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HomeMy WebLinkAbout800005.tiff . RESOLUTION RE: AUTHORIZATION FOR CHAIRMAN TO SIGN OIL AND GAS DIVISION ORDER FOR MACEY AND MERSHON OIL, INC. CONCERNING PROPERTY LOCATED IN SECTION 30, TOWNSHIP 2 NORTH, RANGE 64 WEST OF THE 6TH P.M., WELD COUNTY, COLORADO. 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, Weld County, Colorado is the holder of a certain lease with Macey and Mershon Oil, Inc. Said lease covers land more particularly described as follows: All that part of the Southwest Quarter lying South of the Chicago, Burlington and Quincy Railroad in Section 30, Township 2 North, Range 64 West of the 6th P.M., Weld County, Colorado. WHEREAS, Macey and Mershon Oil, Inc. has submitted an Oil and Gas Division Order on the subject property. NOW, THEREFORE, BE IT RESOLVED by the Board of County Com- missioners of ?weld County, Colorado that the Chairman of the Board is hereby authorized to sign said Oil and Gas Division Order on behalf of Weld County, Colorado. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 10th day of December, A.D., 1980. BOARD OF COUNTY COMMISSIONERS ATTEST:'11;2,44- �° r`^« r=' WELD COUNTY, COLORADO Weld County Clerk and Recorder ` .��� -f (Aye) and-E erk to the/p d C. W. Kirby, Chairman By ����1/� � { z" Y�su-:.t 4. /`�C (Aye) _._ 'Deputy Couri y Jerk Leonard L. Roe, Pro-Tem APPR77,6 - AS TO ORM: 7 -r^'�.�..a. (Aye) dNorman Carlson '' County Attorney (Aye) 1:ief)untard1"IlLii— ABSENT June K. Steinmark LEoo7-3 DATE PRESENTED: DECEMBER 15, 1980 !; 800005 DIVISION ORDER AND RATIFICATION MACEY & MERSHON OIL INC. STARKS UNIT Suite 1950 Lease No. CO-020-030 1600 Broadway Effective first date Denver, Colorado 80202 of sales We, the undersigned, and each of us, hereby certify and warrant that we are the legal owners of portions, as set forth or designated below, of the proceeds derived from the sale of oil, natural gas, casinghead gas and other gaseous or vaporous substances (including condensate and distillate) allocated or attributable to the following land located in the County of Weld, State of Colorado: Township 2 North, Range 64 West, 6th P. M. Section 30: All that part of the SW'a lying South of the Chicago, Burlington and Quincy Railroad under Oil and Gas Lease dated April 27, 1977, recorded in Book 796 at Reception No. 1718197 in the records of said County. You are hereby authorized to deliver and sell said oil and gas on the terms hereinafter stated and, until further notice, to credit the purchase price thereof, as follows: Division and Kind of Mailing Address and Credit To Interest Taxpayer Account Number Board of County 1/8th (royalty) Weld County Centennial Center Commissioners 915 - 10th Street Weld County Greeley, Colorado 80631 Colorado ID # 84-6000-813 And, we, the undersigned, for an adequate consideration, the receipt of which is hereby acknowledged, hereby ratify, confirm and adopt said Oil and Gas Lease referred to above and grant, lease and let unto the present record owner or owners of said lease, the above described land and any and all other land now covered by said lease as to all interests held or claimed by us in and to the oil, gas and associated hydrocarbons in, on and under said land, for the exploration for and production of oil and gas and associated hydrocarbons, subject to the terms and provisions of said lease (and, if said lease has been or is hereafter amended, as amended) . And we further agree that: 1. Crude oil and gas delivered and sold attributable to the above described lease shall be paid for upon your receipt of proceeds from the sale thereof (less any tax which you may be required to pay with respect to such oil or gas or the proceeds thereof) by check mailed to us at our respective address during the next following month. 2. The delivery and sale of gas attributable to the hereinabove described land is subject to all the terms of the gas purchase or sales agree- ments and any amendments, modification or supplements thereto under which delivery and sale of gas is made. The purchase price of said gas shall be the price designated therefor in said agreements (or average price if more than one) , subject, however, to all applicable laws, rules and regulations of any governmental authority having jurisdiction or purporting to have jurisdiction. The price to be paid for any oil, distillate or condensate produced from gas shall be the net amount realized from the sale thereof. 3. In the event of a question or dispute at any time concerning title to the property or as to the right of any party claiming hereunder to receive payment for the oil or gas, you may withhold the proceeds of the oil or gas from the interest so affected without interest until indemnity satis- factory to you has been furnished or the question or dispute finally and conclusively determined. If suit is filed affecting the interest of any of the undersigned, the party or parties affected agrees to indemnify you against loss or damage by reason of any judgment rendered therein and to reimburse you for expenses necessarily incurred by you in connection therewith. 4. You are hereby relieved of any responsibility for determining the amount payable when any of the above interests shall increase, diminish, be extinguished or revert to any other party or parties as a result of the completion or discharge of money or other payments from said interests or as a result of the increase or decrease in production or any other contingency until notice in writing thereof shall have been received by you. 5. You shall not be bound by any sale or assignment of any interest in said oil and gas proceeds thereof until you have been furnished with a certified or photostatic copy of the recorded instrument evidencing such con- veyance or assignment, together with your regular Transfer Order properly signed by Transferor and Transferee, it being understood that any such vendee or assignee shall take such interest subject to the terms hereof and that any such Transfer Order shall take effect as of the first day of a calender month. 6. This instrument shall become valid and binding on each interest owner as soon as signed by him or her, whether or not any other of the interest owners have so signed. The rights granted hereunder to you may be assigned or conveyed by you to another party or parties. This instrument insofar as it constitutes a division order may be terminated by written notice of termi- nation by any interest owner given to you at least thirty (30) days prior to the effective date of such termination, but no such termination by any one or more interest owners shall affect this instrument in any respect as to the other interest owners. 7. The Oil and Gas Lease or Leases and any and all unitization or pooling agreements or declarations, together with any amendments thereto or modifications thereof, under which the oil and/or gas covered by this instrument are produced, and the gas purchase contracts, as ratified, supplemented or amended, under which the gas is sold, are hereby ratified, adopted and approved. 8. If the proceeds accruing to any interest hereunder should amount to less than ten dollars ($10.00) per month, you are hereby authorized to make payment for such accruals on an annual basis, such payment to be made during the month of December of each year for such amount as may have accrued here- under up to 7:00 o'clock a.m. on the 1st day of November of such years. 9. If any royalty interest hereunder shall become subdivided, you shall have the right to require the written designation of a common agent to receive payment for the several holders of the subdivided portions thereof and you shall not be required to make payment for the subdivided interests until such designation is furnished. This instrument shall be binding on us and our heirs, devisees, legal representatives, successors and assigns and shall inure to the benefit of you and your successors and assigns. ri Executed as of the /���"�- day of /L[7ftc,vr i e4 / , 1980. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO E. ATTEST: Weld County Clerk and Recorder and Clerk to the Board / 1012/12404./ By (� h l// STEM IA3;i ABSENT Li - 2 - Oil and Gas Division Order Property described as. STARKS UNIT Township 2 North, Range 64 West, 6th P. M. Section 30: W1 in Weld County. State of Colorado . and commencing with First Runs. Credit To(Name of Owners Division of Interest 1) RUSSELL L. GURTLER and 1/8 of } of 149.20/301.68 0.0309102 LOR EVA M. GURTLER, as joint tenants 2) RUSSELL L. GURTLER, JR. 1/8 of } of 1.04/301.68 0.0002155 LOB 3) THE FIRST NATIONAL BANK OF 1/8 of § of 150.24/301.68 0.0311257 LOR DENVER and ELIZABETH McCLINTOCK NIKOLORIC, CO-SUCCESSOR TESTMENTARY TRUSTEES UNDER THE WILL OF T. E. McCLINTOCK, Dec'd. 4) WILLIAM R. GRAYBILL and 1/8 of 1, of 2.21/301.68 0.0004579 LOR SHIRLEY L. GRAYBILL, as joint tenants 5) ROBERT M. HARTSHORN and 1/8 of 12 of 133.91/301.68 0.0277426 LOR DOROTHY E. HARTSHORN, as joint tenants 6) DANIEL COOPER and PETER 15% of 12 of 22.59/301.68 0.0056160 LOB PRESS, as tenants in common 7) HUSKY OIL COMPANY 30% of 12 of 16.02/301.68 0.0079654 LOR 8) ELMER G. WALTERS 1/8 of 12 of 11.87/301.68 0.0024591 LOR 9) BOARD OF COUNTY COMMISSIONERS 12.5% of 17.53/301.68 0.0072635 LOR WELD COUNTY, COLORADO 10) TERRA RESOURCES, INC. 171% of 3/8 of 4 of 150.24/301.68 0.0163410 ORR 11) EASON OIL COMPANY 17,% of 1/8 of 12 of 150.24/301.68 0.0054470 ORR 12) HUSKY OIL COMPANY OF DELAWARE 171 % of 3/8 of 12 of 150.24/301.68 0.0163410 ORR 13) DEVON CORPORATION 171 % of 1/8 of 12 of 150.24/301.68 0.0054470 ORR 14) BARBARA JEAN MACEY 7% of is of 1 of 172.83/301.68 0.0100256 ORR 15) AMOCO PRODUCTION COMPANY 17.5% of 17.53/301.68 0.0101689 ORR 16) W. B. MACEY 0.3389176 WI 17) PAUL M. MERSHON, JR. 0.3489432 WI 18) BALANCE - OTHER OWNERS 0.1346128 1.0000000 ORR - Overriding Royalty Interest WI - Working Interest LOR - Land Owner ' s Royalty PP - Production Payment 0 October 30, 1980 Board of County Commissioners Weld County Centennial Center 915 - 10th Street Greeley, Colorado 80631 Re: Oil and Gas Division Order STARKS UNIT Weld County, Colorado a DEAR ROYALTY OWNERS: Enclosed are two copies of an Oil and Gas Division Order for your signature(s) , together with a letter of instructions. Please sign both copies of the Division Order as your name(s) appears on the back side, set forth your Social Security number(s) and return one fully executed copy to us in the enclosed envelope. You may keep the other copy of the Division Order for your file. Disbursement of your share of the proceeds on the captioned well will be made shortly upon receipt of all of the signed Division Orders (if not being held in suspense pending satisfaction of title requirements) . If you have any questions concerning this matter, please do not hesitate to contact us. Very truly yours, MACEY & MERSHON OIL INC. otb James A. Brown Lax Manager ,h(" Enclosures L\�. �':�� MACEY & MERSHON OIL INC. SUITE 1950 • 1600 BROADWAY • DENVER,COLORADO 80202 • (303) 861-9183 • 1 MAR1ogee r+ 897 R<to,_ 1bIs1i 7477/24.4444.4«‘• fia"./C Wili$law*,C186•Q Rama„ 11 • STATE O/ COICRADO • . 88. COUNTY 0! 1UID e ASSIGNILENT A 0 KNOW ALL MASONS BY THESE PRESENTS: 0 THAT, in consideration of the sum of One Dollar ($1.00) and other good and valuable considerations, the receipt o and the sufficiency of which are hereby ackrovleJgell, Anna PRODUCTION CCINPANY, a Delaware corporation, whose mailing address is Security Life Building, Denver, Ctl.oradc' $0202, hereinafter referred to as •Assignor," hereby does bargain, sell, assign, transfer and convey unto W. B. MA.CFY sad PAUL M. MERS$ON, JR., whose sailing address is Suite 1049, 1600 Broadway, Denver, Colorado 80202, hereinafter refer.re.i tc as `Assignee." all of its right, title and interest in " following described oil and gas lease: Lessor: Weld County Lessee: Amoco Production company Date: Ap:`1 Recorded: Bot:k 796. Re'epti,-:n No. 1718197 of the i _c.r t•a c.t weld County, Co:•.:rado insofar as they cover the ••:1 and gas mine. a; •i l'is 1 ring in and under the following des,-.I .,r; lase: !r: sa:n County and State, to w:t: Towns p 2 North Range 64 West Sectl � At7�Eayt party the '.t+:4 :y,..g sc.o!h: of the Chicago, 8ur.1;"tltor, a.: Quincy Railroad. • y • ,n s. •eaS 897• 1.819153 • 8-2 - hereinafter Sometimes being referred to as the 'lease acreage, subject to the following terms covenants and conditioner 40 1. The lease acreage covered hereby is assigned by Assignor and accepted by Assignee subject to the overriding royalties, irrueluut'on payments, new. ;,cofits obligations, • - carried working interests end other payments out of or with respect to production vhict- are ,q re,.:Ird and with which said lease acreage is encumbered; a:d A: . •1: 'e r;e-eby assumes and agrees to pay, perform or carry es tt• •aye mey be, each of said over r l i ng royalties. . ,- ;Cue' . . lyreents, net profits obligations, carried w•' . king interests and other psynents out of or with respect t yryluct:on to the extent that the same are or resale a :.ureter •.n tt^ •nine acreage herein assigned. 1. Assignor '>ereby r cepts i d reserves unto itself, its successors or asstgna, • •:r, f I; wing aver. idssy royalty r :a1 it'.trt,+ tierce' `1 .:gr.t•eigntr..r iJO% of s/8) of the proceeds •f !`,e se,:e• of i t!,..: of the market values. it the well of a:: -jam produr'•. and saved frost the la•ase a.tresgr thtu,:gh .. 1r•a' *Cl. r las wells lo'ated upon said leas* acreage. . ::h:. •e° Sara to the Assigner :roe o! e.l erns • . w: .'Script :axes en production; (03 Thirty p,rce'.t " •1'a.:.•' :) 1')% of 4/9) Of a_1 condensate and 'tat ptoiucr'! •snr! saved 'iron the lease acreage thi .,:+i' .+ was we.. : ."r gas walla ' or through a gas dleti,late t:•.til'ate wells located upon said .sans, n Grail be deftvareA Gres c•t At; .at sr..! . er,•;.• exrept tezea em production. at .t•,r F. ,i „s rr .:>f Ron .l Lease etreege Or, +t t se ass •lr ,s ' a "r. credit of the Assigner ,nro t'r „1. . t .std veil Of wells sat' be e:or.nr. •n,a: (C) T11tty p*:c• . , set 't r.: et all a.1 chit .tner psi•' + :•• ; 4•.•«n ono Greed Iran the leans a rem yon . .u•g• . •. ••..i or oil wells located spoon marl . sK+ . •'h , rrich shall be dell,ar:d free of is. cos' !Pe ••••• . •swim'st taxes ee production. at the vr. ,:r -s ;d ienee acreagle or r at the Ass.g:'w . '. ; • . ' • r:edit Of th/ Aesigeor into I •e yllr, ;•n . rh. •a: '. 11,11 el wens may am oceanic.ads sq.!. - r • • PP • 887 J919159 8.3 (d) Thirty percent of eight-eighths (30'i of 9/8) of the proceeds of the sale or if no sale of the market value, at the well, of all casinghsad ,as produced and sewed from the lease acreage through an oil well 1 or oil wells located upon said lease acreage, which shall be paid to Assignor free of all cost and expense, exec : taxes on production! provided, that, at its election, Assignee shall be, and • 1 is hereby authorized to pool and combine the lease acreage, or any portion thereof, with other leases and lands, or interests therein, so as to form a consolidated unit, but, in the event said lease acreage, or any portion thereof, shall be pooled and unitized by Assignee with other leases and lanus, or interests therein, whether voluntarily or by appropriate order of governmental authority, so as to form a consolidated unit, a proportionate part of all produc- tion from said consolidated unit, without regard to the location of the well or wells within said consolidated unit from which produced, equal to that proportionate part thereof which the aggregate number of surface acres in said lease f acreage included in said consolidated vn it bears to the aggregate number of surface acres in oil of said consolidated unit, shall be treated as though produced in its entirety from said lease acreage, or poetic top included in said consolidated writ; aged 'he, ovtr: . royalty hereinabove excepted and reserv'.ed 6 ., . he.. applicable to, and shall constitute a '-urc'e against , sJch proportionate part of said production from sad can r .dateo unit. 3. With respect t, - . .?v a: ri royalty herein excepted and reserved t; % ;stgr.cr , nisi.; nor and Assig. ee agree, as follows, (a) That said overriding 'evalty shall extend to any extensions or renewals he lease above described. (h) That oil and gas leed .' irii' ing and opera- tions nn said 'ease a:reaga and 're handling of production therefroc vnall be dtr;+,- ^d before said overridlnS royalty is ccmpated. • t. • • .. .ate X97 1819159 (a) "Assignee shall furnish to Assignor mahout!' i aid renthly reports of all production from said acreage, seek reports to be mailed not later t cthe date similar information is required to be falai under State lave, rules and regulation to the r y y body having jurisdiction. • l'm(d) in the event the above-described lease covers lees than all the oil and gas mineral rights in the lease screen, said overriding royalty, insofar an it portal* to oil, distillate, condensate, other liquid hydreaarbons, gas and casinghead gam produced and saved free the lease acreage shall be proportionately reduced. (e) that said overriding royalty shall include and therefore be reduced by any existing rcorded nlessor's royalties, Overriding royalties, production payments, net profits obligations and carried rotting interests; the intention herein being that Assignor's effective overriding royalty be the,difference between the cumulative percent of existing recorded lease burdens and thirty percent. 4. As to any wells which Assignee proposes to drill on said lease acreage after the delivery of this assignment, Assignee shall give Assignor notice thereof prior to commencing the actual drilling of any such yells, shall permit Assignor to have access to said wells and the derrick floors thereof // at all reasonable times; upon request of the Assignor, shall furnish to Assignor well samples of all cores and cuttings consecutively taken, unless Assignor elects to take such samples itself and, at the request of Assignor, Assignee shall furnish to Assignor copies of any electrical well formation surveys made. 5. Assignee shall not surrender, let expire, abandon, release, or fail to maintain by proper payment of delay rentals, royalties, shut-in gas well royalties, operations, or otherwise as may be-necessary to maintain the interests of both Assignor and Assignee hereunder, all or any of its rights in said Lease Acreage, or any part thereof, unless Assignee has given Assignor written notice thereof at least thirty (30) days prior to such surrender, expiration, aben- demment, or release, or to the time such payment, operations ' b. eV°tt 8.97 1819159 • er other it* is millmetate to Maintain said rights, and thereat . if ssgoeglibM M to do by Assigner, hostiles shall lately rebgtge stab tights in said lease heritage. or ouch Ott thereof, be Assignor. In the event Assignee fails or 'Saban to deliver a reassignment to Assignor es provided herein, Assignor may execute and record a document relating sthe facts and describing the title involved, and upon the filing of such document %n the County records where the Lease Acreage is located, all rights granted hereunder to ►ssignee shell terminate absolutely and shall revert • to and feast in Assignor. All provisions herein with regard to reassignment to Assignor are in addition to and • not in lieu of other rights of Assignor t-rreunder. In the event any rights in the Lease Acreage revert cr are assigned to Assignor under the provisions of this paragraph, the sue shall be free and clear of any and all overriding royalties, production or other payments, and other interests or rights acquired from and under Assignee, all of which shall be acquired subject to this limitation, and shall be extinguished and terminated upon such reversion or assignment. • In no event shall Assignee be relieved of any obligation which accrued prior to the date of such reversion or retransfer. and Assignee shall indemnify Assignor for and told Assignor hornless from all claims and causes of action whatsoever arising as the result of or in connection with Assignee's operations on the Lease Acreage. n . 6. This assignment is side subject to all the terms -. express and implied covenants and conditions of the above described lease, which urns, covenants and conditions Assignee hereby accuses and agrees to perform with respect to said ell and gas mineral rights lying in and uader said laud, paavided, that, sales* Assignee should elect to surrender, let ospire, abandon or release its rlibts in said lease • - S • • - -. _r • nom• •8,17 - - R 1819159 1.6 star .8168,86. Salaam hereof r�lstiwe f•MdwtaeO iER1Ytt Mimipti fete.* `x00 Ills .itplutlpfee art, AlseaMili00. Sufis eatd le shat-in ve royalty Monate shall be dee and payaile Mitt Weepest to. mmet-ie gas toll ar wells athervise capable • si{ probed framer salt e t vith the lease aorp$I, and these shalt/be M obiigeties co the part of Assignor to reimburse psigese for all or say portion of said Shut-in gas well royalty payments so paid by Assignee. Said terns, covenants end coeditions, insofar as the lease acreage is oos erned,. shalt be binding es Assignee, net only in favor of the lessor and his heirs, sucosesore and assigns, but else in favor of Assignor and its snare00015 and assigns. 7. Assignor nd excepts unto itself, its successors and assigns, the option and the exclusive right at any time, at all times and from thee to tine to purchase all oil, gas, casinghead gas and other hydrocarbons produced _ and saved from said lease acreage. Paynent to Assignee - for any oil, distillate: condensate and other liquid hydro- carbons purchased by Assignor hereunder shall be made .c the prevailing price for production of similar kind and quality prevailing in the field where produced on date of delivery. Payment to Assignee for gas and casinghead gas purchased by Assignor hereunder shall be sadr, at the wellhead \ i • pries andel contracts for the sale of production of stellar kind and quality prevailing in the field at the tine such option and right initially is exercisedh provided, that, if Assignor shall contract for the resale of such gas and easingheed gas at the wellheaJ, such payment shall be based ape the net proceeds accruing to Assignor at the wellhead „gnat such contract. It is cnderutooai and agreed that the (4 - e - • • • y Its±9159 �` " � (-1 ` :.11:.. r` right to "Mrehase hereby reserved and excepted mar be assigned by Aaeig$ at say tine, at all tin** and free tie to time ...8 vltheet $hitatione S. -fills assignment is made without warranty of any kind, eir express or iaplled. 9. ': All notices, reports and other communications a required le permitted hereunder, or desired to be given with septet to the righ,s or interests herein assigned or retetpsd, *ball be deemed to have been properly given or dallsAESJ when delis .. .d pa -ons.ly or when sent by register"' mail or telegraph, with all postage or charges fully E-speed, and addressed to Assignor and Assignee, respectively, as fc .lees Assignors Amoco Production Company Security Life Building rsnvr-, Colorado 80202 Attentions Southern Division Landman Assignees w. S. Macey and Paul M. Mershon, Jr. Suite 1040 • 1600 &roadway Denver, Colorado 80202 .t, 10. The terns, Covenants and ronuicions hereof shall , to bindles upon, and shell inure to the benefit of, Assignor and Assignee and thei,: respective successors slid assigns; and sores terms, covenants and conditions stall be covenants • running with the land above a scribed, the lease acreage herein aas$gned and with each transfer or assignment of , aid land or lease acreage. 10 RATS AID 10 MOLD said lease strewn; unto Assignee, I Its seesessers and assigns, subject to the terns, covenants and coalitions hsreinebova set. forth.-a, R 0TSD tbierapat._ day of h. °"'� '1- , 1980. , . - Its, rttoraey-in-yslt aM1aV,Y t H . i 1815153 . . > n 89'Q 1r : . ,. . capoitax ' `. CS, .0111._i ) .�• MS iMMK1igMd a tary P o ;e;lhia and for the Mate. "1f day of . 1lPOr ...Sated • r 'M a tin 'dint as t imam *it is rent, t1N iaetnsat as attorney-in-Pact a1V09.INIPOOCTidit • e Delaware cerporatios, an4 aaanovl to a. that ":executed the sans as tits trite and vol tarp art and. eMid. an the free and voluntary act aad deed of • Cni C0MPaMY for the uses and perprses therein set tb. 11 4ieefleer %irzater, I hese Pereunto set try hand and offtcial seal the day aid year last above written. 0•aty' ay� My Omission °settees i. r,., MISSexpuel at?3, 1913 ••e1O1P,FIj ''a . A . ua N.. r'r: • me • A 4 t( JYY �1 .N.� 1 -. 1. •} 5' .11 t 9°tv • • !- q• p Hello