The two-time major champion, seeking his first PGA title of 2017, opened with back to back birdies.
Ogilvy trails 54 hole leader Jordan Spieth by a massive nine shots but he is just three shots out of the second place held by two time victor, Brandt Snedeker, while another two time victor, Dustin Johnson, is one further back.
Jason Day, the world's No. 1 player, was 7 under for the day through 12 at Spyglass and was one shot behind.
Australian Day had a disastrous start with three bogeys and a double bogey in his opening six holes as he fell away with a three-over 75, while Fathauer signed for a 74.
"It was kind of a tough one for me out there", Day said. "It was just mistake after mistake on the front for me and, unfortunately, that's sometimes how it goes". A lot of other people did follow the entire round and so I want to make sure I sign for them, if I didn't get them out there.
"I feel pretty good with how things are going, coming out today and shooting a couple under par", said the 29-year-old, a 10-times victor on the PGA Tour. "If I can go out there and shoot a low one, that will do wonders for my confidence".
The two-time major victor then accused the men of trying to profit off his name by selling the items online and that he'd investigated evidence of it.
Jordan Spieth is in complete control on the Monterey Peninsula.
Elsewhere in golf, Tiger Woods has announced he will not compete in his next two scheduled tournaments due to back spasms.