment of $4 million to the Town of Firestone
• A land donation of 78 acres to the Town of Firestone
• Specific operational standards to mitigate impacts to residents around the operations and within the Town of Firestone
• The commitment to plug and abandon 57 wells within the Town of Firestone boundaries.

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Because Kerr-McGee has met certain operational milestones, the one-time cash payment has been delivered, and the land donation is complete. In addition, the plug and abandoning process of the 57 wells is ongoing.

The Town of Firestone strongly believes in collaborating with its energy partners. A cooperative relationship and a balanced approach is best for the Firestone community.

"In Firestone, we take pride in working simultaneously to protect residents' health and safety while also respecting private property rights. We believe that a cooperative, mutually beneficial approach is the right balance to strike for agreements that have lasting value for all parties", remarked Town Manager A.J. Krieger. "By working collaboratively with Kerr-McGee, we've reached an agreement that respects not only their right to drill and produce but also recognizes how important domestic energy production is to our Country." "This agreement will help the Town advance several critical initiatives, including getting dozens of older wells plugged and abandoned and reclaiming acreage in Central Park, which will significantly benefit our development plans there," he continued.

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Krieger added, "Personally and professionally, I've always felt that working to achieve mutually beneficial outcomes is the best approach. This is just the latest example of the Town of Firestone acting strategically to enhance important partnerships and secure great benefits for our community".

More information regarding the Town of Firestone is available at www.firestoneco.gov.