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RESOLUTION
RE : AUTHORIZATION TO SIGN OIL AND GAS DIVISION ORDER REGARDING
ENERGY MINERALS CORPORATION, 1000 SECURITY LIFE BUILDING,
DENVER, COLORADO 80202
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N. WHEREAS, the Board of County Commissioners of Weld County,
Colorado, pursuant to Colorado statute and the Weld County Home
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Rule Charter, is vested with the authority of administering the
'F affairs of Weld County, Colorado, and
WHEREAS , Weld County, Colorado, is the holder of a certain
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CJ lease with Energy Minerals Corporation, 1000 Security Life
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Building, Denver, Colorado 80202. Said lease covers land more
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particularly described as follows , to-wit:
N NW4 of Section 5, Township 3 North, Range 61
m West of the 6th P.M. , Weld County, Colorado
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containing 160. 2 acres more or less.
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M ^ WHEREAS , Energy Minerals Corporation has submitted an Oil
C L m ' and Gas Division Order on the subject property.
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NOW, THEREFORE , BE IT RESOLVED by the Board of County
re z Commissioners of Weld County, Colorado, that said Board does
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a r hereby execute the Oil and Gas Division Order.
sr. z The above and foregoing Resolution was, on motion duly
made and seconded , adopted by the following vote on the 24th
day of February, A.D. , 1982.
BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
ABSENT
Joh T. Martin, hairman
ATTEST:' K.: '
Ch ck Carlson, Pro-Tem
Weld County Clerk and Recorder
and Clerk to the Board ABSENT
Norman Carlson
BY:
puty Count erk 2 , cti
. Kirby
APPR�J�EH�% AS;TO FO •
e K. Stei ark
Co Attorney
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DATE PRESENTED : MARCH 1, 1982
820022
CCP-Lc .7 0_7(.61,7,4-7 �roper�y No. �WwLucD o
ENERGY MINERALS CORPORATION
OIL AND/OR GAS DIVISION ORDER
TO: ENERGY MINERALS CORPORATION February 15 , 19 82
1000 Security Life Building
Denver, CO 80202
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} The undersigned, individual) guarantee and warrant that they are the legal owners,3'r ba
in the proportions set out below, of the proceeds of all oil (defined as crude oil, condensate,
o 0 05 and other liquid hydrocarbons) and/or gas (defined as natural gas and casinghead gas)
a produced from the Beaghler #1 lease, described as:
T3N-R61W
Section 5: NW/4 containing 160.2 acres more or less.
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in Wel d County,
0 CC State of Colorado , and commencing as of 7 a.m. , the _day of
o , 19 _ or commencing with the first delivery of oil and/or gas
from said lease and, until further written notice, from ENERGY MINERALS CORPORATION
-o z (Energy) or from the undersigned, Energy is authorized to distribute to the undersigned, in
aw the proportions set forth below, the net proceeds received by Energy from the sale of oil and/
co c._, or gas from the well or wells now or hereafter located on said lease, subject to all the cove-
r ��`t..,.. nants of this division order.
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s z CREDIT TO OWNER DIVISION OF POST OFFICE
CAC NUMBER INTEREST ADDRESS
r County of Weld .06260529 ORI 915 - 10th Street
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Board of County Commissioners Greeley, CO 80631
'x' E Mary Jane Gordon .02079824 ORI 2430 S. Jackson St.
Denver, CO 80210
A.J. Beaghler .02079824 ORI 2430 S. Jackson St.
Denver, CO 80210
Richard Beaghler .02079823 ORI 144 Mayberry Road
Santa Monica, CA 90402
RE: "J" Sand only
HOBE, Inc. of Wyoming .03756317 ORI 1580 Lincoln Street #12C
Denver, CO 80203
E.B. O'Hara .03743683 ORI 1580 Lincoln Street #12C
Denver, CO 80203
Energy Minerals Corporation .80 WRI 1000 Security Life Bldg.
RE: All other formations Denver, CO 80202
HOBE, Inc. of Wyoming .04758002 ORI Same as above
E.B. O'Hara .04741998 ORI Same as above
Energy Minerals Corporation .78 WRI Same as above
The following covenants are also parts of this division order, and shall be binding upon
the undersigned, their successors, legal representatives, and assigns:
1. Energy is authorized to deliver and pass title to the oil and/or gas unto any agent,
carrier, or purchaser (including Energy itself) designated by Energy.
2. Oil shall be graded and measured in accordance with the customary rules and
regulations or standards generally accepted in the industry. If oil is purchased by Energy,
settlement shall be based on Energy's posted or quoted price in effect on delivery date.
Energy is authorized to reduce such price by any charges for transporting oil and any
treating costs which, in Energy's opinion, are necessary to make the oil merchantable.
If oil is sold by Energy to another purchaser, settlement shall be based on the net proceeds
realized at the well by Energy from such sale, after deducting any costs for transporting
or treating the oil for delivery.
3. Settlement for gas sold shall be based on the net proceeds realized at the well by
Energy after deducting any costs incurred in compressing, treating, transporting and/or
dehydrating the gas for delivery. If the gas is processed, settlement shall be based on the
net proceeds realized at the well, as determined by the agreement between the producer
and processor, or, in the absence of such an agreement, the same basis as settlement
with other producers of gas of like kind and quality processed at the same plant.
4. Settlements and payments shall be made monthly for oil and/or gas received and
purchased during the preceeding month (except that payments of less than $10.00 will be
deferred until the amount due equals $10. 00 or more)
by
check mailed from Denver, Colorado, to the respective parties at the address given above,
for the amount of such purchase price due said parties respectively. Energy shall have
the right at its option to pay or arrange for the payment of production, severance, and other
taxes applicable to oil and/or gas produced, delivered, and sold for the interests of the
undersigned, and to deduct such taxes paid from settlements made hereunder.
5. The undersigned agree to furnish Energy satisfactory abstracts and other evidence
of title, and in case of failure to do so, or in case of any adverse claim or dispute of title
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o c.) to the oil and/or gas sold hereunder or to the land from which produced Energy is authorized
to hold the proceeds as aforesaid until such defect of title is corrected or such adverse claim
F or dispute is fully settled and determined to the satisfaction of Energy, unless indemnity
acceptable to Energy shall be furnished. In the event any suit is filed affecting any of the
interests of the undersigned in the above described land or affecting any interest of the under-
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signed in the production or to the proceeds therefrom, the owners of the interests so affected
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+fr w agree to hold Energy harmless from judgment rendered in such suit, and all reasonable
3 costs and expenses incurred in defending against such claim, and from all liability for loss,
cost, damage and expenses which Energy may suffer or incur on account of receiving and
to w paying said owners the proceeds apportioned hereunder.
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•• it 6. Energy is hereby relieved of any responsibility for determining when any interest
O o shown above shall change by increase, decrease, termination, reversion or otherwise.
wr Energy is authorized to remit pursuant to the division of interest shown above until written
o notice to the contrary is received by Energy and Energy shall be held harmless against
ca loss or liability due to Energy's failure to receive such notice. Each of the undersigned
o Cc agrees to notify Energy in writing of any change in his interest, and no transfer of interest
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o shall be binding on Energy until Energy is furnished the original recorded instrument (or
a certified copy thereof) or a transcript of proceedings which satisfactorily evidences such
a z transfer, and Energy's regular form of Transfer Order is fully executed and returned to
• w Energy. Regardless of the effective date of the transfer, all transfers of interest shall be
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w ti effective hereunder as of 7:00 a.m. on the first day of a calendar month, but not earlier
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w than the first day of the calendar month in which such written notice is received.
7. In the event the land described herein, or any part thereof, is included in one or
more units now or hereafter formed or revised by order of any appropriate governmental
'= z authority, or is included in one or more authorized voluntary or declared units now or
N Q hereafter formed or revised, it is agreed that settlement shall be made in accordance
.}c with the production allocated to said land without the execution of additional division orders.
8. Each working interest owner warrants that the oil and/or gas has been produced
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in accordance with all applicable laws, rules and regulations.
9. This division order may be executed in counterparts, and shall be binding upon
and inure to the benefit of all the undersigned, their heirs, successors and assigns,
whether or not it is signed by all parties named herein. Any of the undersigned owners
may terminate this division order in its entirety as to its interest effective thirty days
after receipt by Energy of said owner's written notice as hereinbefore provided.
10. Energy reserves the right to assign its interests, or operations, and to appoint
an Agent to make payments due hereunder, and this division order shall inure to the Assignee
of Energy, or to any person appointed by Energy to make payments hereunder, without the
necessity of the execution and delivery of a new or substitute division order, with the same
rights vested in such Assignee or Agent as are vested in Energy herein.
SOCIAL SECURITY NUMBER OR TAR I.D. NUMBER: 84-6000-813
WITNESS (There must he one witness to each signature) OWNERS SIGN HERE
OR ATTEST "-t
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ATTEST: / ' tau tz^ i. Q, 1s✓
County Clerk gficl Recorder John'T Mart ,J Ch irman
and Clerk to the Board C��{T//J,J // was
C.ITQCK"C.'aY 5 , �O lean
BY: `n/,
dywiet.ilk) du-/
Def;tut County Clerk Norman rl n
. W. K' r
_ OWn `707,//
June K. ._inmark
ral ENERGY MINERALS CORPORATION
OIL AND GAS EXPLORATION
RE: Division Order
Dear Interest Owner:
Please examine the enclosed instrument indicating your division of interest.
Upon your approval, please insert your social security or taxpayer iden-
tification number, sign one copy and have your signature witnessed or attested,
and return it to this office promptly in order that we can place your interest
in line for payment. The extra copy of the instrument is for your records.
The lease number assigned this lease is in the upper margin of the attached
instrument. When directing inquiry to this company concerning your interest,
always refer to the lease number for identification purposes.
Please check the spelling of your name as shown on the instrument and indicate
your correct mailing address.
Yours very truly,
ENERGY MINERALS CORPORATION
ke. 71
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Johd W. Julander
Vice President
JWJ:pas
Enc.
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1000 SECURITY LIFE BUILDING • DENVER, COLORADO 80202 • (303) 629-7334
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