HomeMy WebLinkAbout20043465.tiff OIL AND GAS DIVISION ORDER JE •
Date: 11/12/2004
Lease No.:113977011
Lease Name: GATEWOOD F 01-12(CDL)
Effective Date: Date of First Sales
To: SOCO Wattenberg Corporation pp) 65:12 3- 110679
c/o Patina Oil &Gas Corporation
1625 Broadway, Suite 2000
Denver, CO 80202
Each of the undersigned, individually, for themselves, their heirs, successors, and assigns, hereby
represents, warrants, and guarantees to SOCO Wattenberg Corporation and Patina Oil & Gas Corporation
(hereinafter collectively referred to as the "Company'), its successors and assigns, that the undersigned is the
legal owner of the decimal interest, as set forth below opposite each undersigned's name, in the proceeds
from all oil, condensates, and natural gas which may be produced from or allocated to the following-
described area or well located in the County of WELD.State of Colorado, and more particularly described as
follows:
Township 5 North. Range 65 West, 6th P.M.
Section 1: N/2SW/4
Commencing on the effective date hereof, the Company is hereby granted and authorized to take
and receive all oil, condensates, and natural gas which may be thereafter produced from the above-described
area or well and, subject to the other terms and conditions hereof, to give credit therefore to the undersigned
in accordance with the division of interest schedule as follows:
CreditTo Owner Owner Name Decimal
No. &Address Interest Type
18032 WELD COUNTY CLERK TO THE BOARD 0.00117580 RI
AT WELD COUNTY GOVERNMENT
PO BOX 758
GREELEY, CO 80632
Additionally, in consideration of the wells drilled or to be drilled on the above-described lands and
the payment to the undersigned of royalties on production from said wells, the undersigned agree, grant, and
represent to and with the Company as follows:
1. Oil (including crude oil and condensate) shall become the property of the purchaser thereof
upon its delivery to the purchaser or to the purchaser's agent or carrier, and payments hereunder shall be
based upon the net price received therefore from the purchaser. Oil shall be graded and measured in
accordance with applicable rules, regulations, or standards generally accepted in the industry. In the event
that the Company is the purchaser of such oil, settlements therefore shall be based upon the Company's
posted price for similar oil in the field where produced and in effect on the date of delivery, or if no posted
price is then in effect, settlements shall be based upon the then prevailing market price on the date of
delivery thereof in the field where produced. If the oil is purchased by the Company and resold to another
purchaser accepting delivery thereof on the premises, settlements hereunder shall be based on the net price
received therefore by the Company. The Company may deduct from any price received for the oil the
reasonable costs of transporting and/or treating the same if incurred.
2. Natural gas, including casinghead gas if marketed with gas well gas, shall be delivered and
sold to and become the property of the pipeline company to whom the gas is agreed to be sold by the
Company. Settlements to the undersigned shall be based upon the terms, conditions and prices for said gas _
as agreed to with the pipeline company and/or gas purchaser less post production costs from the wellhead •
to the point of sale, including but not limited to gathering, compression, transportation, dehydration and •
transmission.
3. Oil and natural gas produced and sold from the premises is•or-may•become-subject to•,:
orders of certain regulatory authorities who could vary the terms of any agreement for the production or sale '
thereof. To the extent that such orders do modify or change current sales or production arrangements,-the --
provisions thereof, as well as the provisions hereof, shall be so modified accordingly. -
4. Settlements hereunder for oil and gas shall be made monthly by the Company mailing.or ,
delivering their check to the undersigned at the address indicated in an amount, less taxes required to be
withheld, calculated in accordance with the schedule of interest as herein contained. Settlements-shall be
mailed no later than the 25th day of each month for oil and/or gas taken or sold during the second
preceding calendar month. If at any settlement date the amount payable to any of the undersigned shall be
less than Twenty-five Dollars ($25), the Company may defer such payment and make payment when such
settlement amount has accumulated to Twenty-five Dollars ($25) but, in any event, not less than annual
intervals.
2004-3465
RETAIN 11-118 COPY
FOR YOUR FELES La-oiag
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5. The undersigned individually warrant that they are the owner of their respective interest as
herein set forth and that in the event of an adverse claim made thereto or in the event ownership of the
undersigned's interest is not substantiated by record examination, the Company may retain any and all
settlements due therefore, without interest, until such claim or ownership of the interest is settled, fully
adjudicated or otherwise determined, or until the Company is adequately indemnified therefore by the
parties claiming such interest. The Company may,at any time,require the undersigned to furnish proof of
its title to its interest,including abstracts of title or other pertinent records or documents.
6. The undersigned shall notify the Company of any change in the ownership of their interest,
and the Company shall not be liable for,nor shall it be required to recognize,any change in ownership unless
and until the Company shall actually receive a certified copy of the instrument changing such interest and
the transferee thereof executes and returns to the Company such transfer order or amended division order as
the Company may reasonably require. In no event shall the Company be required to give effect to any
change of interest of the undersigned prior to the first day of the calendar month next following the month in
which the Company is notified of such change,regardless of the effective date of the instrument transferring
the same.
7. The undersigned hereby represent,grant to,and agree with the Company that the interest
of the undersigned and of the Company in and to the oil and gas which has or which may be produced from
the premises is in full force and effect and that all payments required to be made and all acts required to be
done by the Company with respect thereto have been performed. The undersigned hereby releases the
Company from any and all claims and damages arising from the purchase and handling of oil or gas from the
premises and for making any payments for settlements so long as the same are made in accordance with the
terms of the division of interest.
8. In the event that the area or well described above,or any part thereof,is included in one or
more pooled or unitized units now or hereafter formed by order of any appropriate governmental authority by
agreement or otherwise,the undersigned and the Company recognize and agree that settlement for oil and
gas shall be made in accordance with the production allocated to the premises above described without the
necessity for the execution of additional or supplemental division orders. To the extent that the premises as
described above constitute a previously pooled or unitized area,the same is hereby ratified.The undersigned
hereby expressly ratify and confirm the oil,gas and mineral lease or leases, pursuant to which oil and gas
from the property is being produced and sold,any amendments and supplements to such lease or leases
including any designations, declarations or agreements creating the unit including the above described
property,if such be the case.
9. The provisions hereof shall be binding upon and inure to the benefit of the Company and the
undersigned,their respective heirs,successors,administrators,and assigns. No change in the ownership of
any interest herein described shall have the effect of changing the binding nature hereof. This instrument
may be executed in counterparts with each counterpart considered to be a binding agreement of the
signatories thereto;and all counterparts,as executed,shall be considered to be one instrument.
10. Should it be determined from time to time by the courts,any governmental agency having
jurisdiction, or the Company and the purchaser of production, that the prices or allowances, if any, being
paid to the Company and the amounts being disbursed to the undersigned are in excess of lawful prices or
prices agreed to with the oil or gas purchaser,and a refund is then required,you agree to promptly refund
such excess amounts so paid to you,including interest thereon,if required. Additionally,the Company shall
have the right to recover such excess amounts out of future settlements hereunder to which you are entitled.
11. This division order may be executed in counterparts and shall be binding on and shall inure
to the benefit of each signer hereto,his/her heirs,successors and assigns,whether or not it is executed by
all parties named herein.
WHEREFORE,the undersigned have executed this Division Order in acknowledgment and consent to
the foregoing terms,warranties,and agreements.
Witness
Sign Below: Owner Sign Below: SS No.or Tax ID No.
WELD COUNTY CLERK TO THE BOARD
AT WELD COUNTY GOVERNMENT
\KO 84-6000-813
r' �r By: Robert D. Masden, Chair
t the Bo rd
'1861 •y
---1 ,L : Weld County.Board of Commissioners_ _ - —
__ T
B.a . (970) 356-4000 X4225
Telephone Number
Date: 11/24/2004
IMPORTANT: TO AVOID DELAY IN PAYMENT, YOUR CURRENT ADDRESS AND SOCIAL SECURITY
NUMBER OR TAX ACCOUNT NUMBER MUST BE SHOWN
Q PATINA
OIL&GAS CORPORATION.'
1625 Broadway, Sulte 2000
Denver, Colorado 80202
Dear Interest Owner: (303) 389-3600
(303) 389-3680 Fax
Please read carefully before signing the enclosed oil and gas division orders:
I. Your interest as shown on this instrument should not be altered in any way unless accompanied by
documentary evidence to support the change. We may reject any division orders changed without our
approval. Do not detach Exhibit"A",if applicable.
2. Furnish in writing any change of address information and include your signature. For change in ownership,
furnish copies of properly filed and recorded legal documents affecting title of interest ownership under
which payment is made. Provide a letter describing effect of change.
3. Sign your name EXACTLY AS IT APPEARS ON THE INSTRUMENT. Please have your signature
witnessed by two separate parties.
4. If signing for a corporation,signature must be attested,corporate seal affixed and title of signatory party
shown.
5. If signing for a partnership,all partners must sign,unless signed by an authorized partner and we are
furnished a certified copy of his/her authority.
6. If the instrument is signed by an agent,attorney-in-fact,guardian,estate representative, trustee or any
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party other than the named interest owner,we must have evidence of the rights vested in the signatory
Pay.
7. If an interest is shown jointly for more than one person,each party must sign the division order in the
manner that tis or her name is shown thereon. In the event one party has been designated agent for the
joint interes shown or he/she has been granted a power of attorney for the other party(ies),we must have
evidence to this effect.
8. Insert your Tax Identification Number or Social Security Number,whichever is applicable, in the space
provided. We may withhold payment until such number is received.
9. Confirm the address to which checks are to be mailed. If different,please provide the correct address.
You should notify us promptly of any changes in your mailing address.
10. The number assigned to this property can be found in the upper right corner of the form. The number will
be used to designate this property on your revenue check. Refer to the property number when
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corresponding.
1 I. Return the executed instrument without delay to the address below. KEEP ONE COPY FOR YOUR
RECORDS.
t A=RE
PATINA OIL&GAS CORPORATION
ATTENTION: JUDITH EVANS
1625 BROADWAY,SUITE 2000
DENVER,CO 80202
9
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COUNTY ATTORNEY STAFF APPROVAL
This is to affirm the attached Division Order and Authorization to
• Receive Payment for an Oil and Gas Well has been reviewed by
the County Attorney's staff as to form,le a escription,and
percentage of royalties,if applicab
B :
County omey
DATE:
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