HomeMy WebLinkAbout20032046.tiff OIL AND GAS DIVISION ORDER JE
- r,..i F') C. n (
Date: 6/18/2003
Lease No.:114988011
Lease Name: WOOLLEY U 34-13Ji
" - - Effective Date: Date of First Production
To: 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 Patina Oil & Gas Corporation (hereinafter 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 2 North, Range 68 West, 6th P.M.
Section 34: W/2, J Sand Formation
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 therefor to the undersigned in
accordance with the division of interest schedule as follows:
CreditTo Owner Name Decimal
Owner No. & Address Interest Type
18032 WELD COUNTY CLERK TO THE BOARD 0.00020370 RI
AT WELD COUNTY GOVERNMENT
P.O. 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 therefor 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 therefor 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 therefor 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.
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 therefor, without interest, until such claim or ownership of the interest is settled, fully
adjudicated or otherwise determined, or until the Company is adequately indemnified therefor 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 document.
2003-2046
(it� , -i11ti�/1 LEW'iv
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 schedule.
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 '( COUNTY GOVE3NMENT
84-6000-813
# ' avid E. Long, Cha
te
���
BY r� % . I! r4i� C! n B.. •nn . ! rs
I 11
D Cl- h.s.
t.�Y
Date: 07/16/2003
IMPORTANT: TO AVOID DELAY IN PAYMENT, YOUR CURRENT ADDRESS AND SOCIAL SECURITY
NUMBER OR TAX ACCOUNT NUMBER MUST BE SHOWN
Hello