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Erie Environmental Services Director David Frank<\/p>\n
The Draco project, approved in March 2025 by the Energy and Carbon Management Commission (ECMC)<\/a>, allows for up to 26 wells to be drilled from a site in unincorporated Weld County, extending horizontally<\/a> beneath portions of Erie. Town officials reiterated that the project is expected to move forward regardless of local action<\/a>. \u201cI would fully expect, no matter what action the town takes, that 26 wells will be drilled,\u201d Erie Environmental Services Director David Frank said.\n<\/p>\n Town of Erie Councilmember, Dan Hoback<\/p>\n Early in the meeting, Early in the meeting, Councilmember Dan Hoback began pressing staff on the fundamentals of the deal: when the town was first approached<\/a>, how negotiations began, and why Alameda Minerals was selected without a competitive process. When asked about this piece of the process, Frank said, \u201cI\u2019m not aware of any other companies that do this exact work.\u201d\n<\/p>\n \u00a0By the end of the meeting, those questions<\/a> had evolved into a broader challenge to both the process and the assumptions underlying it.\n<\/p>\n \u201cI have serious concerns about conflict of interest,\u201d Hoback said. The consultant, Alameda Minerals, is led by a former oil and gas executive with ties to the industry involved in the project, a connection that drew scrutiny during the meeting<\/a>. He also warned that the absence of a formal request-for-proposals process could expose the town to legal and audit risks.\n<\/p>\n More significantly, Hoback disagreed with the idea that Erie lacks leverage. While town staff and some council members emphasized the town\u2019s relatively small percentage of mineral ownership, Hoback emphasized that without permission to drill through town-owned minerals, operators <\/a>may not be able to reach large portions of the approved drilling area. \u201cThe inability to drill through Erie land without owning its mineral rights can be a major, major impediment to the ability of Draco to drill much of its planned area, currently approved or not,\u201d Hoback said.\n<\/p>\n Town officials declined to provide additional documentation or answer detailed questions about the procurement process, citing the ongoing nature of negotiations.\n<\/p>\n Those competing interpretations of the town\u2019s authority sit at the center of the debate. Erie\u2019s leverage stems from Colorado SB24-185<\/a>, which prevents operators from forcing municipalities into pooling agreements<\/a>. But how that law will function in practice, and particularly whether operators can drill through or around municipal minerals, remains untested.\n<\/p>\n Public comment reflected both that uncertainty and a sharp divide over how the town should respond. Sixteen residents and stakeholders spoke at the meeting, with the majority opposing a sale or urging alternatives such as delaying action or retaining the town\u2019s mineral rights. Five supported moving forward with a sale or lease, including three who identified themselves as representing business or industry interests, such as mineral rights owners and energy companies.\n<\/p>\n Former state senator and attorney, Mike Foote<\/p>\n Former state senator Mike Foote<\/a>, who worked on oil and gas legislation for years, described the current moment as the result of a long effort to give local governments control over their mineral rights. He recalled earlier policies that allowed a single mineral owner to force others into leasing, calling it something he \u201ccouldn\u2019t believe\u201d when he first encountered it.\u00a0\n<\/p>\n The 2024 law, he said, was designed to change that dynamic. \u201cThis was a hard-fought provision,\u201d Foote told council, urging them to \u201ctake advantage of it\u201d and follow the will of the community. \u201cThere\u2019s nothing in the law anymore that says that you have to say yes.\u201d He warned that approving a deal would entangle the town with the oil and gas industry for decades. \u201cThis puts Erie in business with oil and gas for a long, long time,\u201d he said. \u201cI would urge you [\u2026 ] to say no.\u201d\n<\/p>\n Other residents raised concerns about long-term environmental and infrastructure risks. Steve Hochgesang pointed to the lifespan of plugged wells and containment systems, warning that decisions made now could create long-term liabilities, particularly for groundwater and waste disposal.\n<\/p>\n In contrast, speakers aligned with mineral interests emphasized financial realities and potential legal consequences. Kole Kelley<\/a>, an oil and gas attorney at Fennemore Law, argued that development is already approved and that refusing to participate would not stop drilling but would result in forgoing compensation. He warned that the town could face litigation if it interferes with mineral owners\u2019 ability to realize value from their assets.\n<\/p>\n Those competing perspectives were reflected in the council\u2019s closing statements.\n<\/p>\n Hoback remained the most openly critical, raising concerns about procurement, transparency, and conflicts of interest<\/a>, while also emphasizing the town\u2019s decision-making power in this moment. \u201cOther companies cannot drill through our land to reach other people\u2019s mineral rights. So I\u2019ll be a bit of the voice of the wilderness and say, yeah, we can impact Draco, despite the narrative that\u2019s been making its way through social media and tonight\u2019s presentation. um The initial approval of the Draco pad was not a rollover and play dead moment.\u00a0 In fact, we should be fighting harder than ever,\u201d Hoback said.\n<\/p>\n Councilmember Anil Pesaramelli aligned more directly with residents opposing the deal. \u201cI am for health and safety,\u201d he said. \u201cI urge everyone to stop this sale.\u201d\n<\/p>\n Councilmember Brian O\u2019Connor took a more cautious position, expressing frustration with the process and emphasizing the need for more information before any decision is made.\n<\/p>\n Town of Erie Councilmember, Dan Hoback<\/p>\n Councilmember Emily Baer delivered one of the most detailed and forceful closing statements, drawing on years of work in oil and gas regulation.\u00a0\n<\/p>\n She pushed back on the idea that selling mineral rights would improve safety, noting that many of the cited protections are already required by the state<\/a> regardless of any deal. \u201cTo imply there are safety regulations that will go unenforced unless Erie sells its minerals is misleading,\u201d she said.\n<\/p>\n Baer also argued that the town retains meaningful authority under current law, including the ability to deny subsurface access. She framed the decision as a question of values and long-term governance. \u201cMy principles are not up for purchase,\u201d she said, reiterating her opposition to selling the town\u2019s mineral rights.\n<\/p>\n Councilmember John Mortellaro took a more logistical tone, emphasizing that the project has already been approved and suggesting the town should consider whether it can secure benefits from an outcome it cannot prevent.\n<\/p>\n Mayor Pro Tem Brandon Bell and Mayor Andrew J. Moore both framed the decision in similar terms, emphasizing inevitability and the potential to capture value. Moore rejected claims that the town could significantly alter the project, calling that idea \u201c100% false,\u201d and stressed the importance of protecting negotiations.\n<\/p>\n![\"\"](\"https:\/\/www.newsbeep.com\/us-pa\/wp-content\/uploads\/2026\/04\/Dan-Hoback-300x222.png\")
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