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HomeMy WebLinkAbout20123057.tiff RESOLUTION RE: APPROVE REQUEST TO WAIVE BID PROCEDURE CONCERNING SMALL TRACT OIL AND GAS LEASE, ACCEPT OFFER TO LEASE MINERAL ACRE, AND AUTHORIZE CHAIR TO SIGN - LONE TREE ENERGY AND ASSOCIATES, LLC WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, Lone Tree Energy and Associates, LLC, 3 West Dry Creek Circle, Littleton, Colorado 80120, has requested that the bidding procedure be waived according to the policy as set forth in the Weld County Code for parcels less than five acres, on the following described mineral acres: Section 20, Township 6 North, Range 64 West of the 6th P.M., Weld County, Colorado: Beginning at a point WHEREAS, Lone Tree Energy and Associates, LLC, is offering to lease the above described mineral acres, containing .15 mineral acres, more or less, and WHEREAS, the Board finds that the lease offer from Lone Tree Energy and Associates, LLC, in the amount of SIXTY AND NO/100 DOLLARS ($60.00), is acceptable, with the further terms and conditions being as stated in said Small Tract Oil and Gas Lease, a copy being attached hereto and incorporated herein by reference. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the request of Lone Tree Energy and Associates, LLC, to waive the bidding procedure on an Oil and Gas Lease concerning the above described mineral acres, be, and hereby is, granted. BE IT FURTHER RESOLVED by the Board that the offer of Lone Tree Energy and Associates, LLC, to lease mineral acres, as hereinabove stated, be, and hereby is, accepted. BE IT FURTHER RESOLVED by the Board that the Chair, be, and hereby is, authorized to sign said Small Tract Oil and Gas Lease. I, (1/A ,1/'S)1,; 2012-3057 LE0311 O/ � �I� '� ' ') WAIVE BID PROCEDURE - LONE TREE ENERGY AND ASSOCIATES, LLC PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 29th day of October, A.D., 2012. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO ATTEST ~1 I .' /I�� p �. Sean P. Conw. hair Weld County Clerk to the'.oar• 42 / 1861 l/( William F. Garcia, Pro-Te' BY: ( L t !� ;. �, ., Cam/ !� Deputy Clerk to the Boar•' d �� ✓+� —Ir • i� 4 .1 arba \ra Kirkmeyer APP ED FORM: ,LLk 4-\ David E. Long //11 County Attorney pri)s gal CALI Douglas Radem'cher Date of signature: 11/7 2012-3057 LE0311 ara� LONETREEENERGY Lit & ASSOCIATES, LLC RECEIVED October 16, 2012 Weld County Board of Commissioners 915 l0ih Street WELD COUNTY P.O. Box 758 COMMISSIONERS Greeley,CO 80632 RE: Oil and Gas Lease Bonus Consideration Howard Lake Prospect(HOW-967, 346-06) Township 6 North, Ran2e 64 West,6th P.M. Section 20: Beginning at a point 30 feet north of the SE Corner running thence West 15 rods,thence Northeasterly 4 rods thence Southeasterly 13 rods to place of beginning. and containing.15 acres, more or less. Weld County, Colorado Dear Lessors, Enclosed please find check No. 77539 in the amount of$60.00 from LoneTree Energy&Associates, LLC. Let this serve as the full bonus consideration for the 3-year paid up Oil and Gas Lease on the above referenced land. Please execute the enclosed Oil and Gas Lease and record in the county and return a copy to us at your convenience. Also acknowledge receipt of this check by signing and dating this letter below. We have enclosed a stamped self addressed envelope for your convenience. If you have any questions regarding this matter, please feel free to contact Patti Koenig at(303)233-8700 ext. 107. Respectfully, AKIreiAret., Betty tnger LoneTree Energy&Associates, LLC /bw Enclosures Received LTE Check# 77539 from LoneTree Energy&Associates, LLC, in the amount of$60.00 on this Wei day of i2/cd er ,2012. Board of County Commissioners Weld County,Colorado Chair, Board of County Commissioner 0C 29 2012 3 WEST DRY CREEK CIRCLE • LITTLETON, CO 80I 20 / 2 3(5> T. (303) 233-8700 • F (303) 233-8787 {a' WELD COUNTY OIL AND GAS LEASE (Small Tract) THIS AGREEMENT, made and entered into this 16th day of October, 2012, by and between WELD COUNTY, COLORADO, a political subdivision of the State of Colorado acting by and through the Board of County Commissioners of the County of Weld, 915 10th Street, P.O. Box 758, Greeley, CO 80632, hereinafter called Lessor, and LoneTree Energy & Associates, LLC, 3 West Dry Creek Circle, Littleton, CO 80120 hereinafter called Lessee. WITNESSETH, that Lessor, for and in consideration of the sum of $60.00, cash in hand paid, the receipt of which is hereby acknowledged, and the covenants and agreements hereinafter described, has granted, demised, leased and let, and by these presents does grant, demise, lease and let exclusively unto the said Lessee, the land hereinafter described, with the exclusive right for the purpose of mining, exploring by geophysical and other methods, and operating for and producing therefrom; oil and all gas of whatsoever nature or kind, with rights of way and easement for laying pipe lines, and erection of structures thereon to produce, save and take care of said products, all that certain tract of land situated in the County of Weld, State of Colorado, described as follows, to wit: Section 20 Township 6 North, Range 64 West of the 6th P.M., Weld County, Colorado: Beginning at a point 30 feet North of the SE Corner running thence West 15 rods, thence Northeasterly 4 rods thence Southeasterly 13 rods to place of beginning. and containing .15 acres, more or less. 1. It is agreed that the lease shall remain in force for a term of three (3) years from this date and as long thereafter as oil or gas of whatsoever nature or kind is produced from said leased premises or on acreage pooled therewith, or drilling operations are continued as hereinafter provided. If, at the expiration of the primary term of this lease, oil or gas is not being produced on the leased premises or on acreage pooled therewith but Lessee is then engaged in drilling or re-working operations thereon, then this lease shall continue in force so long as operations are being continuously prosecuted on the leased premises or on acreage pooled therewith; and operations shall be considered to be continuously prosecuted if not more than ninety (90) days shall elapse between the completion or abandonment of one well and the beginning of operations for the drilling of a subsequent well. If after discovery of oil or gas on said land or on acreage pooled therewith, the production thereof should cease from any cause after the primary term, this lease shall not terminate if Lessee commences additional drilling or re-working operations within ninety (90) days from date of cessation of production or from date of completion of dry hole. If oil or gas shall be discovered and produced as a result of such operations; at or after the expiration of the primary term of this lease, this lease shall continue in force so long as oil or gas is produced from the leased premises or on acreage pooled therewith. 2. This is a PAID-UP LEASE. In consideration of the down cash payment, Lessor agrees that Lessee shall not be obligated, except as otherwise provided herein, to commence or continue any operations during the primary term. Lessee may at any time or times during or after the primary term surrender this lease as to all or any portion of said land and as to any strata or stratum by delivering to Lessor or by filing for record a release or releases, and be relieved of all obligation thereafter accruing as to the acreage surrendered. 3884791 Pages: 1 of 4 10/30/2012 10:46 AM R Fee:$0.00 Steve Moreno, Clerk and Recorder. Weld County. CO lIII h'IYiUK�w��ll��:l I �,G�6ti���IM�N+�I 'r:Hl l �I III yr7,2- 3(57 LE031I W:\Clients\PDC\Prospects\Colorado Prospects\Wattenberg(Howard Lake))Leases\Weld Co.Board of Commissioners\HOW- 967\T6N R64W Sec 20\Weld County Board of Commissioners Lease.doc (Revised 1/2011) 3. In consideration of the premises the said Lessee covenants and agree to pay Lessor twenty percent (20%) of the proceeds received by Lessee, payable monthly, for the oil, gas and other hydrocarbons produced and saved from the leased premises. 4. Where gas from a well capable of producing gas is not sold or used, Lessee may pay or tender as royalty to Lessor One Dollar per year per net mineral acre owned by Lessor and covered by this lease, such payment or tender to be made on or before the anniversary date of this lease next ensuing after the expiration of 90 days from the date such well is shut in and thereafter on or before the anniversary date of this lease during the period such well is shut in. If such payment or tender is made, it will be considered that gas is being produced within the meaning of this lease. 5. If said Lessor owns less than the entire oil and gas fee simple estate in the above described lands, then the royalties (including any shut-in gas royalty) herein provided for shall be paid to the said Lessor only in the proportion which Lessor's interest bears to the entire oil and gas mineral fee simple estate. 6. Lessee shall have the right to use, free of cost or royalty, gas, oil and water produced on said land for Lessee's operations thereon, except water from the wells of Lessor. 7. When requested by Lessor, Lessee shall bury Lessee's pipe lines below plow depth. 8. No well shall be drilled nearer than 200 feet to any occupied building on said premises without the written consent of Lessor. 9. Lessee shall have the right at any time to remove all of Lessee's machinery and fixtures placed on said premises, including the right to draw and remove casing. 10. The rights of Lessor and Lessee hereunder may be assigned in whole, or in part, upon payment of a $25.00 fee and written consent of the Board of Weld County Commissioners. No change in ownership of Lessor's interest (by assignment or otherwise) shall be binding on Lessee until Lessee has been furnished with notice, consisting of certified copies of all recorded instruments or documents and other information necessary to establish a complete chain of record title from Lessor, and then only with respect to payment thereafter made. No other kind of notice, whether actual or constructive, shall be binding upon Lessee. No present or future division of Lessor's ownership as to different portions or parcels of said land shall operate to enlarge the obligations or diminish the rights of Lessee, and all Lessee's operations may be conducted without regard to any such division. If all or any part of this lease is assigned, no leasehold owner shall be liable for any act or omission of any other leasehold owner. 11. Lessee, at its option, is hereby given the right and power at any time and from time to time as a recurring right, either before or after production, as to all or any part of the land described herein and as to any one or more of the formations hereunder, to pool or unitize the leasehold estate and the mineral estate covered by this lease with other land, lease or leases in the immediate vicinity for the production or oil and gas, or separately for the production or either, when in Lessee's judgment it is necessary or advisable to do so, and irrespective of whether authority similar to this exists with respect to such other land, lease or leases. Likewise, units previously formed to include formations not producing oil or gas may be reformed to exclude such non-producing formations. The forming or reforming of any unit shall be accomplished by Lessee executing and filing of record a declaration of such unitization or reformation, which declaration shall describe the unit. Any unit may include land upon which a well has theretofore been completed or upon which operations for drilling have theretofore been commenced. Production, drilling or reworking operations or a well shut in for want of a market anywhere on a unit which includes all or a part of this lease shall be treated as if it were production, drilling or reworking operation or a well shut in for want of a market under this lease. In lieu of the royalties elsewhere herein specified, including shut-in gas royalties, Lessor shall receive on production from the unit so pooled royalties only on the portion of such production allocated to this lease; such allocation shall be that proportion of the unit production that the total number of surface acres covered by this lease and included 3884791 Pages: 2 of 4 10/30/2012 10:46 AM R Fee:$0.00 Steve Moreno. Clerk and Recorder Weld county. co ward Lake)\Leases\Weld Co. Board of Commissioners\HOW- ,III F11i14141 liM1,&NI IIAJIN4tliV Mil 11111 4W Sec 20 Meld County Board of Commissioners Lease.doc (Revised 1/2011) in the unit bear to the total number of surface acres in such unit. In addition to the foregoing, lessee shall have the right to unitize, pool or combine all or any part of the above described lands as to one or more of the formations thereunder with other lands in the same general area by entering into a cooperative or unit plan of development or operation approved by any governmental authority and, from time to time, with like approval, to modify, change or terminate any such plan or agreement and, in such event, the terms, conditions and provisions of this lease shall be deemed modified to conform to the terms, conditions and provisions of such approved cooperative or unit plan of development or operation and, particularly, all drilling and development requirements of this lease, express or implied, shall be satisfied by compliance with the drilling and development requirements of such plan or agreement, and this lease shall not terminate or expire during the life or such plan or agreement. In the event that said above described lands or any part thereof shall hereafter be operated under any such cooperative or unit plan of development or operation whereby the production therefrom is allocated to different portions of the land covered by said plan, then the production allocated to any particular tract of land shall, for the purpose of computing the royalties to be paid hereunder to Lessor, be regarded as having been produced from the particular tract of land to which it is allocated and not to any other tract of land; and the royalty payments to be made hereunder to Lessor shall be based upon production only as so allocated. Lessor shall formally express Lessor's consent to any cooperative or unit plan of development or operation adopted by Lessee and approved by any governmental agency by executing the same upon request of Lessee. 12. All express or implied covenants of this lease shall be subject to all Federal and State laws, executive orders, rules or regulations, and this lease shall not be terminated, in whole or in part, nor Lessee held liable in damages, for failure to comply therewith, if compliance is prevented by, or if such failure is the result of, any such law, order, rule or regulation. 13. Lessor does not warrant title to the leased premises, but it shall, upon request, allow Lessee access to such abstracts and other title papers as it has in its files. Lessee shall have the right at any time to redeem for Lessor, by payment, any mortgages, taxes or other liens on the above described lands in the event of a default of payment by Lessor, and be subrogated to the rights of the holder thereof. 14. Lessee shall indemnify Lessor against all liability and loss, and against all claims and actions, including the defense of such claims or actions, based upon or arising out of damage or injury, including death, to persons or property caused by or sustained in connection with operations on this leased land or by conditions created thereby, or based upon any violation of any statute, ordinance or regulation. 15. Upon failure or default of Lessee to comply with any of the terms and provisions hereof including but not limited to the failure to comply with laws, rules and regulations covering Colorado oil and gas operations, Lessor is hereby authorized upon notice and hearing, as hereinafter provided, to cancel this lease as to all of the leased land so claimed or possessed by Lessee hereunder. In the event of any such default or failure, Lessor shall, before making any such cancellation, send to Lessee by certified mail, to the post office address of said lessee as shown by the records of Lessor, a notice or intention to cancel for such failure or default, specifying the same, stating that if within thirty (30) days from the date of mailing said notice, Lessee shall correct such failure or default, no cancellation will be made. If such failure or default is not corrected with thirty (30) days after the mailing of such notice, and if Lessee does not request a hearing on such notice within thirty (30) days, this lease will terminate and be canceled by operation of the paragraph without further action by Lessor, or further notice to Lessee. 16. All of the provisions of this lease shall be binding upon the heirs, personal representatives, successors and assigns of Lessor and Lessee. 17. Lessee shall not conduct operations of any kind upon the surface of the lands herein described without the express written consent of Lessor. 3884791 Pages: 3 of 4 10/30/2012 10:46 RM R Fee:$0.00 Steve Moreno: Clerk and Recorder: weld'ICon^tr:tco���1iI i flake)\Leases\Weld Co.Board of Commissioners\HOW- .III.1Yjk ei rwJ)y.. ....t � I' 11�Ii11!lYL7�1 IYirt1 -. .,V,. yvv Sec 20\Weld County Board of Commissioners Lease.doc nl i' r rlrn' (Revised 1/2011) 18. Neither party shall be responsible for delays or failures in performance resulting from acts or occurrences beyond the reasonable control of such party, including, without limitation: fire, explosion, power failure, flood, earthquake or other act of God; war, revolution, civil commotion, terrorism, or acts of public enemies; any law, order, regulation, ordinance, or requirement of any government or legal body or any representative of any such government or legal body; or labor unrest, including without limitation, strikes, slowdowns, picketing or boycotts. In such event, the party affected shall be excused from such performance (other than any obligation to pay money) on a day-to-day basis to the extent of such interference (and the other party shall likewise be excused from performance of its obligations on a day- to-day basis to the extent such party's obligations relate to the performance so interfered with). IN WITNESS WHEREOF, Lessor has hereunto signed and caused its name to be signed by the CHAIR, BOARD OF COUNTY COMMISSIONERS OF THE COUNTY OF WELD, with the seal of the office affixed, and Lessee has �signed �this �agreement, the day and year first above written.'AuATTEST:N.11 " "^""0���11JC/y Weld County Cle k to the Board BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO BY: ✓i;li'/.A .b Li a / j ) �� Deputy Cle o t i: =ft;,!�� Chair, Board of County Commissioners # `� . I. /I) OCT 292O12 A LESSEE: L eTr e Energy&Asso , {LC \ • Trif By: Sr Au n ter Title: P— Manag r O STATE OF COLORADO ss COUNTY OF WELD ) The foregoing instrument was acknowledged before me this 16th day of October, 2012, by Austin Mater, Manager. 'r PATRICIAA KOENIG (U� Witness my hand and official seal. I NOTARY PUBLIC,STATE OF COLORADO My Comm. Expires March 27, 20158 Notary Publia24 My Commission Expires: 3/27/76/5 3884791 Pages: 4 of 4 10/30/2012 10:46 RM R Fee:$0.00 Steve Moreno, Clerk and Recorder, Weld County, CO lIII NOM Iillilic1#+rrHl'+1 EI III c/ acs/ W:\Clients\PDC\Prospects\Colorado Prospects\Wattenberg(Howard Lake)\Leases\Weld Co. Board of Commissioners\HOW- 967\T6N R64W Sec 20\Weld County Board of Commissioners Lease.doc (Revised 1/2011) a i co In r N N HI O 0 0 ti O O L. r 0 'I) 0 1 .. N o - w Z C I E 0 0 Q Z 8 Q m b se c se U 0 .) b U U m o 0 U C . II co L ar ` •C CM Ca'x Qru 1/4.—) u c I 0 o 10 0 a CO v 3 JCO ° O _1 0 p Lo I — O $ W U CL W ' (n p U > � y b w C W i m° RI I W W o O 5 _0 r �' < w CC W Z 0 W U Z£908 O0 Aalaa0 +ro�avxo1m W PC)89L Xo8 Od Je,11 r CS p.1eog ail of VOID 1YL a z 3 �,' opemoio0 'ATunoo PIaM \ 4 it J ° I HOLLAND&HART. PPR Jeanine Feriancek Phone(303)295-8185 Fax(303)727-5854 Jferlancek@hollandhart.com August 29,2012 Petroleum Development Corporation 1775 Sherman Street,Suite 3000 Denver,Colorado 80203 Attention: Eric Swenson,Regional Landman Re: DRILLING AND DIVISION ORDER TITLE OPINION Foe 20Q-221 Well;Foe 20Y-241 Well;Foe 201-201 Well;Foe 201-401 Well; and Simmons 42-20 Well(collectively the"Subject Wells"); Weld County,Colorado Ladies and Gentlemen: Pursuant to Petroleum Development Corporation's request,we have examined title to the following described land situated in Weld County,Colorado(sometimes called the"captioned land" herein),and give you our opinion thereon as follows: Township 6 North.Range 64 West.6th P.M. Section 20: E/2, E/2W/2 Section 21: W/2W/2 containing 644.413 acres,more or less In rendering this opinion we have examined the following title materials(the"Materials Examined"): 1. MATERIALS EXAMINED I. Letters dated February 6, 2012 and February 29,2012 from Sean Gallagher,Regional Landman for PDC Energy, Inc.,requesting title opinions covering the Foe 20T-201,Foe 20Q-221 and Foe 20Y-241 wells,listing the spacing units for said wells and providing spacing unit plat maps,and providing abstracts and other data for the title opinion;as updated by email dated July 10,2012 from Eric Swenson,Regional Landman for PDC Energy, Inc.,indicating that the title opinion is cover the Foe 20Q-221,Foe 20Y-241,Foe 201-201 and Foe 20T-401 wells and listing the spacing units for said wells; and email correspondence dated July 11,2012 from Eric Swenson requesting the addition of the Simmons 42-20 well to the title opinion and providing information concerning formations to which the Subject Wells are to be drilled. • 2. Drilling and Division Order Title Opinion dated October 24,2011 prepared by Jeanine Feriancek of Holland&Hart LLP for Petroleum Development Corporation covering the NE/4 and E/2NW/4 of Section 20 and W/2NW/4 of Section 21,T. 6 N., R. 64 W.,and other lands(the"H&H Title Opinion"),which as to the NE/4 and E2NW/4 of said Section 20 was based on landman's abstracts of title covering documents of record in Weld County,Colorado for the period from inception of title to Holland&Hart Lip col- zSlaool-.00a•) Rgtro0l-.002.; 974.001-.000` "`, Phon. (3031295 ww.8000 Fa, 130312958261 whollandhartcom co 130.00O; 131,000 'y 555 17th Street Suite 3200 Denver,CO 80202 Marling Address PO.Box 8709 Denver.CO 80201 8709 00 bAnulder Canon City Colorado50rings Denver Denver Tech Center Billings Bone Cheyenne Jackson Hole Las Vegas Reno Salt take City Santa Fe WMttngton.OC / AV1/4 l(rk173 1{ A �_ HOLLAND&H ART opj Petroleum Development Corporation August 29,2012 Page 13 Bobby D.Cannon 25.000000% 3 Geist Mineral Trust 25.000000% 3 TOTAL 100.000000% TRACT 9,TRACT 10,TRACT 13 and TRACT 14 Section 20: SE/4,except.89-acre parcel in NW/4SE/4 conveyed in Book 388,Page 538 of the Weld County records and tract in SE/4SE/4 conveyed in Book 76, Page 271 of the Weld County records Interest Les Lauretta June Anderson 43.750000% Duane M. Dorn 21.875000% 1 Janice E. Dyer 21.875000% 1 Foe Front Range Farms, LLC 12.500000% 2 TOTAL 100.000000% TRACT 11 Section 20: Tract in SE/4SE/4 conveyed in Book 76, Page 271 of the Weld County records (I) Interest Lease Board of County Commissioners of Weld County,Colorado(2) 100.000000% UNL (I) See Appendix A regarding legal description of Tract I I. (2) See Comment and Requirement No. I I concerning ownership of Tract I I. HOLLAND&HART. Petroleum Development Corporation August 29,2012 Page 66 C.R.S. § 38-30-108.5(1)provides that a trust may acquire an interest in real property in the name of the trust. Subsection(2)of said statute states that in order to evidence the existence of a trust and the authority of one or more trustees to act on behalf of the trust with respect to an interest in real property held in the name of the trust,any trustee of the trust may execute and record in the county in which the property is located,a statement of authority with respect to the trust. Such a statement of authority is to name the trustee and identify the trust or other agreement under which the grantee is acting,or refer by reference to book, page or document number an instrument of record in the county records containing such information. The Materials Examined did not contain a statement of authority for either the Geist Mineral Trust or the Mary J. Brighi Trust. Requirement: None;advisory only. However,we recommend that a statement of authority be recorded in Weld County for each of the Geist Mineral Trust,the Mary J. Brighi Trust and the Michael D. Zeitlin Grantor Trust in due course. 11. Ownership of Tract Conveyed to Weld Counts,for County Roa4. The Materials Examined include a Quit Claim Deed dated May 7, 1890(recorded in Book 76,Page 271)from the original patentee of the SE/4 of Section 20,J.O. Roosa,to the Board of County Commissioners of Weld County,in which he conveyed and quitclaimed all of his right,title and interest in the following land (Tract II): Beginning at a point 30 feet North of the SE Corner of Sec.20,Tp. 6 N., Range 64 W.running thence West 15 rods,thence Northeasterly 4 rods thence Southeasterly 13 rods to place of beginning for the use and purposes of a County Road and no other. The plat of Recorded Exemption No.0801-20-4-RE 2352(recorded May 17, 1999 at Reception No. 2694173)°shows the land conveyed in the deed recorded in Book 76, Page 271 as a small,triangular shaped tract adjoining Weld County Road 66 that lies within the boundaries of Lot A of such recorded exemption. Based on the legal description,Tract 11 contains.15 acre. While the Weld County Assessor's Map does not show the land conveyed in Book 76,Page 207 as a separate tract,and does not appear to show any road currently extending onto this tract,the Materials Examined contain no definitive information as to whether Tract 11 has been and/or is being used for county road purposes. We note that under C.R.S. §38-30-107,as interpreted by Colorado courts,every estate in land which is granted or conveyed to another is rebuttably presumed to be a fee simple estate if a lesser estate is not specified by express words. See Farmers Reservoir&Irrigation Company v. Sun Production Company, 721 P.2d 1198(Cob. App. 1986),earl. denied None of the cases we found interpreting this statute involved a quit claim deed,which by its nature is limited to the interest owned by the grantor when the deed is executed. The Quit Claim Deed recorded in Book 76, Page 271 does not refer to the tract conveyed as an easement or contain any reservation of mineral interest,and the only express limitation it contains with respect to the interest conveyed to Weld County is the language at the end of the legal description specifying that the conveyance is"for the use and purposes of a County Road and no other." °The caption on this recorded exemption plat lists it as located in the SW/4 of Section 20;however,that is a typographical error,as the legal description and plat itself show the land in the SE/4 of Section 20. Karla Ford From: Patti Koenig [pkoenig@lonetreeenergy.com] Sent: Tuesday, October 23, 2012 6:20 AM To: Karla Ford Subject: Weld County Tract Attachments: Weld County Tract Info.pdf Good Morning, Sorry for the delay in getting this info over to you. I have attached the title opinion that explains that the Weld County Board of Commissioners may have ownership in Section 20,6N-64W tract in the SESE. Please let me know if you need additional info or if you have any questions. Regards, Thank You, Patti Koenig LoneTree Energy&Associates, LLC 3 West Dry Creek Circle Littleton,CO 80120 pkoenig@lonetreeenergy.com P: 303-233-8700 ext. 107 F: 303-233-8787 CONFIDENTIALITY STATEMENT This email transmission (and/or the attached electronic documents) may contain confidential information belonging to the sender or other privileges. The information is intended only for the named recipient. If you are not the named recipient in the text of the message, or it is otherwise evident that the transmission was not intended to be sent to you, you are hereby notified that any use, disclosure, copying, or distribution of the contents hereof is strictly prohibited. 1 Hello