HomeMy WebLinkAbout20063538 Mil •
3405198 07/24/2006 01:56P Weld County, CO
198 1 of 1 R 6.00 D 0.00 Steve Moreno Clerk& Recorder
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
.c`f'�G' ?cY,,,,,,,.:cfcc,,, cr, ,t,c≤:,,K 2,-,c.,,cY' ,,,I,K,cY><e),K.: .sx,occ, r,,C. f, '.crcrcrcrc,..-r,
K
Sl k
tate of California
/ lss.
County of f ! Gv ✓ J l
On .J EA— I U P-1 : _n n to before me, "L'-- 4 Le.*...- y•- Lv J 4' . I (_ ,
Date f Name and Ede of Officer le g."Jane Doe, olary Pudic)77)I. personally appeared _ c(�.c.- -€ C C . I .•,....L_ - \\f 1 .r A Pre f r�42-vm_*
Hornets/of Signerlsl
I'
2ersonally known to me
F. E proved to me on the basis of satisfactory
evidence
to be the person(s(whose name(sfd tare
subscribed to the within instrument and
acknowledged to me that&/she/they executed
O the same in 01s/her/their authorized
0 IOWA ALIFOR UG IA•KEY019MO9'I ca acit and that b 'Skier/their
m crsaan-rElwoourtv x P Yl�r by
I. *Ca E .Ma 19.200{` signature-(zz on the instrument the person46), or
the entity upon behalf of which the person(s)
acted, executed the instrument.
WITNESS my hand and official seal.
•t-C--4 Cs c .J 1,--1.C ,
Signature of Notary Public
OPTIONAL
Though the information below is not required by law,it may prove valuable to persons relying on the document and could prevent
fraudulent removal and reattachment of this form to another document
Description of Attached Document
Title or Type of Document:
Document Date: __Number of Pages:
Signer(s)Other Than Named Above:
Capacity(ies) Claimed by Signer
Signer's Name: RIGHT THUMBPRINT
OF SIGNER
1 C Individual Top of thumb here
g I- Corporate Officer — Title(s):
Ig i Partner — ❑ Limited ❑ General
8 Attorney-in-Fact
�k�N DTrustee
F' LI Guardian or Conservator
H Other I
Signer Is Representing:
.4.0 Wleac?Z c'" " ,.. '_ __" gR,:Kt9Cc-`r.:" C(` ^Cti`CC.`Ulcc.`CiJ ` C,<•;••Ok.N`Ft'.'CSW.l< ,csa•
N 1999 National Notary Association-9350 De Soto Ave PO Box 2402•Chatsworth,CA 91313-2402•way+nati0nalnolaryorg Prod.No.5907 Reorder:Call TWhFree 1-800-876-6827
aceo -353 '
Page 1 of 1
•
•
Chris Gathman
From: Chris Gathman
Sent: Thursday, June 08, 2006 1:44 PM
To: 'intermill@gwest.net'
Subject: PZ-600 (Distant Thunder)
Jarvis,
I got clarification from the County Attorney's Office regarding PZ-600 (Distant Thunder):
1) PZ-600 was in fact approved conceptually by the Board of County Commissioners. The final plat will
therefore be heard by the Board of County Commissioners.
2)The Change of Zone plat: Because the change of zone for Distant Thunder was conceptually approved the
proposed lot lines, utility easements, drill windows do not need to be indicated on the change of zone plat. The
Change of Zone Plat will simply delineate the exterior boundaries of the parcel. Once we get a revised change of
zone plat that shows this we can record it.
If you have any questions, feel free to contact me.
Sincerely,
Chris Gathman
06/08/2006
Page 1 of 1
• •
Chris Gathman
From: Bruce Barker
Sent: Thursday, June 08, 2006 11:36 AM
To: Chris Gathman
Cc: Esther Gesick; Cyndy Giauque
Subject: RE: PZ-600 (Distant Thunder PUD)
Chris: We probably need to have the Board approve a corrected resolution to accurately reflect the
recommendation of staff that was being accepted. I will forward this reply to Esther. Please work with her on
getting that corrected.
I agree with you on #2. Just put the drilling windows on the final plat in that circumstance.
Bruce.
From: Chris Gathman
Sent: Thursday, June 08, 2006 8:11 AM
To: Bruce Barker
Subject: PZ-600 (Distant Thunder PUD)
Bruce,
I have a couple of questions re: this PUD.
1)When staff presented it before the Board --staff recommended that the case be heard by the Board at final plat
stage (a conceptual approval). The Board motioned to approve based on the recommendations of Planning staff
and Planning Commission. The question is that staffs recommendation was that the case be reviewed
administratively (this recommendation was listed in the recommendation criteria). Evidently this staff
recommendation was inadvertently transferred over to the Board Resolution. So we have a situation where staff
recommended conceptual review at the Board change of zone hearing but the language on the resolution stated
that Planning staff recommended administrative review of the final plat.
Any idea of what takes precedence? (Should the final plat be heard by the Board at the change of zone or should
it be administratively reviewed by staff)?
2)Also, the plat presented to the Board at change of zone did not indicate future drilling windows. It was stated
by Lee Morrison that drilling windows would need to be indicated if the applicants could not reach an agreement.
They did not reach an agreement with one of the oil and gas interests on the site and are now showing drilling
windows on the change of zone plat.
If it is determined that the plat needs to be reviewed by the Board at final can they leave the drilling windows off of
the change of zone plat(just show the exterior boundaries of the property) and then indicate the lot boundaries
and drilling window boundaries on the final plat to be presented to the Board (because it does constrain the
buildable area on three of the lots)?
Thanks,
Chris Gathman
06/08/2006
• •
AMU
2j3278280 12:35P Weld County, Co
1 of 8 R01111.00 D 0.00 Steve Moreno Clerk 8 Recorder
SURFACE USE AGREEMENT
This Surface Use Agreement ("Agreement") is entered into and made effective this
day of March 2005, and is between Kerr McGee Rocky Mountain Corporation ("KMG") with an
address of 1999 Broadway, Suite 3600, Denver, CO 80202, and JZM, LLC, with an address of
4200 Weld County Road 19, Fort Lupton, CO 80621, herein after referred to as "Surface
Owner".
A. Surface Owner owns the surface estate of that certain tract of land more
particularly described on Exhibit "A" attached hereto, being the N/2SW/4 of Section 10,
Township 1 North,Range 67 West, Weld County, Colorado (hereinafter referred to as the
"Property");
B. Surface ownership of the Property is subject to the rights of the oil and gas
mineral leasehold estate, which a portion is now owned by ICMG;
C. Surface Owner plans to develop the surface of the Property as a residential
subdivision known as"Distant Thunder PUD";
D. KMG has the right to develop its oil and gas leasehold estate on the Property; and
E. This Agreement sets forth the parties' rights and obligations regarding the
relationship between the development of the Property by Surface Owner and ICMG's
operation and development of its oil and gas leasehold estate, such rights and obligations
to be binding upon the parties' successors and assigns.
In consideration of the mutual covenants contained herein, and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as
follows:
1. AREAS RESERVED FOR FUTURE WELLS.
Surface Owner shall provide KMG the areas designated on Exhibit"A"(the"Oil and Gas
Operations Areas"), in its present condition, for any operations conducted by KMG in
connection with Future Wells, including, but not limited to, production activities, workovers,
well deepenings, recompletions, fracturing and replacement wells. Except for the area included
within the Oil and Gas Operations Areas, and including the access roads and all access and
necessary easements associated with flowlines, gathering lines and pipelines as provided in this
Agreement, KMG shall not occupy the surface of the Property for any Future Wells except in the
event of an emergency or for reasonable incidental, temporary and non-damaging activities, and
KMG shall be strictly and solely responsible for any damages that may occur as a result of
ICMG's activity on such portions of the Property.
1111111 11111 11111 1111111 III EII IIII IIII
3278280 04/18/2005 12:35P Weld County, CO
2 of 8 R 41.00 D 0.00 Steve Moreno Clerk& Recorder
2. WELL LOCATIONS.
KMG shall have the right to drill wells within the Oil and Gas Operations Areas,
including horizontal and directional wells that produce from and drain lands other than the
Property provided such lands are validly pooled with all or any portion of the lands included in
KMG's oil and gas lease covering the Property, and so long as such locations are permitted
locations under the then applicable well spacing regulations of the Colorado Oil and Gas
Conservation Commission ("COGCC") or exceptions granted thereto by the Director of the
COGCC, and the Surface Owner shall not protest or object to any such exception location.
KMG shall not otherwise have the right to drill new wells on the Property.
3. SETBACK REQUIREMENTS AND WAIVERS.
The Oil and Gas Operations Areas are more particularly described on the attached
Exhibit"A". Surface Owner will not locate any building or structure within the Oil and Gas
Operations Area. KMG's operations within the Oil and Gas Operations Areas shall include all
reasonably necessary use of the surface, including access to such area as shall be mutually agreed
upon by the Parties for use of the surface for maintenance, well deepenings, recompletions,
workovers, fracturing and other production activities required for reasonably prudent operations
of any wells drilled on the Property.
Surface Owner understands and acknowledges that the COGCC has rules and regulations
that apply to the distance between a wellhead and public roads, production facilities, building
units and surface property lines, among other things. Surface Owner hereby waives all setback
requirements in the COGCC Rule 603, or any successor rule or amendment to the COGCC
setback rules, and to any other state or local setback requirements or other requirements or
regulations that are or become inconsistent with this Agreement or that would prohibit or
interfere with the rights of KMG its successors and assigns, to explore for and produce the oil
and gas in accordance with this Agreement. Surface Owner understands, and should inform
subsequent owners of the Property or any portion thereof, that KMG or its successors and assigns
may cite the waiver in this paragraph in order to obtain a location requirement exception or
variance under COGCC rules or from a local jurisdiction consistent with the operations within
the Oil and Gas Operations Areas as contemplated by this Agreement. Surface Owner agrees not
to object to the use of the surface in the Oil and Gas Operations Areas consistent with this
Agreement and that it will provide KMG or its successors and assigns with whatever written
support they may reasonably require to obtain permits from the COGCC or any local
jurisdiction.
KMG shall endeavor to diligently pursue any drilling operations to minimize the total
time period and to avoid rig relocations or startup during the course of drilling. Surface Owner
waives any objections to continuous(i.e., 24-hour)drilling operations.
4. ACCESS.
Surface Owner shall provide to KMG all necessary easements for access to the Oil and
Gas Operations Areas. Such access shall be mutually agreed upon by the Parties and shall be of
sufficient scope to allow KMG to conduct any operations contemplated for the Future Wells.
The access roads to be used by KMG will be those roads either that are in place or those that are
11111111111IIIIIIIIIIOVUM 11111111111111
3278280 04/18/2005 12:35P Weld County, CO
3 of 8 R 41.00 D 0.00 Steve Moreno Clerk& Recorder
anticipated to be constructed by Surface Owner at Surface Owner's sole cost and expense as part
of Surface Owner's development of the Property.
5. BATTERIES AND EQUIPMENT.
KMG shall have the right to locate, build, repair and maintain tanks, separators,
dehydrators, compressors and other equipment reasonably appropriate for the operation and
production of the Future Wells within the Oil and Gas Operations Areas on Exhibit"A".
With respect to KMG's equipment and facilities other than flowlines:
a. KMG shall install and maintain, at its sole cost and expense, all fences
around Future Wells in compliance with the Rules and Regulations of the COGCC;
b. KMG shall install and maintain, at its sole cost and expense, all gates and
locks necessary for the security of any wells or facilities in the Oil and Gas Operations
Areas. Such gates and locks shall be the standard gates and locks used by KMG ;
c. KMG shall paint any production facilities for any wells, including
wellhead guards,with paint that is approved by the COGCC; and
d. Surface Owner shall not inhibit KMG's access to the Oil and Gas
Operations Areas or inhibit KMG's operations within the Oil and Gas Operation Areas
by landscaping or other improvements, unless otherwise agreed upon between Surface
Owner and KMG.
6. FLOWLINES AND PIPELINES.
KMG shall have the right to replace any and all flowlines, gathering lines and pipelines
for gas and liquids, including replacement of any future lines as provided herein, necessary in
connection with KMG's production and transportation of oil and gas from any wells on the
Property. All flowlines and pipelines shall be located at a depth of approximately 48 inches from
the surface. The construction and burying of additional flowlines, gathering lines and pipelines
shall be at the sole cost and expense of KMG or its gas purchaser. Should Surface Owner
request any future or additional relocation of existing flowlines or pipelines,or request relocation
of any flowlines or pipelines hereinafter constructed on the Property, and KMG agrees to such
relocation, Surface Owner shall be responsible for any and all relocation costs. Surface Owner
shall maintain a minimum of 48 inches and not more than 72 inches of cover over all pipelines
and flowlines during any of Surface Owner's operations.
7. NOTICE OF FUTURE OPERATIONS.
KMG shall provide at least seven days prior written notice to Surface Owner of any
operations in connection with the reworking, fracturing, deepening or other operation on any
Future Well or any replacement well; provided, however, that KMG shall provide at least 30
days prior written notice to Surface Owner of the initial drilling of any Future Well. Regardless
of the foregoing notice requirements, KMG shall have immediate access in the event of an
emergency.
1111111 11111 HE IIIN 0111111111
3278280 04/18/2005 12:35P Weld County, CO
4 of 8 R 41.00 D 0.00 Steve Moreno Clerk& Recorder
The notification of operations shall describe the following:
1. The proposed starting date for the proposed activity;
2. The proposed operations to be performed at the site;
3. The approximate duration of the proposed activities.
Not less than five working days prior to KMG's mobilization on the applicable Oil and
Gas Operations Areas, either KMG or Surface Owner may request an on-site meeting. The
purpose of the meeting shall be to inform Surface Owner of the expected activity and to
coordinate site access, hazards, barricades, restoration or any other issues that affect the use of
and the safety of Surface Owner's development.
8. NOTICES TO HOMEOWNERS AND BUILDERS.
Surface Owner shall furnish all buyers of the Property from Surface Owner with a plat or
map showing the Oil and Gas Operations Areas. In addition, Surface Owner shall provide notice
to all builders, homeowners and other buyers of the Property from Surface Owner and the
homeowner associations that:
a. Such buyers are not purchasing and do not own any interest in the oil and
gas mineral estate;
b. There may be ongoing oil and gas operations and production in the Oil
and Gas Operations Areas on the surface of the Property;
c. Future purchasers of all or a portion of the Property, as successors in
interest to Surface Owner, will be acquiring a proportionate interest in Surface Owner's
rights under this Agreement and assuming those obligations undertaken by Surface
Owner pursuant to this Agreement; and
d. Homeowner associations and buyers of individual lots or homes, as
successors in interest to Surface Owner, will be acquiring a proportionate interest in
Surface Owner's rights under this Agreement, and will be subject to the waivers
contained in Sections 11 and 12 and the covenants contained in Section 3 prohibiting the
location of any building or structure within the Oil and Gas Operations Areas and
waiving objection to any setback rules of the COGCC or any local jurisdiction.
9. GOVERNMENTAL PROCEEDINGS.
Surface Owner shall not oppose KMG in any agency or governmental proceedings,
including but not limited to the COGCC, Weld County or other governing body proceedings,
related to KMG's operations on the Property, including but not limited to drilling, workovers,
well deepenings and recompletions, provided that KMG's position in such proceedings is
consistent with this Agreement.
11111111111111111111118/2005 1II111 I��W elI�II� Ent
5 of 8 R 41.00 0 0.00 Steve Moreno Clerk& Recorder
10. REPRESENTATIONS.
Each party represents that it has the full right and authority to enter into this Agreement.
KMG does not represent that it has rights to settle matters for all of the mineral owners in the
Property, and this Agreement shall only apply to and bind the KMG leasehold interest in the
property.
11. SUCCESSORS.
The terms, covenants and conditions hereof shall be binding upon and shall inure to the
benefit of the parties and their respective heirs, devises, executors, administrators, successors and
assigns; provided, as to KMG, successors and assigns shall be deemed to be limited to lessees
under the oil and gas leases which KMG owns.
12. TERM.
This Agreement shall become effective when it is fully executed and shall remain in full
force and effect until KMG's leasehold estate expires or is terminated, and KMG has plugged
and abandoned all wells owned all or in part by KMG and complied with the requirements of all
applicable oil and gas leases pertaining to removal of equipment, reclamation, cleanup and all
other applicable provisions of the leases and existing laws and regulations. If Surface Owner
does not obtain and record an approved plat covering the Property within two years of the date of
this agreement,this agreement shall automatically terminate and become null and void.
13. NOTICES.
Any notice or other communication required or permitted under this Agreement shall be
sufficient if deposited in U.S. Mail,postage prepaid,addressed to each of the following:
If to KMG:
Kerr McGee Rocky Mountain Corporation
1999 Broadway, Suite 3600
Denver, Colorado 80202
Attention: Director of Lands Denver Basin
If to Surface Owner:
JZM, LLC
4200 Weld County 19
Fort Lupton, CO 80621
Attention: John Zadel
Any party may, by written notice so delivered to the other parties, change the address or
individual to which delivery shall thereafter be made.
1111111111111111111111111111IIII1111111III111111111 Jill
3278280 04/18/2006 12:36P Weld County, CO
6 of 8 R 41.00 D 0.00 Steve Moreno Clerk& Recorder
14. RECORDING.
This Agreement, any amendment hereto, shall be recorded by KMG, which shall provide
the other parties with a copy showing the recording information as soon as practicable thereafter.
15. SURFACE DAMAGES; WAIVER OF PAYMENTS.
15.1 In consideration of the Parties'respective rights, obligations and benefits, as
outlined herein,this Agreement shall constitute the surface use or surface damage agreement
provided for under the COGCC'sRules and Regulations or under any oil and gas lease covering
the Property.
15.2 The term "surface damage payments" as used herein shall be given the meaning
commonly used in the oil and gas industry. As part of the consideration for this limitation by
KMG, of what would otherwise be the right to make reasonable use of any part of the Property in
the conduct of its operations, KMG shall not be obligated to pay, and Surface Owner hereby
waives any right to receive, any further surface damage payments, license or use fees including
all damages provided for under any oil and gas lease or leases now or hereafter covering the
Property, with respect to any operations conducted on the Oil and Gas Operations Areas or
upon access roads, flowlines, gas gathering pipelines, or other easements used in connection
with the Oil and Gas Operations Areas. KMG may provide a copy of this Agreement to the
COGCC or to any local jurisdiction, person or entity or any court of law as evidence of this
waiver. The waiver of surface damages provided herein shall include any claim for excessive
surface use insofar as the Oil and Gas Operations Areas is used to produce oil and gas from
any portion of the Property or other lands pooled therewith. In the event ICMRMC is ever
required to cross, occupy or utilize any part of the Property other than the Oil and Gas
Operations Areas, the access roads thereto or any ROWs used in connection with the Oil and
Gas Operations Areas, KMRMC shall be liable for any and all damages that may occur as a
result thereof.
16. ARBITRATION.
Any controversy or claim arising out of or relating to this Agreement, or the breach
thereof, shall be resolved by arbitration conducted in Denver, Colorado and shall be administered
by the American Arbitration Association under its commercial rules, and judgment on the award
rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.
17. APPLICABLE LAW.
This Agreement shall be governed by and construed in accordance with the laws of the
State of Colorado,without reference to its conflict of laws provisions.
18. ENTIRE AGREEMENT.
This Agreement sets forth the entire understanding among the parties hereto regarding the
matters addressed herein, and supersedes any previous communications, representations or
agreement, whether oral or written. This Agreement shall not be amended, except by written
document signed by all parties.
111111111111111111111111111gill III HM III
3278280 04/18/2005 12:35P Weld County, CO
7 of 8 R 41.00 D 0.00 Steve Moreno Clerk& Recorder
19. EXECUTION AND BINDING EFFECT.
This Agreement may be executed in any number of counterparts each of which shall be
deemed an original instrument but all of which together shall constitute one and the same
instrument, and shall be binding upon and inure to the benefit of the parties, and each of their
respective heirs, executors, administrators, successors and assigns and is executed by the parties
as of the Effective Date set forth above.
The parties have executed this Agreement on the day and year first above written.
KERB M % ROC • MOU AIN CORPORATION
By: t
J ESP. ASeN
Att ey-in-F:
JZM, LLC
ByJNy.? L
W. 7 L
Manager
ACKNOWLEDGMENTS
STATE OF COLORADO )
CITY AND )ss.
COUNTY OF DENVER )
� A4pr: l
The foregoing instrument was acknowledged before me this 141-day of tvfarch.2005, by
JAMES P. WASON as Attorney-in-Fact for Kerr McGee Rocky Mountain Corporation, on behalf
of such corporation.
Witness my hand and official seal. - / � 0 Aq�!�'�'
N Public
My Commission Expires: / ,
' ,,N... o i
STATE OF COLORADO ) i fip.n3L�.0,tv,•o.„-„%o
)ss.
COUNTY OF WELD ) 14021111101B0103/1512008
e foregoing instrument was acknowledged before me this 2j. day of March 2005, by
•"' E as Manager of JZM,LLC,on behalf of said company.
, c i L Ry' y hand and official seal.
«: <<� ,.�- et/a/, to_ Cza.L -
.,p \G .e z Notary Public
ii
`�t3JUt�}nintic thxpires:_3 - 100,
.MMMM\FM\\1
ir
IC
ti
,, r@
Mal ii
if
IS a
9
-_
I-, half
i Ili illi C-5‘I lisl 1
tw r J -___. ,
0 Y e ,I ' a ;dill ,°(itii l,li
Ai pl
IS IT: U: of i �I a ifli
11.B iii
_—'tr—_ _— — y_ _ _ III
_y � 1-I 9 ,'l P P11
,III
40 - tire
ir
ii li @ ) ,. ., ..‘ti /,,„I
i0 g ,
1 "i , , ...,,,, , ,, .,.
lull iiii II I
gill
r , ID i'' 1 iii-.lilt I iiip �I • , dIif 1 ; n it
Ai II I. 1 : lilt .:••••:, In • ; ; :" "Ell 1 1
- 1'Ispr;— -- . ' r-- - -- I
igg
if
ll
:IL ill 1 it
y 1r,1u 1 �
`J
Jepioaay f 41010 ouwow analg 00'0 0 00'IV y 8 Jo 8
1111111111111'1411000
I 111111111 E l 1111111111111111411111111111 I
• •
Hello