HomeMy WebLinkAbout830013.tiff AR1943843
RESOLUTION
RE: APPROVAL OF GAS DIVISION ORDER CONCERNING NATURAL GAS
ASSOCIATES, P.O. BOX 5493 , DENVER, COLORADO 80217
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
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affairs of Weld County, Colorado, and 0 0
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WHEREAS, Weld County, Colorado is the holder of a certain
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lease with K.C.F. Oil, Inc. Said lease covering mineral acres k n
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more particularly described as follows, to-wit: > '-,
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Township 6 North, Range 66 West of the 6th P.M. Ili co
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Section 26 : LI a
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Weld County, Colorado m
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WHEREAS, Natural Gas Associates has submitted a Gas Divi- H O
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sion Order on the subject property for the Board' s approval , and
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WHEREAS, Weld County is entitled to a one-eighth royalty m
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interest on production, and 0
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WHEREAS, in order to receive said royalty interest, Weld La
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County must execute said Division Order, a copy of which is o
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attached hereto and incorporated herein by reference, and Z 0
WHEREAS, the Board deems it advisable to approve said Divi- tao
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sion Order. n
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NOW, THEREFORE, BE IT RESOLVED by the Board of County Com- n o
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missioners of Weld County, Colorado that the execution of the
Division Order submitted by Natural Gas Associates concerning
the hereinabove described property be, and hereby is , approved.
The above and foregoing Resolution was, on motion duly made
and seconded, adopted by the following vote on the 12th day of
October, A.D. , 1983 .
, f _ BOARD OF COUNTY COMMISSIONERS
ATTn ; ;
tiVW/�[cn"
WEL . UNTY, COL DO
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Wel $ o\1pty' ler ' and Recorder
an c e `k to the .Board
Chuck Carlson, Cfiairman
$�'By:\ ' -GL; -V) (LILO ill--)7 702,2a4.12,7
Ri my Clerk J T. Martin, Pro-Tem
APiROVED S TO FORM: /NO r6 'u
Gene R. Brantner
County Attorney Norman Carlson
J-cquel e Joh sn 830013
LHR 2155 DAY FILE: October 17 , 1983
GAS DIVISION ORDER
TO: Natural Gas Associates
P.O. Box 5493
Denver, Colorado 80217
Attn: Division Order Department Lease * 042
Date September 23, 1983
Plant Eaton
The undersigned, and each of us, certify and guarantee that we are the legal owners of and hereby warrant the title to our respec-
tive interests in the proceeds derived from the sale of gas from the Payne 2-26
lease or unit located in the County or Parish of Weld
State of Colorado more particularly described as follows:
Townshin 6 North, Range 66 West
Section 26
OWNER NO. CREDIT TO DIVISION OF INTEREST DECIMAL
13055 Board of County Commissioners .001895
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** DO NOT REMOVE EXHIBIT "A" PAGE FROM SIGNATURE PAGE ** F F
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date of first run 'fir
Effective 8 AM ,and until further written notice,you are hereby authorized to take l-C c
or retain possession of all Gas from said property(ies) on and after the effective date and to give credit as set forth above for all proceeds z 1/4
derived from the sale of Gas from said property(ies) subject to the conditions,convenants and directions set out below: z a
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FIRST: It is understood that the Gas produced from the above-described property(ies) is being sold under that certain Gas C i
Purchase and Processing Agreement dated , 198—,between KCF Oil Company, Inc. td
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as "Seller" and Natural Gas Associates as "Buyer", and that all terms and covenants contained therein, and in any amend- to F
ments, extensions, or renewals thereof shall govern and be binding upon the parties hereto in all respects which shall include, ti
but not be restricted to, the price to be paid for said Gas and the time when such payments are to be made. As used in this Z IC
Division Order, the term "Gas" shall be deemed to include casinghead gas,gasoline and all other products which Natural Gas n,
Associates receives and/or recovers by processing from Gas produced from wells on said property(ies). tt+71 C.
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All covenants appearing on the reverse side hereof are incorporated herein by reference and the undersigned agree that each shall be c
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deemed and considered an essential part of this division order in like manner and with the same effect as if printed above our signatures. c
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The undersigned expressly waive any claim against you for any and all amounts which may be due us from others for production n
prior to the effective date hereof. 73
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Owners Sign Below Taxpayer Identification No.or c
Signatures of Witnesses (Enter Mailing Address) Social Security Number g c
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tv1AR�' FGU R5.1I I;v. ciFia_a_foa2
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YVejd Cdan1' Q fc•G Recorder On
915 10th Street n
' ♦PP�r _ Address: 0 t
l/ �; JJ Greeley, CO 80631
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SECOND: Payments are to be made monthly by checks of Natural Gas Associates to be delivered or mailed to the parties
thereto entitled at the addresses above given, provided that if the amount due any owner is less than Twenty-Five and 00/100
($25.00) Dollars per month, Natural Gas Associates, at its option, may defer the making of such payment until such time as
the aggregate amount due exceeds said sum.The undersigned authorize Natural Gas associates to withhold from the proceeds
of any and all Gas referred to herein the amount of any tax placed thereon,or on the production thereof, including but not
limited to any severance, production or occupation tax, by any governmental authority, local, state and/or federal, and to
pay the same in our behalf with the proceeds so withheld.
THIRD: In the event of any adverse claim of title or in the event title shall not be satisfactory to Natural Gas Associates at
any time during the term of this Division Order, each of the undersigned agrees to furnish complete abstracts of title and
other evidence of title satisfactory to Natural Gas Associates and authorizes Natural Gas Associates to withhold payment,
without obligation to pay interest on the amount so withheld, until satisfactory indemnity shall be furnished to Natural Gas
Associates against such adverse claims or any such defgcts in title, or until title shall be made satisfactory to Natural Gas
Associates. Each undersigned party, as to the interest of such party hereunder, respectively agrees, in the event suit is filed in
any court affecting title to said Gas, either before or after severance,to indemnify and save harmless Natural Gas Associates
against any and all liability for loss, cost, damage, and expense which Natural Gas Associates may suffer or incur on account '1J
of receiving and paying said party the proceeds derived from the sale of said Gas.Where Natural Gas Associates, pursuant to F r
the provisions hereof, withholds payment, or any part thereof, each undersigned party from whom payment is withheld o2
severally agrees to indemnify and hold Natural Gas Associates harmless of and from all liability for any tax,together with all N o
• interest and penalties incident thereto, imposed or assessed against, or paid by it on account of the sum or sums so withheld
from payment to said party, and deduct all such taxes, interest and penalties so paid by it from any sums owing by it to said
party. • o
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FOURTH: The undersigned severally agree to notify Natural Gas Associates of any change of ownership,and no transfer of ▪ 00p,
interest shall be binding upon Natural Gas Associates until transfer order and the recorded instrument evidencing such trans- • (-0fer, or a certified copy thereof,shall be furnished to Natural Gas Associates. Transfer of interest shall be made effective 8 AM
on the first day of the calendar month in which proper notice is received by Natural Gas Associates. Natural Gas Associates is H 0
hereby relieved of any responsibility for determining if and when any of the interests hereinabove set forth shall or should r-ico
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revert to or be owned by other parties as a result of the completion or discharge of money or other payments from said Z
interests, and the signers hereof whose interests are affected by such money or other payments, if any, agree to give Natural t7 m
Gas Associates notice in writing by registered letter addressed to Natural Gas Associates, P.O Box 5493, Denver, Colorado
80217, Attn: Division Order Department, when any such money or other payments have been completed or discharged,or 7C• N
when any division of interest other than that set forth above shall, for any reason, become effective and to furnish transfer � ••
order accordingly, and that in the event such notice shall not be received, Natural Gas Associates shall be held harmless in the ;o 0
event of,and is hereby released from any and all damage or loss which might arise out of,any overpayment. h7
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FIFTH: If any portion of the proceeds derived from the sale of Gas is subject to refund under any order, rule or regulation h7 0
of the Federal Energy Regulatory Commission or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1978, £ o
Natural Gas Associates may hold without interest the portion of the proceeds subject to refund unless indemnity satisfactory tai 0
to Natural Gas Associates has been furnished, or until Natural Gas Associates' refund obligation has been finally determined. C7
If any portion of the proceeds derived from the sale of Gas and paid over by Natural Gas Associates under any order, rule or n
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regulation of the Federal Energy Regulatory Commission or the provisions of the Natural Gas Act or Natural Gas Policy Act
of 1978, Natural Gas Associates is authorized to recover the amount of the refund applicable to the interest of each of the 8 o
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undersigned from future payments, or at Natural Gas Associates' election, it may invoice the undersigned therefor, plus the o
legal rate of interest Natural Gas Associates is or may be required to pay in connection with the undersigned's portion of the
refund.
SIXTH: This Division Order shall become valid and binding upon each and every owner above named upon execution hereof
by such owner regardless of whether or not any of the other above-named owners have so signed. If the provisions of this
Division Order are in conflict with the provisions of any oil and gas lease covering the above described property(ies), the
provisions of this Division Order shall prevail. Each undersigned owner ratifies and confirms his oil and gas lease as being in
full force and effect as of the date hereof. �Y
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KCF OIL, INC.
2700 Youngfield, Suite 200
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#' Denver, CO 80215
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(303) 233-1502
September 29, 1983
Board of County Commissioners
Weld County
Centennial Building
Greeley, CO 80631
Dear Sirs:
Enclosed you will find a gas division order to be signed
and executed by you. The reason for this is that the check
for the gas coming from the Payne 2-26 will now be issued
by Natural Gas Associates .
Please sign the papers and have them witnessed and return
them to Natural Gas Associates whose address is at the top
of the division order .
Thank you for your prompt attention to this matter.
Very truly yours,
C„_ • .
William C. Kerst
Enclosure
WCK/ds
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17 7 rt j V nyQ,
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I 1983
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