HomeMy WebLinkAbout20071159.tiff �1J Kerr!VtGee
Kerr-McGee Oil&Gas OnShore LP
1999 Broadway,Suite 3700,Denver,Colorado 80202
303-296-3600•Fax 303-296-3601
April 10, 2007
VIA FACSIMILE AND U.S. MAIL
Weld County Board of County Commissioners
4209 CR 24.5
Longmont, Colorado 80504
Re: Ribbons & Rainbows Conference Center-U.S.R. #1578 Application
Shawn Sarchet, Applicant
Township 3 North, Range 66 West, 6th P.M.
Section 21: Part of the N/2 NW/4 (Lot A of Recorded Exemption#1920)
Weld County, Colorado
Dear Board:
This letter is being sent to inform you that Kerr-McGee Oil & Gas Onshore LP
("KMG") holds valid and subsisting oil and gas lease rights in the captioned property.
ICMG's rights may be adversely affected by the Site Specific Development Plan and
Special Review Permit being proposed by Mr. Sarchet. KMG is submitting this comment
and objection timely, in accordance with State of Colorado and Weld County's
procedural requirements.
KMG's recorded oil and gas leases are real property interests entitling it to
produce oil and gas from the leased lands. The company has the right to produce from
existing wells, to maintain, rework, recomplete, and fracture those existing wells to
enhance production, and to drill new wells to produce oil and gas. in accordance with
applicable Colorado Oil and Gas Conservation Commission regulations and Colorado
Statutes. KMG's oil and gas assets have significant value, and the company is
consequently concerned about any development, surface use, plan of use, PUD, zoning or
rezoning, or other action by the County that would impair or preclude its ability to
develop its property.
KMG's preferred practice is to meet with surface owners and attempt to conclude
a mutually acceptable surface use agreement. It is essential that such an agreement be in
place before the County approves Mr. Sarchet's application. However, as of this date,
KMG and Mr. Sarchet have not concluded such an agreement. KMG must object to any
approval by the County of Mr. Sarchet's plans that fail to fully accommodate KMG's
right to explore for, develop and produce oil and gas from its leasehold interests. KMG
requests that the County withhold final plat approval until such time as the surface owner
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2007-1159
Weld County Board of County Commissioners
April 10, 2007
Page 2
and KMG have concluded a surface use agreement. Any future surface development
plans should incorporate and designate lands to be set aside for mineral development and
expressly provide protection for KMG's current and future well, pipelines, gathering
lines and related oil and gas facilities and equipment. The County has a constitutional
obligation to ensure that the property rights of mineral interest owners are accommodated
in its land use planning process. Approval of any surface development plan that
forecloses the rights of mineral owners may be a compensable taking.
Please contact me at 720-264-6772 if you have any questions or comments about
this matter. KMG hopes to conclude a mutually acceptable surface use agreement with
the surface owner of the property and looks forward to working with the Weld County to
accomplish its land use planning goals.
Very truly yours,
KERR-McGEE OIL & GAS ONSHORE LP
Daniel Casper
Senior Staff Landman
cc: Shawn Sarchet c/o Joseph Engels—Applicant (by U.S. mail)
Joseph H. Lorenzo—Kerr-McGee Oil & Gas Onshore LP
Joseph Sanchez—Kerr-McGee Gathering LLC
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