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Home My WebLink About850656.tiff RESOLUTION RE: APPROVAL OF USE BY SPECIAL REVIEW FOR OIL AND GAS PRODUCTION FACILITIES IN AN R-1 (LOW DENSITY RESIDENTIAL) ZONE DISTRICT - BASIN EXPLORATION, INC. (SANDUSKY WELLS) 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 affairs of Weld County, Colorado, and WHEREAS, the Board of County Commissioners held a public hearing on the 17th day of April, 1985 , at the hour of 2 : 00 p.m. in the Chambers of the Board for the purpose of hearing the application of Basin Exploration, Inc. , 155 East Boardwalk Drive, #300 , Fort Collins, Colorado 80525 , for a Use by Special Review for oil and gas production facilities in an R-1 (Low Density Residential) Zone District on the following described real estate, to-wit: S1 NWa, Section 15 , Township 5 North, Range 65 West of the 6th P.M. , Weld County, Colorado WHEREAS, Section 24 . 4 . 2 of the Weld County Zoning Ordinance provides standards for review of said Use by Special Review, and WHEREAS, the Board of County Commissioners heard all of the testimony and statements of those present, has studied the request of the applicant and the recommendations of the Weld County Planning Commission and all of the exhibits and evidence presented in this matter and, having been fully informed, finds that this request shall be approved for the following reasons: 1 . The submitted materials are in compliance with the application requirements of Section 24 .7 of the Weld County Zoning Ordinance. 2 . It is the opinion of the Board of County Commissioners that the applicant has shown compliance with Section 24 .4 .2 of the Weld County Zoning Ordinance as follows: a. All mineral resources are fixed in location. The mineral extraction industry is, therefore, restricted in its operation to those areas where the resources lay. The subject site is zoned R-1 (Low Density Residential) , but the site is not platted for residential development and is currently used for agricultural production. The Comprehensive Plan policies encourage mineral extraction prior to residential development. 8 50 65 6 �vo43 Page 2 RE: USR - BASIN EXPLORATION, INC. (SANDUSKY WELLS) Residential development on the subject site could reduce the feasibility of ever developing the minerals in question. Therefore, the proposal is consistent with the policies of the Weld County Comprehensive Plan. b. The proposal is allowed as a Use by Special Review in a Residential Zone District. c. The Greeley Planning Commission has recommended no objection to this proposal. Their concerns , however, are addressed in the Operation Standards. d. The attached Operation Standards will make the proposal compatible with existing and future development of the surrounding area as permitted by the existing zoning and with future development as projected by the Comprehensive Plan of the affected municipality. e. The use would be compatible with the existing surrounding land uses . Agricultural production uses exist north, east, south and west of the subject site. f. The location of the Sandusky #2 well is situated in the 100-year floodplain of the South Platte River. The placement of tank batteries at the proposed locations will require compliance with Section 53 of the Weld County Zoning Ordinance and the submission of a Flood Hazard Development Permit. g. Use by Special Review Operation and Design Standards provide adequate protection of the health, safety and welfare of the neighborhood and County. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the application for a Use by Special Review for oil and gas production facilities in an R-1 (Low Density Residential) Zone District on the hereinabove described parcel of land be, and hereby is, granted subject to the following conditions: 1 . The attached Standards for Use by Special Review be adopted and placed on the Use by Special Review plat prior to recording. Page 3 RE: USR - BASIN EXPLORATION, INC. (SANDUSKY WELLS) 2 . No building or electrical permits shall be issued for the Use by Special Review Permit area until the plat has been delivered to the Department of Planning Services Office and compliance with Operation Standard #2 has been met. The prescribed Use by Special Review activity shall not occur and building or electrical permits shall not be issued until the Use by Special Review plat has been recorded in the office of the Weld County Clerk and Recorder. 3 . The applicant and/or operator shall be required to obtain all applicable building or electrical permits for USR-665 :84 : 3 . 4 . The operator shall submit a copy of a policy of insurance in the amount of five hundred thousand dollars ($500 ,000 .00) insuring the applicant and the County against all claims or cause of action made against either or both the applicant and the County for damages to persons or property arising out of the drilling, maintenance, production or other work done with respect to such proposed oil and gas wells . Such policies shall be written by a company authorized to do business in the State of Colorado. Evidence of the insurance policy shall be filed with the Department of Planning Services. In case the insurance policy required shall lapse or become void for any reason whatsoever, the Use by Special Review Permit shall cease to exist until a new insurance policy is provided and filed with the Department of Planning Services. All well activity shall be shut down and all operations and production thereof shall be suspended and discontinued , consistent with safety considerations , unti lthe operator provides evidence of insurance in the prescribed amount. 5 . The applicant shall submit a revised mylar plot plan to the Department of Planning Services showing all oil and gas production facilities and their exact locations. Page 4 RE: USR - BASIN EXPLORATION, INC. (SANDUSKY WELLS) The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 17th day of April, A.D. , 1985 . /J ..,,4L BOARD OF COUNTY COMMISSIONERS ATTEST: j� 4A"A.;..$O,-►4011,4,...1 WELD COUNTY, COLORADO 0 Weld County erk and Recorder O,.,cc,sq�,, and Clerk to the Board J qgu ine 7Jo on, Chairman d t (il '�•r • Gene R. Brantner, Pro-Tem D puty County C rk APPROVED AS TO FORM: C.W. ®772 o :7�� .cy C�2ir fi/� onnty torney Frank Ya uchi OPERATION STANDARDS Basin Exploration, Inc. (Sandusky Wells) USR-665 : 85 : 3 1 . The permitted use shall be oil and gas production facilities as described in the submitted application materials , and as located on the Use by Special Review plat. 2 . Petroleum products and compressed flammable gases are hazardous substances per C.R.S. 29-22-107 (2) (a) . Prior to drilling the applicant shall provide a list of the maximum quantities of hazardous substances expected at the sites and emergency phone numbers to the State Health Department - Division of Waste Management, the Weld County Emergency Response Coordinator, and the Western Hills Fire Protection District. Evidence of this listing and emergency phone number shall be provided to the Department of Planning Services prior to the issuance of building permits. 3 . The drilling and production of any well shall comply with the Colorado Oil and Gas Conservation Commission regulations pertaining to oil and gas drilling rules. The applicant shall also comply with the City of Greeley' s oil and gas drilling requirements . 4 . The applicant shall comply with all Western Hills Fire Protection District requirements. 5 . Prior to start-up of the activity, the operator shall provide the Western Hills Fire Protection District a list of four (4) names, phone numbers , and addresses of responsible parties it can contact in case of an emergency. 6 . Prior to start-up of the activity, a metal sign shall be placed at the entrance to the well site indicating the name and telephone number of the person (s) to contact in the event of an emergency. 7. Prior to and at the conclusion of any flaring, the Weld County Communications Center shall be notified. 8 . An electric pump shall be used in conjunction with any producing oil well on the site. 9 . All oil & gas production facilities shall be designed to meet the following standards : a. The tank battery cluster shall be bermed to contain the greatest amount of liquid that can be released from the largest tank, assuming a full tank; and b. A six (6) foot chain link fence with a three (3) strand barbed wire top shall enclose the tank battery cluster and the well head. 10 . Brine water produced at the site during oil and gas production shall be disposed of by formation injection or disposal into a commercial brine disposal site. 11 . Drilling muds can be used as an agricultural enhancement. The drilling muds MUST be applied and disked into sandy soils with the landowner' s consent. 12 . Upon cessation of the proposed use, the oil and gas production facilities shall be removed and the land shall be reclaimed to its prior use. 13 . In the event that a final plat subdivision application is submitted within the subject Use by Special Review area to the Weld County Planning Department or the City of Greeley Planning Department, the Operation Standards of USR-665 :85 :3 shall be reconsidered through the Use by Special Review application process. The intent of this standard is to review the appropriateness of landscaping around the oil & gas facilities area and not the proposed use. 14 . The applicant shall comply with the design standards for the Use by Special Review, Section 24 .5 et seq. , of the Weld County Zoning Ordinance. 15 . The applicant shall comply with the Operation Standards for Uses by Special Review, Section 24 . 6 et seq. , of the Weld County Zoning Ordinance. 16. Representatives or members of the Weld County Health Department and Weld County Department of Planning Services shall be granted access onto the site at any reasonable time in order to insure the operations carried out on the site comply with the Operation Standards stated hereon and all applicable Weld County Regulations . 17 . The Use by Special Review area shall be limited to the plans shown hereon and governed by the Standards as stated above and all applicable Weld County Regulations. Any material deviations from the plans and/or Standards as shown or stated above shall require the approval of an amendment of the Permit by the Weld County Planning Commission and the Board of County Commissioners before such changes from the plans and/or Standards are permitted. Any other changes shall be filed in the office of the Department of Planning Services. 18 . The applicant and/or operator for this operation shall be responsible for complying with all of the above stated Standards . Noncompliance with any of the above stated Standards may be reason for revocation of the Permit by the Board of County Commissioners. HEARING CERTIFICATION DOCKET NO. 85-14 RE: USE BY SPECIAL REVIEW FOR OIL AND GAS PRODUCTION FACILITIES IN AN R-1 (LOW DENSITY RESIDENTIAL) ZONE DISTRICT - BASIN EXPLORATION, INC. (SANDUSKY WELLS) A public hearing was conducted on April 17, 1985, at 2:00 P.M. , with the following present: Commissioner Jacqueline Johnson, Chairman Commissioner Gene Brantner, Pro-Tem Commissioner C.W. Kirby Commissioner Gordon E. Lacy Commissioner Frank Yamaguchi Also present: Acting Clerk to the Board, Tommie Antuna Assistant County Attorney, Lee D. Morrison Planning Department representative, Rod Allison The following business was transacted: I hereby certify that pursuant to a notice dated March 25, 1985, and duly published April 4, 1985, in the La Salle Leader, a public hearing was conducted to consider the request of Basin Exploration, Inc. for a Use by Special Review for oil and gas production facilities, known as Sandusky Wells, in an R-1 (Low Density Residential) Zone District. Lee Morrison, Assistant County Attorney, made this matter of record. Rod Allison, representing the Planning Department, read the favorable recommendation of the Planning Commission into the record. He said the recommendation contains 5 conditions and 18 Operation Standards. Les Kalan, president of Basin Exploration, Inc. , came forward to answer questions of the Board. Commissioner Lacy moved to approve the Use by Special Review for Basin Exploration, Inc. , for oil and gas production facilities in an R-1 Zone District. Commissioner Yamaguchi seconded the motion which carried unanimously. APPROVED: ]� n BOARD OF COUNTY COMMISSIONERS �C ATTEST: •' u� viac 1 Ott WELD COUNTY, COLORADO r,- Weld County Clerk and Recorder rC?-C!tf � � Crl�a6l� and Clerk to the Board ��}} J c elan Johnson hairman CELY; /rnvn, �J te-u a) Zattets S K• Duty County Cler Gene R. Brantner, Zro-Tem bC.W. fr t E. Lam Frank Yama chi TAPE #85-27 & #85-28 DOCKET #85-14 LHR 2235 y i 0 ATTENDANCE RECORD TODAY ' S HEARINGS ARE AS FOLLOWS : APRIL 17, 1985 DOCKET # 85-14 & 85-15 - BASIN EXPLORATION, INC. - USR-OIL & GAS PRODUCTION FACILITIES DOCKET # 85-13 - JAMES & NORMA CHITTENDEN - USR-AGRICULTURAL RECREATION FACILITY DOCKET # 85-16 - WESTBERG & ROSLING FARMS - USR-AIRSTRIP DOCKET # 85-12 - CHARLYNE ZAMORA - COZ-A to C-1 PLEASE write or print legibly your - name, address and the DOC # (as listed above) or the applicants name of the hearing you are attending. 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NOT I C E Pursuant to the zoning laws of the State of Colorado and the Weld County Zoning Ordinance, a public hearing will be held in the Chambers of the Board of County Commissioners of Weld County, Colorado, Weld County Centennial Center, 915 10th Street, First Floor, Greeley, Colorado, at the time specified. All persons in any manner interested in the Use by Special Review are requested to attend and may be heard. Should the applicant or any interested party desire the presence of a certified court reporter to make a record of the proceedings, in addition to the taped record which will be kept during the hearing, the Clerk to the Board's Office can be contacted for a list of certified court reporters in the area. If a court reporter is obtained, the Clerk to the Board's Office shall be advised of such action at least five days prior to the hearing. The cost of engaging a court reporter shall be borne by the requesting party. BE IT ALSO KNOWN that the text and maps so certified by the Weld County Planning Commission may be examined in the office of the Clerk to the Board of County Commissioners, located in the Weld County Centennial Center, 915 10th Street, Third Floor, Greeley, Colorado. APPLICANT DOCKET NO. 85-14 Basin Exploration, Inc. 155 East Boardwalk Drive, #300 Fort Collins, Colorado 80525 DATE: April 17, 1985 TIME: 2:00 P.M. REQUEST: Use by Special Review - Oil and gas production facilities in an R-1 (Low Density Residential) Zone District (Sandusky Wells) LEGAL DESCRIPTION: Si NWi , Section 15, Township 5 North, Range 65 West of the 6th P.M. , Weld County, Colorado BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO BY: MARY ANN FEUERSTEIN COUNTY CLERK AND RECORDER AND CLERK TO THE BOARD BY: Mary Reiff, Deputy DATED: March 25, 1985 PUBLISHED: April 4, 1985, in the La Salle Leader A//L. Affidavit of Publication STATE OF COLORADO) County of Weld) ss. NOTME ' I Paul Massey of Present to the maY}!w•of the haste Zsaid County of Weld being duly sworn,say that I mColorado. o , Weld-County Y b of D and a pest hearing MY be am publisher of -.._ - .:.. La SAilo T,en Aer held In the Chambers of the Board of that the same is a weekly newspaper of general -camp d Weld County circulation was printed and published in the Colorahr: Cormp ce"n"ot$ town of Center, 915 loth Street,Fla Floor, La Salle emit,Cols�tan the timespected.- BB perm*In Mai manner Interested hi in said county and state:that the notice of adver- the U BY Rearm• are rm- tisement.of which the annexed is a true copy has alit leattatist may be hear4 been published in said weekly newspaper for gitfdte er en hastened party AO* Prwemm of a ennead one dtl5 auQte cowl 4e m ato o record of the weeks: that the notice was published in the Mont which'ht mtibris p� b.hq Me regular and entire issue of every number of said • bearing.the Clerk to the Ward's Office newspaper during the period and time of publica- can breemaetd!or a Au:of ewt ed tion of said notice and in the newspaper proper `emit reran to the at R e amts soonerand not in a supplement thereof: that the first p �advised of such publication of said notice was contained in the -"'tic" a inn fine lutniet to the issue of said newspaper bearing the date, the •:tern.Tlravw of eaewm9•court reporter shdbekre by the requesting 4. date ofApri1 A.D.. 19 85 -olT nrat+hNON!y9rm the text and and the last e thereof- in publication t issue of maps eo waled by the Weld County �l [Nanning Conmudmr may be examined said newspaper•bearing date,the a day of In the oeloao(Me n tothe Board of h Comb COMah lkenyM.located In the April , 19 e chat the said Weld Comp CFMemdm'Ceemr,:'915 IWt stmt.-1L4#flaar,Greekp,:Cot- ii A Salle Leader DOCKET NO. 5.14 has been published continously and uninter- ruptedly during the period of at least fifty-two a APPLICANT consecutive weeks next prior to the first issue - Bauer Eaolor•non•Inc. thereof containing said notice or advertisement Is EmitPo r o i adoB. 00 3 above referred to: and that said newspaper was at the time of each of the publications of said -DATE:Mme 17.0115 notice duly qualified for that purpose within the TIME:2:00 tat meaning of an act entitled. "An Act Concerning Legal Notices, Advertisements and Publications REQUEST:use bpSpaerelReview-Oil and the Fees of Printers and Publishers thereof, and yes wattle"Wales- i an R-t and to Repeal all Acts and Parts of Acts in Con- •rte p sk RY Zone strict filet with the Provisions of this Act" approved _ __ April 7. 1921, and all amendments thereof- and particularily as amended by an act approved, Sam.DESCRIPTION: , March 30, 19233,,/and an act ap roved May 13. SW NW5a Seaton yb roerefilp 5 I.Cie- 711 West 4tlt P.M., Weld ezreob est acr ' blisher BOARDOreautrry �p COMMtSSIONER5 4,7 W51DC«ttreelawaiwG Subscribed and sworn to before me this s _ __.. // BY.MARY ANN FEUERSTEIN //h ,� p CQ„.,,, E!r` RECORDER day of C t�/fCl/�!� A.D., 19 d AN6 eDARD /� jg l....g.orm, ..�L{/-L1� ' "/, •BIF1Bp.tAarck 9 .Ftts C/// N't otary P lic .- �-tiMe - My commission expires / _7 —FS-- , Affidavit of Publication STATE OF COLORADO ss. County of Weld, I, Millette S. Clarkson of said County of Weld, being duly sworn, say that I am an advertising Berk of THE GREELEY DAILY TRIBUNE, and THE GREELEY REPUBLICAN that the same is a daily newspaper of general circulation and printed and published in the City of Greeley, in said county and state; that the notice or advertisement, of which the annexed is a true copy, has been published in said daily newspaper for consecutive r r - (days) (XI; that the notice was published in the regular and entire issue of every number of said e.` newspaper during the period and time of publication of ,�gtaee,Greeley,CGareikelf the �p.clpilrka q �'fnAl r said notice, and in the newspaper proper and not in a Int aM&rested to the Use by- a rt, losloW requested to �yba nara. .- supplement thereof; that the first publication of said Should Kemp 1/L�iMan parry deity"the prison°, INGSWIMIli litNF ONIPIN*w iwrei recoraa the proceedings,m notice was contained in the issue of said newspaper sentisn b the tepid record Whirl,will he kW during the hearing, as • Gown, ,, cone errsiinaa ie bearing date arle,l into d,the Clive t4:. I ►uee court °o& ahgeWnpeoourt reporter rail t» �OWNfryertr. Fourth he wwrdtcoMrplWilagcedinlulooee ay beGraah°N�intine°atomeoof day of April A.D. 1985 th the Clerk totB a oerd ComMy Comminionera,located in the Weld County Centered& Center 915 ighi Street Third Floor,Greeley, and the last publication thereof; in the issue of said DOCKET N4*'e-li , s 1' , newspaper bearing date the y j w C APPLICANT" t ' i xplralN Irk. t k Oroq No ills `Iii` y �,s s •C9lratleeAS°a Fourth SIME Y 1. day of _Apr i 1 A.D. 19s8,L_, ,ainnin der Silk asowet rtr tmpl°zone olsttriaagr that said The Greeley Daily Tribune and The Greeley LEGAL adO 4 Iii,1 ro s North Republican, has been published continuously and t � M+Aisiioueas., uninterruptedly during the period of at least six TY,COLORA -N -----t.-:',":",., a TG„ P> xsTari months next prior to the first issue thereof contained `:O1 1h ,:n'IM1hI:4-. h said notice or advertisement above referred to; that said -. :7 newspaper has been admitted to the United States . mails as second-class matter under the provisions of the Act of March 3, 1879, or any amendments thereof; and that said newspaper is a daily newspaper duly qualified for publishing legal notices and advertisements within the meaning of the laws of the State of Colorado. April 4, 1985 Total Charge: $26.88 Advertising Clerk Subscribed and sworn to before me this 4 day of April A.D. 1985- 19y GaruaisSion Expires Jan. 14, 1986 cgmmisssi�i n expires � i ttaary Public DATE: March 25 , 1985 TO: The Board of County Commissioners Weld County, Colorado FROM: Clerk to the Board Office Commissioners: If you have no objections , we have tentatively set the following hearings for the 17th day of April, 1985 , at 2 :00 P.M. Docket No. 85-14 - Basin Exploration, Inc. , USR-Oil and gas production facilities in an R-1 (Low Density Residential) Zone District (Sandusky Wells) Docket No. 85-15 - Basin Exploration, Inc. , USR-Oil and gas production facilities in an R-1 (Low Density Residentia) Zone District (Miller Wells) OFFICE OF THE CLE TO THE BOARD BY: Mtt le Deputy The above mentioned hearing date and hearing time may be scheduled on the agenda as stated above. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO 0 IV • 2 Summary of the Weld County Planning Commission Meeting February 19, 1985 Page 4 CASE NUMBER: USR-665:85:3 Azt APPLICANT: Basin Exploration, Inc. (Sandusky Wells) REQUEST: A Use by Special Review Permit for Oil and Gas Production Facilities in an R-1 (Low Density Residential) Zone District. LEGAL DESCRIPTION: Sz NW1, Section 15, T5N, R65W of the 6th P.K. , Weld County, Colorado LOCATION: Approximately one (1) mile east of Greeley City Limits; east of Cherry Avenue and north of East 24th Street APPEARANCE: Les Kaplan, President of Basin Exploration, stated that the application for both wells are similar. He has read that staff recommendations and agree with them. The wells have already been drilled. The Greeley Planning Commission stated that wells were illegal because they were drilled before the permits were issued. The applicant had contacted that City of Greeley, the city stated that there were no requirements for permits in the fringe area for oil and gas wells. They did not state that Weld County needed permits. The wells were drilled according to the City of Greeley requirements. C The applicant had no reason to believe that zoning would be a factor that would affect requirements. All the other wells they drilled were in Agricultural Zoned Districts. The applicant made a suggestion that we request that the State Oil and Gas Commission which requires permitting of any well which is built in the State that they put a question on their application form for a drilling permit which states have you checked to see if there are any additional local or County requirements. The Chairman asked for questions from the Planning Commission. Questions followed. Michael Mullen explained that for both applications there will be four wells. The Chairman asked for discussion from the audience. Tape 194 — Side 1 Jim Vetting, property owner, stated that the zoning of the property is and what the county regulation is. The main concern is the landscaping of the property. The oil and gas drilling doesn't comply with the farming. j - Summary of the Weld County Planning Commission Meeting February 19, 1985 Page 5 Lee Morrison explained that the owner of the mineral rights not the property owner in Standard number 18. June Kane 712 14th Avenue, Greeley, daughter of property owner who owns farm directly across the road from the Sandusky Farm. They do not object to a oil well. Consistent with the Agricultural nature of the area. Did testify several weeks ago that they objected to the zoning change because they did not want to see feed lots or junk yards in the area. A.L. Harrington own 200 acres south of the Sandusky well, don' t know anything about the R-1 Zoning. The land is all farm. He is all for the production of oil and gas, but is not for the landscaping. They like to farm up to the road. Gene Robb, 2233 Highway 34 East, he is not against the well. He doesn 't think the well was their fault for starting without a permit because everyone out there thinks it is zoned agricultural. He feels the permit should be granted. The Chairman asked for questions from the Planning Commission. Paulette asked Michael Mullen that she didn't see that they meet the City of Greeley drilling standards. Mike explained that there was rot anything stating that they meet those standards but the staff would be willing the make addition to Operation Standard #3 if the Planning Commission felt it should be. Paulette Weaver felt it should be done and the landscaping should be deleted. MOTION: Paulette Weaver moved to add to Operation Standard number 3 that the applicant shall comply with the City of Greeley Drilling Standards. Doug Graff seconded the motion. The Chairman asked for discussion on the motion. There was none. Lee Morrison suggested that Number 18 of the Operations Standards be changed from property owner to applicant. The Chairman suggested that they forego reading the Operating Standards and conditions. Doug Graff moved that case number L'SP.-665:85:3 for Basin Exploration Sandusky Wells be forwarded to the Board of County Commissioners with the Planning Commission's recommendation for approval along with the staff comments and Operation Standards as they have beer. written, revised or amended. Seconded by Louis Rademacher. The Chairman asked for discussion on the motion. There was none. Summary of the Weld County Planning Commission Meeting February 19, 1985 Page 6 The Chairman asked the Secretary to poll the members of the Planning Commission for their decision. Lydia ➢unbar - yes; Doug Graff - yes; Paulette Weaver - yes; Stephen Hamilton - yes; Bill McMurray - yes; Louis Rademacher - yes; Jack Holman - yes; Sharon Linhart - yes. CASE NUMBER: USR-666:85:4 APPLCIANT: Fa.sin Exploration, Inc. (Miller Wells) REQUEST: A Use by Special Review Permit for Oil and Gas Production Facilities in an R-1 (Low Density Residential) Zone District LEGAL DESCRIPTION: N% NW1,,, Section 21 , T5N, R65W of the 6th P.M. , Weld County, Colorado LOCATION: East of Greeley City Limits; south of Fast 28th Street and east of First Avenue The applicant has read the staff recommendations and agree with them. The Chairman asked for questions from the Planning Commission. Lee Morrison asked if the changes on the Sandusky Well in the Operations Standards be made on the Miller well also. MOTION: Louis Rademacher Rademacher moved that the changes of the Operations Standards Number 3 and 18 be changed as in Sandusky Wells. Seconded by Doug Graff. The Chairman asked for discussion from the audience. Jerry Miller, 2808 1st Avenue, on the Miller well property. He stated his concerns that the property owners should have been notified by the County that the zoning had been changed. He assumed that it was still agricultural. Sharon Linhart stated that the public was notified by different means and that the information is on file in the Department of Planning Services. NOTION: It was moved by Paulette Weaver to send Case Number USR-666:85:4 for Basin Exploration Miller Wells for oil and gas drilling be forwarded to the Board of County Commissioners with the Planning Commission's approval based upon the recommendations, conditions, and operation standards as amended. The motion was seconded by Lydia Dunbar. The Chairman asked the secretary to poll the members of the Planning Commission for their decision. Lydia Dunbar - yes; Doug Graff - yes; Paulette Weaver - yes; Stephen Hamilton - yes; Bill McMurray - yes; Louis Rademacher yes; Jack Holman - yes; Sharon Linhart - yes. BEFORE THE WELD COUNTY, COLORADO PLANNING COMMISSION RESOLUTION OF RECOMMENDATION TO THE BOARD OF COUNTY COMMISSIONERS Moved by Paulette Weaver that the following resolution be introduced for b the Weld County Planning Commission. Be i eld passage by �IE�� IS,�I .� County Planning Commission that the application for: �7 17 . _ p 1. CASE NUMBER: USR-665:85:3 MAR 1 919855 NAME: Basin Exploration, Inc_. (Sandusky Wells) ' /& GREELEY. COLO. ADDRESS: 155 East Boardwalk Drive, #300, Fort Collins, Colorado 80525 REQUEST: A Use by Special Review Permit for Oil and Gas Production Facilities in an R-1 (Low Density Residential) Zone District LEGAL DESCRIPTION: Sk NWT, Section 15, T5N, R65W of the 6th P.M. , Weld County, Colorado LOCATION: Approximately 1 mile east of Greeley City limits; east of Cherry Avenue and north of East 24th Street. Be recommended favorably to the Board of County Commissioners for the following reasons: 1. The submitted materials are in compliance with application requirements of Section 24.7 of the Weld County Zoning Ordinance. 2. It is the opinion of the Weld County Planning Commission that the applicant has shown compliance with Section 24.3. 1 et seq. of the Weld County Zoning Ordinance as follows: - All mineral resources are fixed in location. The mineral extraction industry is, therefore, restricted in its operation to those areas where the resources lay. The subject site is zoned R-1 (low density residential) , but the site is not platted for residential development and is currently used for agricultural production. The Comprehensive Plan policies encourage mineral extraction prior to residential development. Residential development on the subject site could reduce the feasibility of ever developing the minerals in question. Therefore, the proposal is consistent with the policies of the Weld County Comprehensive Plan; - The proposal is allowed as a Use by Special Review in a residential zone district; - The Greeley Planning Commission has recommended no objection to this proposal. Their concerns, however, are addressed in the Operation Standards; USR-665:85:3 Basin Exploration, Inc. (Sandusky Wells) Page 2 - The attached Operation Standards will make the proposal compatible with existing and future development of the surrounding area as permitted by the existing zoning and with future development as projected by the comprehensive plan of the affected municipality; - The use would be compatible with the existing surrounding land-uses. Agricultural production uses exist north, east, south and west of the subject site; - The location of the Sandusky #2 well is situated in the 100 year floodplain of the South Platte River. The placement of tank batteries at the proposed locations will require compliance with Section 53 of the Weld County Zoning Ordinance and the submission of a Flood Hazard Development Permit; and - Use by Special Review Operation and Design Standards provide adequate protection of the health, safety and welfare of the neighborhood and County. The Planning Commission's recommendation for approval is conditional upon the following: 1. The attached Standards for Use by Special Review be adopted and placed on the Use by Special Review plat prior to recording. 2. No building or electrical permits shall be issued for the Use by Special Review Permit area until the plat has been delivered to the Department of Planning Services office and compliance with Operation Standard #2 has been met. The prescribed Use by Special Review activity shall not occur and building or electrical permits shall not be issued until the Use by Special Review plat has been recorded in the office of the Weld County Clerk and Recorder. 3. The applicant and/or operator shall be required to obtain all applicable building or electrical permits for USR-665:85:3. 4. Prior to scheduling a meeting before the Board of County Commissioners, the operator shall submit a copy of a policy of insurance in the amount of five hundred thousand dollars ($500,000.00) insuring the applicant and the County against all claims or causes of action made against either or both the applicant and the County for damages to persons or property arising out of the drilling, maintenance, production or other work done with respect to such proposed oil and gas wells. Such policies shall be written by a company authorized to do business in the USR-665:85:3 Basin Exploration, Inc. (Sandusky Wells) Page 3 State of Colorado. Evidence of the insurance policy shall be filed with the Department of Planning Services. In case the insurance policy required shall lapse or become void for any reason whatsoever, the Use by Special Review Permit shall cease to exist until a new insurance policy is provided and filed with the Department of Planning Services. All well activity shall be shut-down and all operations and production thereof shall be suspended and discontinued, consistent with safety considerations, until the operator provides evidence of insurance in the prescribed amount. 5. Prior to scheduling this case before the Board of County Commissioners, the applicant shall submit a revised mylar plot plan to the Department of Planning Services showing all oil and gas production facilities and their exact locations. Motion seconded by Lydia Dunbar. Vote: For Passage Against Passage Lydia Dunbar Doug Graff Paulette Weaver Stephen Hamilton Bill McMurray Louis Rademacher Jack Holman Sharon Linhart The Chairman declared the Resolution passed and ordered that a certified copy be forwarded with the file of this case to the Board of County Commissioners for further proceedings. CERTIFICATION OF COPY I, Jerrie Schwartz, acting Recording Secretary of the Weld County Planning Commission, do hereby certify that the above and foregoing Resolution is a true copy of the Resolution of the Planning Commission of Weld County, Colorado, adopted on February 22, 1985, and recorded in Book No. IX of the proceedings of the said Planning Commission. Dated the 22nd day of February, 1985. Jerrie chwartz A, tin; Secretary OPERATION STANDARDS Basin Exploration, Inc. (Sandusky Wells) USR-665:85:3 1. The permitted use shall be oil and gas production facilities as described in the submitted application materials, and as located on the Use by Special Review plat. 2. Petroleum products and compressed flammable gases are hazardous substances per C.R.S. 29-22-107 (2) (a) . Prior to drilling the applicant shall provide a list of the maximum quantities of hazardous substances expected at the sites and emergency phone numbers to the State Health Department - Division of Waste Management, the Weld County Emergency Response Coordinator, and the Western Hills Fire Protection District. Evidence of this listing and emergency phone number shall be provided to the Department of Planning Services prior to the issuance of building permits. 3. The drilling and production of any well shall comply with the Colorado Oil and Gas Conservation Commission regulations pertaining to oil and gas drilling rules. The applicant shall also comply with the City of Greeley's oil and gas drilling requirements. 4. The applicant shall comply with all Western Hills Fire Protection District requirements. 5. Prior to start-up of the activity, the operator shall provide the Western Hills Fire Protection District a list of four (4) names, phone numbers, and addresses of responsible parties it can contact in case of an emergency. 6. Prior to start-up of the activity, a metal sign shall be placed at the entrance to the well site indicating the name and telephone number of the person(s) to contact in the event of an emergency. 7. Prior to and at the conclusion of any flaring , the Weld County Communications Center shall be notified. 8. An electric pump shall be used in conjunction with any producing oil well on the site. 9. All oil & gas production facilities shall be designed to meet the following standards: - The tank battery cluster shall be bermed to contain the greatest amount of liquid that can be released from the largest tank, assuming a full tank; and - A six (6) foot chain link fence with a three (3) strand barbed wire top shall enclose the tank battery cluster and the well head. Operation. Standards Basin Exploration, Inc. (Sandusky Wells) Page 2 10. Brine water produced at the site during oil and gas production shall be disposed of by formation injection or disposal into a commercial brine disposal site. 11. Drilling muds can be used as an agricultural enhancement. The drilling muds MUST be applied and disked into sandy soils with the landowner's consent. 12. Upon cessation of the proposed use, the oil and gas production facilities shall be removed and the land shall be reclaimed to its prior use. 13. In the event that a final plat subdivision application is submitted within the subject Use by Special Review area to the Weld County Planning Department or the City of Greeley Planning Department, the Operation Standards of USR-665:85:3 shall be reconsidered through the Use by Special Review application process. The intent of this standard is to review the appropriateness of landscaping around the oil & gas facilities area and not the proposed use. 14. The applicant shall comply with the design standards for the Use by Special Review, Section 24.5 et seq. , of the Weld County Zoning Ordinance. 15. The applicant shall comply with the Operation Standards for Uses by Special Review, Section 24.6 et seq. , of the Weld County Zoning Ordinance. 16. Representatives or members of the Weld County Health Department and Weld County Department of Planning Services shall be granted access onto the site at any reasonable time in order to insure the operations carried out on the site comply with the Operation Standards stated hereon and all applicable Weld County Regulations. 17. The Use by Special Review area shall be limited to the plans shown hereon and governed by the Standards as stated above and all applicable Weld County Regulations. Any material deviations from the plans and/or Standards as shown or stated above shall require the approval of an amendment of the Permit by the Weld County Planning Commission and the Board of County Commissioners before such changes from the plans and/or Standards are permitted. Any other changes shall be filed in the office of the Department of Planning Services. 18. The applicant and/or operator for this operation shall be responsible for complying with all of the above stated Standards. Noncompliance with any of the above stated Standards may be reason for revocation of the Permit by the Board of County Commissioners. Exhibit Inventory Control Sheet Case Number US2 (04567: es:3 Exhibit Submitted Exhibit Number By Description 1. 0r13iroa.Q APfrac4ia,a 2q pay-6 Irsi Lester M. Kellen), 8asi& Explorcfiov,I/Je. 2. ask Pia- Pia,) a„>a, 2Y"x36 , UMc;hi;16 btap b, M�2ac f stiarF, LOC . 3. CpGche Su✓vn A+,sic :K 4. S*4 Ccei Cab .S PcO 5. Qa.Q¢r►c-C1 �cs For ffGa. 1 G re 6. Ret-ia 0.511 PM-P- * zyX .. Uic.(Nr u McQ°'°- XPnorf, +c . 7. Qi .ti i `ccke, irm_sa, a...rc.a_ l lietz,2- s. PP-11•44h)iaj (144**„ss�..� Wlae. eJtcd.� CoAri 9. 10. 11. • 12. 13. 14. 15. EXHIBIT INVENTORY CONTROL STET Case l,1-/Y- aS/C ir Exhibit ��Sulmitted By Exhibit Description ' 4� ,14/2/717- B. �t noy ca4,_)�2 %77 r ,976 ,- sita C. D. E. F. G. H. I. J. K. r M. N. 0. Date: February 19, 1985 CASE NUMBER: USR-665:85:3 NAME: Basin Exploration, Inc. (Sandusky Wells) ADDRESS: 155 East Boardwalk Drive, #300, Fort Collins, Colorado 80525 REQUEST: A Use by Special Review Permit for Oil and Gas Production Facilities in an R-1 (Low Density Residential) Zone District LEGAL DESCRIPTION: S1 NW4, Section 15, T5N, R65W of the 6th P.M. , Weld County, Colorado LOCATION: Approximately 1 mile east of Greeley City limits; east of Cherry Avenue and north of East 24th Street. THE DEPARTMENT OF PLANNING SERVICES STAFF RECOMMENDS THAT THIS REQUEST BE APPROVED FOR THE FOLLOWING REASONS: 1. The submitted materials are in compliance with application requirements of Section 24.7 of the Weld County Zoning Ordinance. 2. It is the opinion of the Department of Planning Services staff that the applicant has shown compliance with Section 24.3. 1 et seq. of the Weld County Zoning Ordinance as follows: - All mineral resources are fixed in location. The mineral extraction industry is, therefore, restricted in its operation to those areas where the resources lay. The subject site is zoned R-1 (low density residential) , but the site is not platted for residential development and is currently used for agricultural production. The Comprehensive Plan policies encourage mineral extraction prior to residential development. Residential development on the subject site could reduce the feasibility of ever developing the minerals in question. Therefore, the proposal is consistent with the policies of the Weld County Comprehensive Plan; - The proposal is allowed as a Use by Special Review in a residential zone district; - The Greeley Planning Commission has recommended no objection to this proposal. Their concerns, however, are addressed in the Operation Standards; USR-665:85:3 Basin Exploration, Inc. (Sandusky Wells) Page 2 The attached Operation Standards will make the proposal compatible with existing and future development of the surrounding area as permitted by the existing zoning and with future development as projected by the comprehensive plan of the affected municipality; - The use would be compatible with the existing surrounding land-uses. Agricultural production uses exist north, east, south and west of the subject site; - The location of the Sandusky #2 well is situated in the 100 year floodplain of the South Platte River. The placement of tank batteries at the propsed locations will require compliance with Section 53 of the Weld County Zoning Ordinance and the submission of a Flood Hazard Development Permit; and - Use by Special Review Operation and Design Standards provide adequate protection of the health, safety and welfare of the neighborhood and County. The Department of Planning Services staff recommendation for approval is conditional upon the following: 1 . The attached Standards for Use by Special Review be adopted and placed on the Use by Special Review plat prior to recording. 2. No building or electrical permits shall be issued for the Use by Special Review Permit area until the plat has been delivered to the Department of Planning Services office and compliance with Operation Standard #2 has been met. The prescribed Use by Special Review activity shall not occur and building or electrical permits shall not be issued until the Use by Special Review plat has been recorded in the office of the Weld County Clerk and Recorder. 3. The applicant and/or operator shall be required to obtain all applicable building or electrical permits for USR-665:85:3. 4. Prior to scheduling a meeting before the Board of County Commissioners, the operator shall submit a copy of a policy of insurance in the amount of five hundred thousand dollars ($500,000.00) insuring the applicant and the County against all claims or causes of action made against either or both the applicant and the County for damages to persons or property arising out of the drilling, maintenance, production or other work done with respect to such proposed oil and gas wells. Such policies shall be written by a company authorized to do business in the USR-665:85:3 Basin Exploration, Inc. (Sandusky Wells) Page 3 State of Colorado. Evidence of the insurance policy shall be filed with the Department of Planning Services. In case the insurance policy required shall lapse or become void for any reason whatsoever, the Use by Special Review Permit shall cease to exist until a new insurance policy is provided and filed with the Department of Planning Services. All well activity shall be shut-down and all operations and production thereof shall be suspended and discontinued, consistent with safety considerations, until the operator provides evidence of insurance in the prescribed amount. 5. Prior to scheduling this case before the Board of County Commissioners, the applicant shall submit a revised mylar plot plan to the Department of Planning Services showing all oil and gas production facilities and their exact locations. OPERATION STANDARDS Basin Exploration, Inc. (Sandusky Wells) USR-665:85:3 1. The permitted use shall be oil and gas production facilities as described in the submitted application materials, and as located on the Use by Special Review plat. 2. Petroleum products and compressed flammable gases are hazardous substances per C.R.S. 29-22-107 (2) (a) . Prior to drilling the applicant shall provide a list of the maximum quantities of hazardous substances expected at the sites and emergency phone numbers to the State Health Department - Division of Waste Management, the Weld County Emergency Response Coordinator, and the Western Hills Fire Protection District. Evidence of this listing and emergency phone number shall be provided to the Department of Planning Services prior to the issuance of building permits. 3. The drilling and production of any well shall comply with the Colorado Oil and Gas Conservation Commission regulations pertaining to oil and gas drilling rules. 4. The applicant shall comply with all Western Hills Fire Protection District requirements. 5. Prior to start-up of the activity, the operator shall provide the Western Hills Fire Protection District a list of four (4) names, phone numbers, and addresses of responsible parties it can contact in case of an emergency. 6. Prior to start-up of the activity, a metal sign shall be placed at the entrance to the well site indicating the name and telephone number of the person(s) to contact in the event of an emergency. 7. Prior to and at the conclusion of any flaring , the Weld County Communications Center shall be notified. 8. An electric pump shall be used in conjunction with any producing oil well on the site. 9. All oil & gas production facilities shall be designed to meet the following standards: - The tank battery cluster shall be bermed to contain the greatest amount of liquid that can be released from the largest tank, assuming a full tank; and - A six (6) foot chain link fence with a three (3) strand barbed wire top shall enclose the tank battery cluster and the well head. Operation Standards Basin Exploration, Inc. (Sandusky Wells) Page 2 10. Brine water produced at the site during oil and gas production shall be disposed of by formation injection or disposal into a commercial brine disposal site. 11. Drilling muds can be used as an agricultural enhancement. The drilling muds MUST be applied and disked into sandy soils with the landowner's consent. 12. Upon cessation of the proposed use, the oil and gas production facilities shall be removed and the land shall be reclaimed to its prior use. 13. In the event that a final plat subdivision application is submitted within the subject Use by Special. Review area to the Weld County Planning Department or the City of Greeley Planning Department, the Operation Standards of USR-665:85:3 shall be reconsidered through the Use by Special Review application process. The intent of this standard is to review the appropriateness of landscaping around the oil & gas facilities area and not the proposed use. 14. The applicant shall comply with the design standards for the Use by Special Review, Section 24.5 et seq. , of the Weld County Zoning Ordinance. 15. The applicant shall comply with the Operation Standards for Uses by Special Review, Section 24.6 et seq. , of the Weld County Zoning Ordinance. 16. Representatives or members of the Weld County Health Department and Weld County Department of Planning Services shall be granted access onto the site at any reasonable time in order to insure the operations carried out on the site comply with the Operation Standards stated hereon and all applicable Weld County Regulations. 17. The Use by Special Review area shall be limited to the plans shown hereon and governed by the Standards as stated above and all applicable Weld County Regulations. Any material deviations from the plans and/or Standards as shown or stated above shall require the approval of an amendment of the Permit by the Weld County Planning Commission and the Board of County Commissioners before such changes from the plans and/or Standards are permitted. Any other changes shall be filed in the office of the Department of Planning Services. npp>?c�aat" Ce 18. The —property -owner-- and/or operator el- this operation shall be responsible for complying with all of the above stated Standards. Noncompliance with any of the above stated Standards may be reason for revocation of the Permit by the Board of County Commissioners. LAND-USE APPLICATION SUMMARY SHEET Date: February 19, 1985 CASE NUMBER: USR-665:85:3 NAME: Basin Exploration, Inc. (Sandusky Wells) ADDRESS: 155 East Boardwalk Drive, #300, Fort Collins, Colorado 80525 REQUEST: A Use by Special Review Permit for Oil and Gas Production Facilities in an R-1 (Low Density Residential) Zone District. LEGAL DESCRIPTION: S16 NWT, Section 15, T5N, R65W of the 6th P.M. , Weld County, Colorado LOCATION: Approximately one (1) mile east of Greeley City Limits; east of Cherry Avenue and north of East 24th Street SIZE OF PARCEL: 80 acres POSSIBLE ISSUES SUMMARIZED FROM APPLICATION MATERIALS: The criteria for review are listed in Section 24.3 of the Weld County Zoning Ordinance. The property is zone R-1 (low density residential) , but it is not platted into lots. The proposed wells would be no closer than three hundred (300) feet to any residential structures. The city of Greeley will review this proposal at their February 12, 1985, meeting. The Western Hills Fire Department has requested that the oil and gas facilities comply with the provisions of the Uniform Fire Code. Operation Standards will address this issue. The Soil Conservation Service will review this proposal at their February 14, 1985, meeting. The Department of Planning Services has not received any objections to this proposal from surrounding land owners. MSM:rjg FIELD CHECK FILING NUMBER: USR-665:85:3 DATE OF INSPECTION: February 9, 1985 NAME: Basin Exploration, Inc. (Sandusky Wells) REQUEST: A Use by Special Review Permit for oil & gas production facilities in a R-1 (Low Density Residential) Zone District. LEGAL DESCRIPTION: S1 NWT of Section 15, T5N, R65W of the 6th P.M. , Weld County, Colorado. LOCATION: Approximately 1 mile east of Greeley City limits; east of Cherry Avenue and north of Fast 24th Street. LAND USE: N Miyoshi Gardens, cropland, East 20th Street, 5 residences. E Pasture, 2 residences to the northeast, Highway 34. S East 24th Street, Pasture, 3 residences to the southeast. W Cherry Avenue, cropland, 1 mobile home, 1 farm residence to the southwest. ZONING: N R-1 F. R-1 S Agricultural W R-1 COMMENTS: Subject site is 80 acres of irrigated cropland and pasture. There are 6 residences located within the proposed Use by Special Review area. Sandusky #1 Well is currently under construction; facilities include a well, 3 tanks, a heater-treater-separator, and cyclone fencing. Access for the #1 well would be Cherry Avenue, a paved street. Access for the #2 well would be east 24th Street, a gravel road. The property has a slight slope to the southeast. A small lateral ditch runs through the property. Twenty-three residences are located within 1/4 miles of the subject site. By: AIfeileka Michael S. 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COLORADO NOTICE OF PUBLIC HEARING The Weld County Planning Commission will conduct a public hearing on Tuesday, February 19, 1985 at 10:30 a.m. to review a request for approval of a Use by Special Review Permit for oil and gas production facilities in a R-1 (Low Density Residential) Zone District from Basin Exploration, Inc. (Sandusky Wells) on a parcel of land described as the S1 NWT, Section 15, T5N, R65W of the 6th P.M. , Weld County, Colorado containing 80 acres, more - or less. The public hearing to be held by the Weld County Planning Commission for the consideration of the above referenced request will be conducted in the Weld County Commissioners' Hearing Room, First Floor, Weld County Centennial Center, 915 Tenth Street, Greeley, Colorado. Comments or objections related to the above request should be submitted in writing to the Weld County Department of Planning Services, 915 Tenth Street, Room 342, Greeley, Colorado 80631, before the above date or presented at the public hearing on February 19, 1985. Copies of the application are available for public inspection in the Department of Planning Services, Room 342, Weld County Centennial Center, 915 Tenth Street, Greeley, Colorado, - Phone - 356-4000, Extension 4400. Robert F. Ehrlich, Chairman Weld County Planning Commission To be published in the La Salle Leader To be published one (1) time by February 7, 1985 Received by t, Date: / 1 _, _5 REFERRAL LIST APPLICANT: Basin Exploration, Inc. CASE NUMBER: USR-665 SENT REFERRALS OUT: January 25, 1985 REFERRALS TO BE RECEIVED BY February 8, 1985 ( Cl) z z (n o cn o z z H o El C 0 H H ff to c.) z o ti 0R o o U o fW po 4-1 0 U p PW4 W U 14 U Zo i i 0 & 47 z v C4 0 �— County Attorney (plat only) r XX Paulette Weaver V Weld County Planning Comm. XX Weld County Health Department 1725 12th Avenue J XX Greeley, CO 80631 Engineering Department XX XX Greeley Soil Conservation "r County Extension Agent Service 4302 9th St. Road '—" Greeley, CO 80631 XX Office of Emergency Management XX Western Hills Fire Protection J District 1804 Cherry Avenue Greeley, CO 80631 Xx City of Greeley (2nd Monday of month) Greeley Civic Center 919 7th Street XX Colorado Dept. of Natural Greeley, CO 80631 i Resources ATTN: Ann Jamison Oil & Gas Commission State Engineer7 1313 Sherman Street Division of Water Resources Denver, CO 80203 1313 Sherman St. , Room 818 Denver, Colorado 80203 State Highway Department 1420 2nd Street Greeley, Colorado 80631 Colorado Department of Health Water Quality Control Division 4210 East 11th Avenue Denver, Colorado 80220 i V stern Hills Fire Protection Di; ct FIRE i • ESCU Station No.1 1804 Cherry Avenue Station No.2 4911 W.20th Street Greeley,Colorado 80631-(303)356-1424 February 5, 1985 Department of Planning Services Weld County Centennial Center 915 10th Street Greeley, Colorado 80631 RE: Case Numbers: USR - 665:85-3 (Sandusky Oil & Gas Well Locations) USR - 666:85-4 (Miller Oil & Gas Well Locations) To Whom It May Concern, Upon review of the proposals from the given information, we have found no conflicts with safety. However, the facilities will be required to comply with the provisions of the Uniform Fire Code, Article 79 Division V and Article 79 Division XI. If there are any questions or problems, please contact me. Sincerely, . 4 Gregg Miller Acting Fire Chief GM/klw cc: file Di 1' 4,:),;.Lik,v__A , . �1 "J O1985 Wc!d Co. Planning CCnmmission MEMORAnDUM win C To Planning Department Date February 1, 1985 COLORADO From Director, Office of Emergency Management � Case Number USR-66S:85:3 3 Subject. �`f To Whom It May Concern: Pursuant to State Senate Bill 172. Colorado Revised Statutes 29-22-107 (2) (a) hazard types and amounts shall be provided along with location to the emergency response authority, waste management division of the department of health and local fire district. Under these provisions no conflicts are noted with regard to the permit. cc: Robert H. Rhinesmith, Director, Weld County Information Services Agency welt planning Cnmm�ssiarr trtc ' '`•" GREELEY CIVIC CENTER, GREELEY, COLORADO 80631 (303) 353-6123 r February 15, 1985 Mike Mullen f n ` y Current Planner �i�(y �]��i�' Weld County Dept . of Planning Services ; Third 1985 915 10th Street Greeley, CO 80631 Weld Co. Planning Commission Mike: The Greeley Planning Commission reviewed a request submitted by Les Kaplan of Basin Exploration for a Use by Special Review to allow oil and gas development in an R-1 (Low Density Residential ) district located northeast of 24th Street and Cherry Avenue at its February 12, 1985, meeting . The Commission recommended no objection to the establishment of the oil and gas use on the property as long as it complies with the City' s requirements for this use in a residential district . These requirements include setbacks , berming , fencing , signage , well casing , stage cementing , and landscaping . A copy of these requirements is attached . This area is designated for residential land use in the City of Greeley' s Comprehensive Plan and we do anticipate that this property will develop in a residential format in the future . Therefore, the Commission recommended that the landscaping requirement be enforced with this request . In addition , the Planning Commission noted that the eastern most well should comply with all flood fringe development requirements . Thank you for the opportunity to review this request . If you have any questions with regard to this matter , please feel free to give me a call . Sincerely, afr1/4— % Ann W. Jamison Planner II N6. Y 4 IM ;` I IN i : I IM vim 1 ., 03-18 85 cp PRODUCER 'l f 1E PA tl TEE f AND[-ENTER', Bayly, Martin , & Fay, Inc . u i P Nf1 - ATE :IE DOES P1TAM NO >' •1 'EH 'H AGE ICLE3 BELOW. of Colorado 3955 E , Exposition Ave. , Suite 500 Pi ', ', A ?ilAtaE P .O. Box 61167 Denver , CO 80206 , INA/Aetna Insurance Company iNSUHE:O. Southern American Insurance Company Basin Exploration , Inc. 155 E . Boardwalk Drive Ft. Collins , CO 80525 I 1 r <d1,;4' e'. 11■ ia ' tiit . r. A st10" lil, r t * ,� i. . i IN III 11th THIS'Er TOCRF A! F' E N, 431' NO1INIE'S f I ND 3 BL ISSUED U 1 N 'EC S ,� vC ' - •VEIMKW WI 5N;, nvl)TONS OE OF .S I..>1 CO i - Jf _ _ : IN F. GANGS LI Di ...�! a`. . .. .0 `. E .n rE r GENERAL L AB - - - - Ax COMPREN!NSI P GLPG0721859A 03-16-85 03-16-86 LPREMISESJPE *$100 , 000 Sublimit applies to Property U'Vof RGHi LEI! . x DIN°ElfI a " 3 Damage Liability as a result of x P0000UTEco I Underground Resources & Equipment x CONTRAC'JAL Hazard, Blowout & Cratering Hazard , ;500, * 9500 , * X INDFPEND NTExplosion Hazard. IxBROAD PO IM mN PERSONAE IN J_I 1R`, 13 .500 , AUTOMOBII E L IL 'Y L_-____ AIx1AN1 ALT( CAL693372 03-16-85 03-16-86 '_ � ALL OWNI J A o r, ALL OWN!J A I , ≥ HIRED AU1JS - I .NON OWNI J A n GARAGE L x811 500 , I EXCESS LIAI ILI iF B H-. `UmeRELLF lO 3U022879 03-16-85 03-16-86 OTHER TH .N I ill A I.'Rh' ! � I , 000� i , 000, 5 WORKER; ( IPF NSF LT'I(N - -_- '-- TEEN AI(INF',II ` EDISEASE POLKA LIMITI EMPLC YEI LI,SIL''.TY (DISEASE-I A::I I EMPLOVEEN OTHER �E RIPTION OF OF AT JNf JLC l,Aa (INSI� _H V >iSPEC IT IME ie: Use by special review application Miller Wells & Sandusky Wells . Operations of the Insured as described in the Policy Declarations - Continental U . S .A. nran Z.311111111111 tilt AIIIII !B3lE a II ill '<:St ,, I Weld County Planning Department 4'4 SHOT L3 V >FTiE IBC )ESC S CELLED BEFORE THE EX- 915 10th Street, Room 342 PIRA LION 13 T THERE TH WILL ENDEAVOR TO Greeley, CO 80631 MAIL 10 AIE WI NOTI HOLDER NAMED TO THE y, LET URE TO NAI F OBLIGATION OR LIABILITY Attn: Mr . Mike Mullen OFAIFO.1O{E( ESENTATIVES. 1I* EREENATe 11111111 1 It , , _ T , j: ' ,r - sandu•sky Oil and Gas' Well locations Exh:b;f I �. 1'11 y • _ , i APPLICATION I ____...•_. ,._-_,.\:.,__.L.':1' r' ' USE BY SPECIAL REVIEW t i • ,-:Department of Planning Services, 915 Tenth Street, Creeley, Colors• 0631 Phone - 356-4000 - Ext. 4400 • Weld Co. Plai nir:g Commission Case Number t (5; ,-_ Date Received Application Checked by J'tSM Mylar plat submitted Application Fee :ZS-O. Receipt Number 13t382. Recording Fee 4/4:1•44) Receipt Number 5'14'4'2 TO BE COMPLETED BY APPLICANT: (please print or type, except for necessary signature) I (we), the undersigned, hereby request hearings before the Weld County Planning Commission and the Weld County Board of County Commissioners concerning the proposed Special Review Permit of the following described unincorporated area of Weld County Colorado: • LEGAL DESCRIPTION OF SPECIAL REVIEW PERMIT AREA: S/2 NW/4 Section 15 T 5 N, R 65 W• -- LEGAL DESCRIPTION of contiguous property owned upon which Special Review Permit is proposed: Section T N, R W Property Address (if available) PRESENT ZONE R-1 OVERLAY ZONES None TOTAL ACREAGE 80 acres PROPOSED LAND USE Oil and Gas Wells . EXISTING LAND USE Farming with several si nil e-family residences • SURFACE FEE (PROPERTY OWNERS) OF AREA PROPOSED FOR THE USE BY SPECIAL REVIEW: (See attached Exhibit "A" Name: • Address: City Zip Home Telephone # Business Telephone # Name: Address: City Zip Home Telephone # Business Telephone # • • Name: • Address: _ -- -- City Zip • ' Home Telephone # Business Telephone # • APPLICANT OR AUTHORIZED AGENT (if different than above): Name: Basin Exploration, Inc. Address: 155 E. Boardwalk Dr. , #300 City Fort Collins ` zip g0525 Home Telephone # Business Telephone # 223-3100 List the owner(s) and/or lessees of mineral rights on or under the subject properties of record. (See attached Exhibit "A") • Name: • Address: City - ' Zip • • Name: Address: _- _ _ City Zip ' Name: Address: City Zip • I hereby depose and state under the penalities of perjury that all statements, proposals and/or plans submitted with or contained within this application are true and correct to the best of my • knowledge. i STATE OF WCOLORADO ) -- f Signature: Owner of Authorize Agent 33ubscribed and sworn to before me this •'i`it day of /l t,'Q,l,t,t 1 19 orb • - //, TARY PUBLIC (1).._-) t`, in,.,„,<1...,,,,.,c,_k, xs-=3 , . - .1. / . ,. '_ • .. ;.,.5 • My commission expires - ....w i�`;« — *W& `';_.TIONI NC January 16, 1985 Department of Planning Services Weld County Building 915 10th Street Greeley, Colorado 80631 Attention: Michael S. Mullen, Current Planner RE: Use by Special Review Permit Requests: Sandusky Oil and Gas Well Locations (S/2 NW/4 Sec. 15, T5N, R65W) Gentlemen: Basin Exploration, Inc. is herein submitting a Use by Special Review permit application for two (2) well locations on the above—referenced 80 acre drilling unit . Due to the special circumstances relating to the Sandusky No. 1 Well and with the permission of the Weld County Commissioners , this well is behind pipe, frac stimulated and ready for production. Basin intends to commence drilling of the Sandusky No. 2 Well in 1985. Accompanying this application is the special review plan map, prepared by McRae and Short, Inc. from Greeley. The following information is an item—by—item response to the detailed description questions called for as part of the application requirements: Q: Proposed use A: Oil and gas well to be drilled to the Codell/Niobrara Formations with the objective of natural gas and gas condensate production in commercial quantities. Q: Need for use A: Basin has assembled seven (7) oil and gas leases in order to obtain 100 percent of the mineral lease rights to this tract. The natural gas from this tract has been dedicated to the Colorado Gathering and Processing Corporation which is currently a major supplier of lower price gas to the cities of Greeley, Evans and LaSalle, Colorado. 155 E.Boardwalk Drive,Suite 3OO I Fort Collins.Colorado 8O525 3O3-223-31OO ►Z� Q: Types of existing uses on surrounding properties A: The property has been and is presently in an active farming use. Similar farming uses surround the property along with intermittant, large tract, residential structures. Q: Distance of proposed use to residential structures A: In no direction will the well site or any production equipment be less than 300 feet from any residential structures. As indicated by the plan map, no residence is closer than 500 ft. to the well site and approximately nine residences are within one—quarter mile. Q: Maximum number of users, patrons , members, and buyer A: An oil and gas well is not a retail or service center. Q: Number of employees , number of shifts , and hours of operation A: An oil and gas well is not an employment center. Once the well is on production, it will be visited approximately twice a day by a representative of Basin, the well operator. A crew of five will drill the well which should take approximately one week, 24 hours per day with three shifts. Q: Type of water source for the proposed use A: Water is needed only during the drilling phase of the well , approximately one week. This water is either brought to the site via water hauling trucks or pumped to the site from an agricultural—related source. Q: Access route(s) to be utilized A: (See accompanying plan map) Q: Type, size, weight and frequency of vehicular traffic associated with proposed use A: Other than twice—a—day pickup truck traffic once the well is on production, no other vehicular traffic is routinely associated with an oil and gas well. Q: Type of sewage facilities A: No sewage facilities are necessary. Any water requiring disposal will be stored in an above ground tank and hauled off as required, approximately once per month. Q: Proposed fire protection measures A: A sign will be posted on or near the production equipment indicating the name, address and telephone number of the operator. The fire department as well as nearby residents will be given the names and telephone numbers of four (4) parties associated with the operator and who could be called in case of an emergency. Any flaring of the well will be kept to an 11 absolute minimum due to the availability of the Colorado Gathering Corporation collection line. A 2 ft. spillage birm will be installed around the production tanks. Q: Maximum number of animals A: No animals are associated with this use. Q: Type and size of any waste, stockpile or storage areas A: During drilling a dumpster will be on site. The only waste associated with production is water which will be stored in a one hundred barrel above—ground tank which will be emptied as required. Gas condensate will be stored alternately in one of two three hundred barrel tanks whose location and design detail are shown on the accompanying plan map. Q: Storm retention facilities A: An oil and gas well will not interfere with historic storm water run—off. Q: Time schedule and method of removal and disposal of debris, junk and other wastes A: Any debris associated with the drilling or completion phases of a well are hauled off after such phases. The production phase does not generate any debris or junk. Q: Proposed landscaping plans and erosion control measures A: No landscaping is proposed for the perimeter of the tank battery. The surface owner prefers the potential for continued farming use around the battery to landscaping. Additionally, the establishment and maintenance of a landscaping buffer would be an extremely inconvenient and costly undertaking for the operator. Any buffering of the tank battery should occur with the future development of the property, and the operator will cooperate in any manner reasonably possible. A 6 ft. chain link fence is proposed around the tank battery. After the drilling and completion phase, all pits will be back—filled and compressed, and the natural contour of the property restored to as near as possible. Q: Reclamation procedures to be employed upon cessation of use A: Upon the cessation of commercial oil and gas production, the well head will be removed and the well plugged according to State standards. All surface equipment would be removed, and the site would be restored to as close to its prior condition as possible. Q: Time table showing periods of time required for construction and start—up • ►[ ►Z� A: This is not a construction project; however, the time periods for the various phases are as follows: 1. Weld County Permitting 60 days 2. Site Preparation and Drilling 10 days 3. Logging, Setting Production Casing and Tubing, Cementing, Preparing for Frac Stimulation 7 days 4. Fracing, Bring Back Well, Connecting to Battery 14 days 5. Installing Tank Battery (concurrent with other completion activities) 3 days In addition to the above question and answer description of the proposed operation, the use by special review procedure requires certain written information and supporting documents. These requirements are addressed below. The Weld County Comprehensive Plan does not address oil and gas exploration in great detail. However, the Plan does note that the most desirable time for the removal of minerals is prior to development (p.71) . The proposed location is neither developed nor platted. Furthermore, the objectives of the surface owner are for the long range continuation of farming uses. The actual location of the drill site is determined for the most part by the Colorado Oil and Gas Commission and local well siting and spacing requirements. The tank battery location, including the separator and meter house, are also subject to State and local siting requirements. The operator does have some latitude in the placement of surface equipment and has attempted to minimize the use of and interference with productive agricultural land. The placement of vertical landscaping around the tank battery would itself utilize productive land. During the drilling, completion, and production phases of the well , provisions are made for the protection of the health, safety and welfare of the inhabitants of the neighborhood and county. The drilling rig is equiped with a blowout preventer. Approximately 3,000 ft. of surface cementing for the production casing is used. All production casing, tubing, valves and fittings are A.P.I. approved. All service companies , including the frac stimulation company are proven professionals. All State and local requirements shall be met. Once on production, the well will be compatible with existing surrounding land use. Access to the well will not interfere with any existing agricultural or residential uses. The producing well is basically a passive use, with no perceptible noise, and eventually as much a part of the streetscape as any other permanent structure. The ;y i ►�� ►�/ production equipment will be painted in attractive earth tone design to blend with the rural setting. The producing well will be compatible with the future development of the surrounding area as permitted by the existing zone. The future of low—density residential uses in conjunction with continued agricultural uses would neither be prevented or materially underminded by the proposed use. The subject property is not located in a geologic hazard or Weld County Airport overlay district. The zoning is R-1 for the entire property, requiring use by special review. The Sandusky No. 2 Well would be in the flood plain, and the operator would apply to the Planning Department for a flood hazard development permit. In that the proposed use does not require a water supply, neither domestic, district or well water is necessary. Attached is a copy of the Drilling Title Opinion for this 80 acre tract, prepared by attorney Donald W. Marshall, which sets forth the applicants interest in this property along with the interests of various surface and mineral owners. Other than the drilling and frac stimulation phases of the well , there will be virtually no noise emissions. Soil information is provided on the plan map. The soils provide absolutely no limitation to the proposed use. The list of the owners of property within five hundred (500) feet of the subject property is herein provided as part of this application. The names and addresses of all mineral owners and lessees of mineral is contained in the Drilling Title Opinion herein provided. Should you require any additional information or a clarification of any of the written or plan map materials , please contact me immediately. Basin understands that this application is scheduled for the February 19, 1985 meeting of the Planning Commission and for final review by the County Commissioners approximately three (3) weeks from that date. We appreciate your thoughful and cooperative processing of this application. Very truly yours, Lester M. Kaplan President Attachment /dg 612 r AFFIDAVIT OF INTEREST OWNERS MINERALS AND/OR SUBSURFACE Application No. Subject Property Sandusky Oil and Gas Well Location (S/2 NW/4 Sec. 15 , T5N, R65W) STATE OF COLORADO ) ss. COUNTY OF WELD: THE UNDERSIGNED, being first duly sworn, states that to the best of his or her knowledge the attached list is a true and accurate list of the names and addresses of all mineral owners and lesses of mineral owners on or under the parcel of land which is the subject of the application as their names appear upon the records in the Weld County Clerk and Recorder's Office, or from an ownership update from a title or abstract company or an attorney. -i ") �?C/C!/a x '{ 10.. / The foregoing instrument was subscribed and sworn to before me this 17 day of January , 19 85. WITNESS my pond and official seal. My Commission expires: 3/19/88 h Cn � Deborah L. Gentry(( Lary Public 155 East Boardwalk Drive , Suite 300 Fort Collins , Colorado 80525 Basin Exploration Sandusky Wells USR-665 Surrounding Property Owners Hamako Miyoshi 2120 Cherry Avenue Greeley, CO 80631 James & Michele Vetting 22670 WCR 54 Greeley, CO 80631 James & Irene Maxey 1951 Hwy 34 E. Greeley, CO 80631 Myrtle Robb c/o Eugene Robb 2232 E. Colo. St. Hwy. 34 Greeley, CO 80631 John Burger P.O. Box 703 Greeley, CO 80632 B.R. & Lola I. Richardson 1846 Cherry Avenue Greeley, CO 80631 A.L. & Edward Harrington Foq,/ 2126 14th Street f nd o Greeley, CO 80631 Douglas & Dorothy Uyemura 1116 E. 20th Street Greeley, CO 80631 Lory E. Ferguson, Jr. 2121 Cherry Street Greeley, CO 80631 United Bank of Greeley Trustee for Thomas F. Fay 1000 10th Street Greeley, CO 80631 Milton Tokunaga 1739 17th Avenue Greeley, CO 80631 Basin Exploration Sandusky Wells Mineral Owners Alvin & Barbara Herman 1411 F. 24th Street Greeley, CO 80631 Edward J. Eisenman 1612 1st Avenue Greeley, CO 80631 Tamara Barr 11209 WCR 28 Ft. Lupton, CO 80621 Willis & Imogene L. Kramer 2350 Cherry Avenue Greeley, CO 80631 SOIL SURVEY OF rVELD COUNTY, COLORMJO, SOUTHERN PART United States Department of Agriculture, Soil Conservation Service, in cooperation with the Colorado Agricultural Experiment Station 3 Yx ti� • 10 ... \., "wt..Iv_ r • V °-'" • .• . , 'Ca'\ 3 -tial' `' I r' �1i 9 ,CACHE •'p `� $a a / '. �}y� �-�—� wale. rC 4f� I "tl -17.%.,, J l¢" 1i1 3 ` 'X 7'..,�4 '• "/ /_ / 1 i ,� 3 r• µ } 4y, 1. '':k1;: r-y r5t b i t ' ,4,-.; '� �u' \ZK� Il�ti'- `'�". r L. , t " r { 'Qb r ';y y�.� 4y E. gem:,*'; 10 1: 11. L• °• F '85. ' q 1�.4;x` 10 't, . : ' � ��y32' r w }�'. , • T1y} • zJ1..W:'C`" /' J .. ,M?4sa/°f..s ,.. . .3 �" ., roro !' ♦y �s qLL . • T LINN a `Ve~ 68 �iJM { + AIL w®ftj! bete4 iHl 50 .1 / -yc Ir. r. dv{;t i :1. 4 r �a, & r r star x r 1 1,,r+ ail „'�,. R *.. :; d e 1 sir§� '1a ,�� •,:' ry �: tali kir*. /! ,'i :. 5° ,A yr"C _Li,, rNll$_ T: b ? r JI,} l � ,to� .w ,' ;.,t • $„ 1. SANDUSKY LEASE V �� 4 v w' cj• �' S2NDU Y LEASE /I 15 I1f lRw 1#fi4^ .T �-r n c } f aR `+"' ppM r _ 4�4 c*2:4 e F , ...r4. ]0 6 b c �r .1.11.1)417E1 I VEE � I r , „� . ° 4 , '" i1)„ ,.,-•...1. yi. t Cps . "" try':' le i4, '. s�i' p µms - 16,4k S t 4 k '4 fp a 2'MaJ it "k+�r'' LL n I A,,Wtit, �V t ( f r c > 1,. f . .;l! Y' ,'Er n,,{� ' `� 4 y ' A . fv r kb ', F /t / R _ 0 z ty rt ('. .t. I 7•I "' '+, a, d 'j r yp, , , ,r d�. ,ir 1Jil:� V "Yc4ncs 4r .,;' .c.B r .Y.J :nI' 'ri , .s� r k*i, e Q� 1 , r ra}T T F(",,. • ?6 A.-. rt May �y�yg JC Z ' t'.'xf-:HL .. —�'u�•wr „w!'�... 4cr'""@i .n,+..�w.n...na..s. , Soil descriptions 1—Altvan loam, 0 to 1 percent slopes. This is a deep, 2—Altvan loam, I to 3 percent slopes. This is a deep, well drained soil on terraces at elevations of 4,500 to 4,900 well drained soil on terraces at elevations of 4,500 to 4,900 feet. It formed in old alluvium deposited by the major feet. It formed in old alluvium deposited by the major rivers. Included in mapping are small areas of soils that rivers. Included in mapping are small areas of soils that show evidence of poor drainage. Also included are small, show evidence of poor drainage. Also included are small, long and narrow areas of sand and gravel deposits. long and narrow areas of sand and gravel deposits. Typically the surface layer of the Altvan soil is grayish Typically the surface layer of this Altvan soil is grayish brown loam about 10 inches thick. The subsoil is brown brown loam about 10 inches thick. The subsoil is brown and light yellowish brown clay loam and sandy clay loam and light yellowish brown clay loam and sandy clay loam about 15 inches thick. The substratum is calcareous loamy about 14 inches thick. The substratum is calcareous loamy sand about 6 inches thick over gravelly sand. sand about 5 inches thick over gravelly sand. Permeability and available water capacity are Permeability and available water capacity arc moderate. The effective rooting depth is 20 to 40 inches. moderate. The effective rooting depth is 20 to 40 inches. Surface runoff is slow, and the erosion hazard is low. Surface runoff is medium, and the erosion hazard is low. This soil is used almost entirely for irrigated crops. It This soil is used almost entirely for irrigated crops. It is suited to all crops commonly grown in the area, includ- is suited to all crops commonly grown in the area, includ- ing corn, sugar beets, beans, alfalfa, small grain, potatoes, ing corn, sugar beets, beans, alfalfa, small grain, potatoes, and onions. An example of a suitable cropping system is 3 and onions. An example of a suitable cropping system is 3 to 4 years of alfalfa followed by corn, corn for silage, to 4 years of alfalfa followed by corn, corn for silage, sugar beets, small grain, or beans. The high clay content sugar beets, small grain, or beans. Land leveling, ditch and the rapidly permeable substratum slightly restrict lining, and installing pipelines may be needed for proper some crops. water application. All methods of irrigation are suitable, but furrow ir- All methods of irrigation are suitable, but furrow ir- rigation is the most common (fig. 4). Proper irrigation rigation is the most common. Barnyard manure and corn- water management is essential. Barnyard manure and mercial fertilizer are needed for top yields. commercial fertilizer are needed for top yields. Windbreaks and environmental plantins of trees and Windbreaks and environmental plantings of trees and shrubs commonly grown in the area are generally well shrubs commonly grown in the area are generally well suited to this soil. Cultivation to control competing suited to this soil. Cultivation to control competing vegetation should be continued for as many years as vegetation should be continued for as many years as possible following planting. Trees that are best suited and possible following planting. Trees that are best suited and have good survival are Rocky Mountain juniper, eastern have good survival are Rocky Mountain juniper, eastern redcedar, ponderosa pine, Siberian elm, Russian-olive, and redcedar, ponderosa pine, Siberian elm, Russian-olive, and hackberry. The shrubs best suited are skunkbush sumac, hackberry. The shrubs best suited are skunkbush sumac, lilac, Siberian peashrub, and American plum. lilac, Siberian peashrub, and American plum. This soil can produce habitat elements that are highly suitable for openland wildlife including pheasant, cotton- suitable for openland wildlife, including pheasant, cotton- tail, and mourning dove. Such crops as wheat, corn, and tail, and mourning dove. Such crops as wheat, corn, and alfalfa provide suitable habitat for openland wildlife, alfalfa provide suitable habitat for openland wildlife, especially pheasant. Tree and shrub plantings and especially pheasant. Tree and shrub plantings and undisturbed nesting cover would enhance openland wil- undisturbed nesting cover would enhance openland wil- dlife populations. dlife populations. This Altvan soil has fair to good potential for urban This Altvan soil has fair to good potential for urban and recreational development. The chief limiting soil fea- and recreational development. The chief limiting soil fea- tures for urban development are the shrink-swell poten- tures for urban development are the shrink-swell poten- tial of the subsoil as it wets and dries and the rapid tial of the subsoil as it wets and dries and the rapid permeability of the sand and gravel substratum. Septic permeability of the sand and gravel substratum. Septic tank absorption fields function properly, but in places the tank absorption fields function properly, but in places the substratum does not contain enough fines to properly substratum does not contain enough fines to properly filter the leachate. Sewage lagoons require sealing. Lawns, shrubs, and trees grow well. Capability subclass filter the leachate. Sewage lagoons require sealing. Lawns, shrubs, and trees grow well. Capability subclass Ile irrigated. Its irrigated. c l . 68—Ustic Torriorthents, moderately steep. These are 3—Aquolls and Aquents, gravelly substratum. This deep, excessively drained soils on terrace breaks and nearly level map unit is on bottom lands and flood plains escarpments at elevations of 4,450 to 5,100 feet. They of all the major streams in the survey area. Aquolls, formed in gravelly alluvium and have slopes of 9 to 25 which have a dark colored surface layer, make up about percent. Included in mapping are small areas of soils that 60 percent of the unit. Aquents, which have a lighter have pockets of sandy loam and loam in the underlying colored surface layer, make up about 35 percent. About 5 material. percent is Aquepts and Bankard sandy loam. Typically the surface layer is pale brown gravelly sand These are deep, poorly drained soils that formed in about 10 inches thick. The underlying material to a depth recent alluvium. No one pedon is typical. Commonly the of 60 inches is pale brown gravelly sand. soils have a mottled, mildly alkaline to moderately al- Permeability is rapid. Available water capacity is low. kaline loamy or clayey surface layer and underlying The effective rooting depth is 60 inches or more. Surface material and are underlain by sand or sand and gravel runoff is medium, and the erosion hazard is moderate. within 48 inches. In places they have a gleyed layer in the The potential native vegetation is dominated by little underlying material. bluestem, sideoats grama, sand reedgrass, blue grams, Most of the acreage is subject to flooding. The water hairy grama, switchgrass, and needleandthread. Potential table is at or near the surface early in spring and recedes production ranges from 700 pounds per acre in favorable to as deep as 48 inches late in fall in some years. years to 200 pounds in unfavorable years. As range condi- These soils are used for rangeland and wildlife habitat. tion deteriorates, the tall and mid grasses decrease, blue Some small areas have been reclaimed by major drainage grama and hairy grama increase, and forage production and leveling and are used for irrigated crops. drops. The potential native vegetation is dominated by alkali Management of vegetation should be based on taking sacaton, switchgrass, and western wheatgrass. Saltgrass, half or less of the total annual production. Deferred graz- sedge, rush, and alkali bluegrass are also prominent. ing is practical in improving range condition. Seeding and Potential production ranges from 3,000 pounds per acre in mechanical treatment are impractical. favorable years to 2,000 pounds in unfavorable years. As Windbreaks and environmental plantings generally are range condition deteriorates, the switchgrass, alkali not suited to these soils. Onsite investigation is needed to sacaton, and western wheatgrass decrease and saltgrass, determine if plantings are feasible. sedge, and rush increase. Wildlife populations are limited because the necessary Management of vegetation should be based on taking habitat elements are lacking. Because most of the acreage half and leaving half of the total annual production. Seed- is rangeland, only rangeland wildlife, for example scaled ing is difficult and costly because numerous tillage prat- quail and antelope, are typical. Extreme care is needed in tices are required to eliminate the saltgrass sod. managing livestock grazing in order to provide suitable Switchgrass, western wheatgrass, alkali sacaton, tall habitat on these soils. wheatgrass, and tall fescue are suitable for seeding. They Potential is poor for urban and recreational develop- can be seeded into a clean, firm seedbed. Seedbed ment. The chief limiting soil features are the loose, coarse preparation usually requires more than 1 year to textured soil, steep slopes, and rapid permeability. Caps- eliminate the saltgrass sod. A grass drill should he used. bility subclass VIls irrigated, VIIs nonirrigated; Gravel Seeding early in spring has proven most successful. Breaks range site. Wetland wildlife, especially waterfowl, utilize this unit. The wetland plants provide nesting and protective cover, as well as some food. The nearby irrigated cropland, where wildlife obtain much of their food and find protec- tive cover, makes this unit valuable to both wetland and openland wildlife. Openland wildlife, especially pheasant, use this unit for cover and nesting. Deer find excellent cover in some areas. These valuable wildlife areas should be protected from fire and fenced to prevent encroachment and overuse by livestock. They should not be drained. These soils have good potential as a source of sand and gravel. Capability subclass VIw; Salt Meadow range site. C LAW OFFICES DONALD W. MARSHALL. JR.. P.C. ONE PARK CENTRE SUITE 300 1333 W. 120TH AVE. WESTMINSTER.CO 80234 (303)451-1122 DONALD W.MARSHALL JR. November 20 , 1984 Mr . Lester Kaplan, President Basin Exploration, Inc. 155 E. Boardwalk #300 Fort Collins, CO 80525 Re : Drilling Title Opinion Sandusky, et al . Lands Dear Mr . Kaplan: Pursuant to your instructions , I have prepared this Drilling Title Opinion on the Sandusky, et al . leases. This opinion is subject to all Title Comments and Requirements set forth below. I LAND DESCRIPTION Township 5 North , Range 65 West, 6th P.M. Section 15 : S1/2NW1/4 Weld County, Colorado For purposes of this Title Opinion, the lands have been divided into five parcels. The parcels are numbered and identified based on present ownership. The parcels involved in the subject lands are as follows : 1 . Herman Parcel : All lands in the S1/2 of the NW1/4 of Section 15, T5N, R65W, South of the Greeley Irrigation Company Canal , except for those lands described in Parcel 2 . 2. Eisenman Parcel : Beginning at the center corner of Section 15 and considering the East line of the Northwest Quarter (NW1/4) of said Section 15 to bear South 00°17 ' 00" West and with all other bearings contained herein relative thereto : Thence South 89° 54 ' 01" West along the South line of the Northwest Quarter (NW1/4) of said Section 156 1563 . 45 feet; Thence North 00 05 ' 5911 West, 494 . 38 feet; Thence along the Southerly bank of the Greeley Irrigation Company ,11 Basin Exploration, Inc. Re : Drilling Title Opinion Sandusky, et al . Lands November 20 , 1984 Page 2 canal by the following 6 courses and distances : North 70 °54 ' 58" East, 274.20 feet; North 66°35 ' 34" East, 233 . 12 feet; North 61°00 ' 00" East, 284 .90 feet; North 52° 10 ' 56" East, 227 . 17 feet; North 48°30 ' 27" East, 501 .87 feet; North 50° 37 ' 58" East, 83 . 16 feet; Thence North 89° 56 ' 48" East, 220 . 77 feet to a point on the East line of the Northwest Quarter (NW1/4) of said Section 15; Thence South 00° 17 ' 00" West along the East line of the Northwest Quarter (NW1/4) of said Section 15, 1324 . 84 feet to the Point of Beginning . Said tract contains 32 . 629 acres. 3 . Barr Parcel : Beginning at the Northwest Corner of Section 15 and considering the West Line to bear due South and with all other bearings contained herein being relative thereto : Thence South 1332. 13 feet to the Northwest Corner of the S1/2 of the NW1/4 of Section 15; Thence East 30 feet to the True Point of Beginning : Thence South 257 . 00 feet; Thence East 207. 00 feet; Thence North 257 .00 feet; Thence West 207.00 feet to the True Point of Beginning . Said tract contains 1 . 22 acres. 4 . Kramer Parcel : A portion of Lot A of Recorded Exemption No. 0961-15-2-RE304 located in the S1/2 of the NW1/4 of Section 15 , Township 5 North, Range 65 West of the 6th P.M. , Weld County, Colorado, described as commencing at the West Quarter Corner of Section 15 and considering the West line of said quarter to bear North 00° 00 ' 00" East with all other bearings contained herein relative thereto; thence North 00° 00 ' 00" East, 120 . 50 feet along the West line of said Northwest Quarter; Thence North 59° 20 ' 00" East , 32 . 06 feet to the Southwest Corner of Lot "A" and the True Point of Beginning; thence North 00° 00 ' 00" East , 181 . 28 feet along the West line of said Lot "A"; thence North 90° 00 ' 00" East, 480 . 59 feet to a point on the North bank of the Greeley Irrigation Company Canal ; thence South 69° 20 ' 00" West, 513 . 64 feet along said North bank to the True Point of Beginning . 5. Vetting Parcel : The South Half (S1/2) of the Northwest �1 Lt.( • Basin Exploration, Inc. Re : Drilling Title Opinion Sandusky, et al . Lands November 20 , 1984 Page 3 Quarter (NW1/4) of Section Fifteen (15) , T5N, R65W, of the 6th P.M. , according to the subdivision of lands by Union Colony of Colorado , lying North of the canal of the Greeley Irrigation Company asnow constructed over and across said lands , except for Parcels 3 and 4 above. II TITLE DATA EXAMINED 1 . A chain of title prepared by the Stewart Title Company, Greeley, Colorado, as posted to its tract index at 7 : 45 a.m. on October 23 , 1984 . 2. The records of the Clerk and Recorder for Weld County, Colorado, as identified in the chain of title of Stewart Title Company identified above. Please note that no search of the grantor/grantee index of Weld County has been made. The Weld County Clerk and Recorder does not maintain a tract index for the ' lands within the County. III OWNERSHIP OF SURFACE The surface of the described parcels is owned as follows : 1. Herman Parcel : Alvin J. Herman and Barbara M. Herman , as joint tenants. 2 . Eisenman Parcel : Edward J. Eisenman . 3 . Barr Parcel : Tamara Barr . 4 . Kramer Parcel : Willis B. and Imogene L. Kramer . 5 . Vetting Parcel : James E. Vetting and Michele I . Vetting . IV OWNERSHIP OF MINERALS The oil and gas mineral rights in each of the described parcels is owned as follows : 7Y Basin Exploration, Inc. Re : Drilling Title Opinion Sandusky, et al . Lands November 20, 1984 Page 4 1 . Herman Parcel : Alvin J. Herman and Barbara M. Herman, an undivided one-half of the oil and gas minerals in this parcel . 2. Eisenman Parcel : Edward J. Eisenman, an undivided one- half of the oil and gas minerals in this parcel . 3 . Barr Parcel : Tamara Barr , an undivided one-half of the oil and gas minerals in this parcel . 4 . Kramer Parcel : Willis B. and Imogene L. Kramer, an undivided one-half of the oil and gas minerals in this parcel . 5. Vetting Parcel : James E. Vetting- and Michele I . Vetting , an undivided one-half of the oil and gas minerals in this parcel . 6 . An undivided one-half of the oil and gas mineral rights for the entire S1/2 of the NW1/4 of Section 15 , T5N, R65W, is owned by Henry C. Sandusky and Lois M. Sandusky, as joint tenants. V TAXES The records of the County Treasurer for Weld County, Colorado, show that taxes have been paid on all of the above described parcels . VI MORTGAGES, LIENS AND ENCUMBRANCES The following parcels are subject to liens and encumbrances : 1 . Herman Parcel : This parcel is encumbered by a deed of trust dated March 13 , 1979 , and recorded March 15 , 1979 , at Book 863 , Reception 1784551 . The trust deed is for the benefit of the First Denver Mortgage Company and secures a loan in the amount of $50 , 000 of even date. The trust deed was subsequently assigned to the First National Bank of Greeley by instrument recorded March 15 , 1979 , at Book 863 , Reception 1784552. This mortgage does encumber the oil and gas mineral estate on the Herman Parcel . 2 . Barr Parcel : A deed of trust dated September 26 , 1979 , was recorded September 26 , 1979 , at Book 882 , Reception 1804431 . The deed of trust from Tamara Barr secures repayment of $13 , 700 to the PUr Basin Exploration, Inc . S ` b t Re: Drilling Title Opinion ✓ {, � Sandusky, et al . Lands ,t November 20, 1984 Page 5 Evans Financial Corporation. This deed of trust was assigned by instrument recorded October 29 , 1979, at Book 886 , Reception 1807683 , to American National Trust and Savings Association. This mortgage encumbers the oil and gas mineral estate on the Barr parcel . 3 . Vetting Parcel : A deed of trust dated June 3 , 1983 , was recorded June 3 , 1983 , at Book 998 , Reception 1929164 . By this instrument, James E. and Michele I . Vetting secured payment of the sum of $105,000 to Willis B. and Imogene L. Kramer . This mortgage does encumber the oil and gas mineral estate on the Vetting parcel . VII EASEMENTS The following easements or rights-of-way appear of record with reference to the subject lands: 1. An irrigating ditch crosses the lands running from the East to the West boundary. While no instrument does appear of record showing a designated center line for this canal , it has been used as a boundary to divide parcels within the subject lands. The right-of-way for the canal should be respected during any drilling or production - operations. 2 . By warranty deeds recorded at Book 540 , Reception 1461634 and at Book 543 , Reception 1464897, an easement was created for an irrigation well , electric pump and associated equipment known as the H.C. Sandusky Irrigation Well No. 1 . The easement indicates the well is located at a point which is approximately 58 feet East and 105 feet South of the Southwest Corner of the S1/2 of the NW1/4 of Section 15 , together with pipe and ditch from said well and rights of ingress and egress for the operation and maintenance thereof. VIII BASIC OIL AND GAS LEASES The parcels identified in Section I above are subject to the following oil and gas leases : 1 . Herman Parcel : A lease from Alvin J. Herman and Barbara J . Herman, as lessors , to Basin Exploration, Inc . , as lessee, dated October 12 , 1984, was recorded October 19 , 1984 , at Book 1046 , Basin Exploration, Inc. Re: Drilling Title Opinion Sandusky, et al . Lands November 20, 1984 Page 6 Reception 1985574 . The lease is a paid up lease effective to December 31, 1984 . It pertains to the Herman parcel South of the Greeley Irrigation Company canal . The lease provides for a landowner royalty of 1/8th of production. 2. Eisenman Parcel : Not leased . 3 . Barr Parcel : Not leased . 4 . Kramer Parcel : Not leased . 5 . Vetting Parcel : Not leased . 6 . All of the subject parcels are covered by an oil and gas lease from Henry C. Sandusky and Lois M. Sandusky, as lessors, to Basin Exploration, Inc. , as lessees , dated November 23, 1981 , recorded March 2, 1982 , at Book 962 , Page 1884518 . This lease was for a primary term of three years and required delay rentals beginning November 25, 1982. The lease provided for a landowner royalty of 1/8th of production. This lease was extended by an instrument recorded October 1, 1984 , at Book 1045, Reception 1983353 . This instrument extended the oil and gas lease to December 31 , 1984 . IX ASSIGNMENTS OF OIL AND GAS LEASES No assignments of the basic oil and gas leases appear of record . X STATUS FOR DRILLING Assuming appropriate oil and gas leases are obtained on the Eisenman, Barr, Kramer and Vetting parcels , and further subject to Title Comments and Requirements set forth below, it is my opinion that title is acceptable for drilling purposes. XI TITLE COMMENTS AND REQUIREMENTS 1. The instruments of record do not identify sufficiently the number of acres included in the various parcels. For drilling Basin Exploration, Inc. Re: Drilling Title Opinion Sandusky, et al . Lands November 20, 1984 Page 7 purposes, it is not necessary to know the specific acreage involved . However , if production is obtained , a determination of acreages will be required for Division Order Title Opinion purposes . Requirement: Information only. 2 . Each of the mortgages identified in paragraph V above do encumber the oil and gas mineral estate of the grantor of the mortgage instrument. As such, the rights of the mortgagee would be superior to the lessee of any oil and gas lease from those persons. It will be necessary to obtain either ratification or subordination documents from the various mortgagees. Requirement: Obtain either subordination or ratification agreements from the various mortgagees subordinating the right of said mortgagees to the oil and gas lease on the respective parcels. 3 . The chain of title provided by Stewart Title Company does not identify a patent for the Swl/4 of the NW1/4 of Section 15 , T5N, R65W. A patent does appear of record as to the SE1/4 of the NW1/4 , Section 15 , T5N, R65W. The chain of title for all of the subject lands is continuous beginning with a warranty deed dated September 26 , 1923 , and recorded October 6 , 1923 , at Bock 712 , Page 367, Weld County records . As such, it appears that ownership and possession of the subject lands has been held under color of title for approximately 61 years. As such, curative action is not required by reason of the lack of the patent or the break in the chain of title. Exception is made, however , to this title defect. Requirement : Information only. 4 . By resolution of the Board of County Commissioners of Weld County, Colorado , dated November 6 , 1889 , recorded November 14 , 1889 , in Book 86 , Page 273 , Weld County records , all section and township lines on the public domain within Weld County were declared to be the center of public highways or county roads , 60 feet in width, 30 feet on each side of the section and township line. Requirement : All operations upon the subject lands must respect these right-of-ways . This resolution did not vest the County with any ownership of mineral interests . 116 Basin Exploration, Inc. Re: Drilling Title Opinion Sandusky, et al . Lands November 20, 1984 Page 8 5 . The subject lands were included in oil and gas leases from Willis B. Kramer and Imogene L. Kramer , dated August 7 , 1971 , recorded at Book 651 , Reception 1573370 , from Alvin J . and Barbara M. Herman , by instrument dated August 7, 1971 , and recorded at Book 651 , Reception 1573371, and from Henry C. and Lois M. Sandusky, by instrument dated July 14 , 1971 , and recorded at Book 653 , Reception 1574822 . Each of these leases named T.S. Pace as lessee. Each of the instruments provided for a primary term of five years and so long thereafter as production be maintained . Assuming that no production has continued on the subject lands, these leases would have expired . Requirement: You should satisfy yourself that no production was initiated and continued under the oil and gas leases identified in this paragraph. I would recommend , but not make mandatory , obtaining an affidavit of non-production from at least one of the mineral owners, preferably Henry Sandusky, evidencing the fact that no production of oil and gas was obtained . 6 . An instrument dated October 7 , 1983 , was recorded October 12, 1983 , at Book 1010, Reception 1943312. This instrument appears to evidence a letter agreement between Basin Exploration, Inc . , and Unioil Company pertaining to the subject lands. The instrument does refer specifically to the SW1/4 of the NW1/4 of Section 15 , T5N, R65W, and other lands. The letter indicates that Basin has agreed to assign to Unioil the described acreage including 100% of the working interest and 80.5% net revenue interest. Requirement: You should satisfy yourself as to the terms of any contract existing between Basin Exploration, Inc. , and Unioil . Any contractual obligations must be respected . 7 . The oil and gas lease from Henry C. and Lois M. Sandusky to Basin Exploration, Inc. , of November 23 , 1981 , did require the annual payment of delay rentals. The lease would have terminated if the delay rentals were not paid . Requirement : You should satisfy yourself that the delay rentals required under the basic oil and gas lease have been paid and accepted . 1Q' Basin Exploration, Inc. Re: Drilling Title Opinion Sandusky, et al . Lands November 20, 1984 Page 9 10. This Opinion is based solely upon examination of the materials set forth above, and does not cover the rights of persons in possession; liens for labor or materials accrued but not filed; rights-of-way for roads and public highways not conveyed by deed or condemnation proceedings of record; title mortgages , financing statements or other instruments affecting crops and fixtures; other matters not reflected in the materials examined ; or orders of any administrative body, other than the Colorado Oil and Gas Conservation Commission; nor do I certify as to the effect of any order , rule, or regulation of the Federal Energy Regulatory Commission upon the right to produce and sell gas from the subject lands . The undersigned has not made a physical inspection of the premises. As such, this Title Opinion excepts any title problems , notice of which would be given by physical inspection of the premises . Requirement : Inspect the subject real property to determine whether any evidence of oil and gas operations or interests contrary to those shown in this Title Opinion are present. Very truly yours , DONALD W. MARSHALL, JR. , P.C. Donald W. Marshall , Jr . DWM: lcb • Ct No. 941. PRODUCERS 88.—Bramurd Publishing.15165 West lrth Avenue,Golden,Colorado 80401—k a )218.0644-9-80 OIL AND GAS LEASE t AGREEMENT Made and entered into the 10th day Nove ber e�► 1 of tP , 19. 1...... by and between Tamara A. Barr 11 . 2300 Cherry Avenue U 44\ party Greeley, Colorado 80631 party of the first part,hereinafter called lessor (whether one or more) and Basin Exploration Inc. , party of the p second part,hereinafter called lessee. V`L l WITNESSETH, That the said lessor,for and in consideration of Ten and more DOLLARS, l cash in hand paid, receipt of which is hereby acknowledged and of the covenants and agreements hereinafter con- tained on the part of lessee to be paid, kept and performed,has granted,demised,leased and let and by these presents does grant, demise, lease and let unto the said lessee, for the sole and only purpose of mining and operating for oil and gas, and laying pipe lines, and building tanks, power stations and structures thereon to produce, save and take care of said products, all that certain tract of land situate in the County of Weld e Colorado State of , described as follows, to wit: ri See attached "Exhibit A" °' (Recorded in Book No. 858 Rec. No. 1779898) 1"�l of Section 15 Township TSN Range 65W and containing one acres,more or less. It is agreed that this lease shall remain in force for a term of 3 years from this date, and as long there- -' i i after as oil and gas, or either of them, is produced from said land by the lessee. In consideration of the premises the said lessee covenants and agrees: 1. To deliver to the credit of the lessor, free of cost, in the pipe line to which the lessee may connect his wells, the equal One Eighth part of all oil produced and saved from the leased premises, as royalty or, at lessee's election, to pay the lessor for such royalty the market price prevailing the day the oil is run into the i Eighth One Ei i pipe line, or in storage tanks. To pay the lessor as royalty g of all other minerals and hydrocarbons which the lessee produces and saves from said lands. 2. To pay for the gas from each well found upon the saidpremises, which shallproduce gas in marketable P quantities, a royalty of One Eighth per cent of the net proceeds derived from the sale of such gas, or of the gasoline that such gas may be converted into and marketed off the premises. If no well be commenced on said land on or before the 15th day of November 19..$2..., this lease shall terminate as to both parties, unless the lessee on or before that date shall pay or tender to the lessor, li or to the lessor's credit in the Bank of Lessor's choice or its successors, which shall continue as the depository regardless of changes in the ownership of said land, the sum of Qne— DOLLARS, which shall operate as a rental and cover the privilege of deferring the commencement of a well for 12 months from said date. In like manner and upon like payment or tenders the commencement of a well may be further deferred for a like period of the same number of months suc- cessively. And it is understood and agreed that the consideration first recited herein, the down payment, covers not only the privileges granted to the date when said first rental is payable as aforesaid, but also the lessee's option of extending that period aforesaid, and any and all other rights conferred.*gee bottom of this page Should the first well drilled on the above described land be a dry hole, then anei in that event, if a seelma well is not commenced on said land within twelve months from the expiration of the last rental period which rental has been paid, this lease shall terminate as to both parties, unless the lessee on or before the expiration of said twelve months shall resume the payment of rentals in the same amount and in the same manner as hereinbefore provided. And it is agreed that upon the resumption of the payment of rentals,as above provided that the last preceding para- graph hereof, governing the payment of rentals and the effect thereof, shall continue in force just as though there had been no interruption in the rental payments. If said lessor owns a less interest in the above described land than the entire and undivided fee simple estate therein, then the royalties and rentals herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee. Lessee shall have the right to use,free of cost, gas,oil and water produced on said land for its operation thereon, except water from wells of lessor. When requested by lessor, lessee shall bury its pipe lines below plow depth. No well shall be drilled nearer than 200 feet to the house or barn now on said premises, without the written consent of the lessor. Lessee shall pay for damages caused by its operations to growing crops on said land. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises, including the right to draw and remove casing. If the estate of either party hereto is assigned, and the privilege of assigning in whole or in part is expressly !' allowed—the covenants hereof shall extend to their heirs, executors, administrators, successors, or assigns, but no I change in the ownership of the land or assignment of rentals or royalties shall be binding on the lessee until after the lessee has been furnished with a written transfer or assignment or a true copy thereof; and it is hereby agreed that in the event this lease shall be assigned as to a part or as to parts of the above described lands and the assignee or assigns of such part or parts shall fail to make default in the payment of the proportionate part of the rents due from him or them, such default shall not operate to defeat or affect this lease in so far as it covers a part or parts of I said lands upon which the said lessee or any assignee thereof shall make due payment of said rental. Lessor hereby warrants and agrees to defend the title to the lands herein described, and agrees that the lessee II shall have the right at any time to redeem for lessor, by payment, any mortgages, taxes or other liens on the above described lands, in the event of default of payment by lessor, and be subrogated to the rights of the holders thereof. I War Clause for Oil and Gas Lease: This lease shallalletastlikini9St4DialmIlle bif lentrt, nor shall lessee be held liable in damages, for failure to comply with the expr al qro]1nyh ell covvf�eenpttts, if compliance therewith is prevented by, or if such failure is the result of, any Fedora t*State fawk, executiVeaers, rules, or regulations. If, at the end of the primary term hereof such term has not been extended by production or drilling as in this lease provided, and lessee, by reason of any of the above recited causes, is unable to drill a well on the leased premises for oil or gas, the primary term and I the rental provision hereof shall be extended automatically from year to year until the first anniversary hereof occur- ring ninety (90) or more days following the removal of such delaying cause. During any period that lessee is unable 'I • to produce and/or market any products from the leased premises by reason of any of the above recited causes, this lease shall remain in full force and effect. *In the event of a gas discovery then $1 .00 per annum shall be paid in lieu of royalty until gas is marketed and sold. / In Testimony Whereof We Sign,this the /� day of !41C�1-�trti bey- , 19g1 Witness: ��J .( �UYY. ._ - (SEAL) iI Tamara .F - Barr (SEAL) 20 BOOK..-954- RECEPTION 18'7b38`l 3- ?- ACKNOWLEDGMENT To THE LEASE STATE OF Colorado 1 . County of Weld es. County I, a Notary Public in and for said. Weld County, in the State aforesaid, do hereby certify that Tamara A. Barr �,.i1.'! who IS personally known to me tecfae%.•e,Ausono. ;. •whose name subscribed to the foregoing Lease, appeared before me this day in person, and acknowledged that S ••ttt8 ` CP• S': signed, sealed and delivered the said instrument of writing as her free and voluntary act and deed*kite rQiei Cfprpils&Q1 =_ therein set forth. // `/�•� _ Given under my hand and seal,ff� C seal, this _....(< —a day of / ... ..: : ..._� l.. ? My commission expires.*.Ts......ill Ilik yaa..�.N�U� ..Expums.. Yst.2A, � �71 � t W Ca11Me,must JPC.ti'G ....... No[sry•P'ube ASSIGNMENT namedKNOW coLnsideration BY m THESE sum of one PRESENTS, That (E 1.00) and other the within good and valuable considerations to me in hand paid, the receipt whereof is hereby confessed and acknowledged, do hereby sell, assign, transfer, set over, and convey unto and conveyance, to have and to hold the same for the term and under the conditions therein contained.his heirs and assigns, the within lease, gran! IN WITNESS WHEREOF, I have hereunto set any hand and seal this day of 19 ACKNOWLEDGMENT TO ASSIGNMENT STATE OF l }ee. County of 111 I, a Notary Public in and for said County, in the State aforesaid, do hereby certify that who personally known to me to be the person whose name subscribed to the foregoing Lease, appeared before me this day in person, and acknowledged that signed, sealed and delivered the said instrument of writing as free and voluntary act and deed for the uses and purposes therein set forth. Given under my hand and seal, this day of 19 My commission expires Notary Public. ik7 •C9 Oli Hi I•�ILA— n ti_. _ cn rTT tb n_ sa —�N -— to CI CO S o x �_ m 3 ..-s._ ., m a Fro --- C/) U U] __—_- _. a - -- ,r- -v--t9 -I-ate---mot--—o r ._ ._ o V i _ rn n d 'H 03 v —^--, El A T O M 01 b y ^ P in B Q W m u 0 Wcoo oLU a� WO co l� q a m0 ('��„7 F N yM x 2 F. W A w el u 4 at o p .y w , rO A w �4 y.y A o u0 IX o z 0 v i_ia o fr, W 0 u q O L -O F E B A q E 0 H • t'" w A /� - to ' I a, PI elk rl-\ B 1050 REC 01^^9373 11/21/84 15 : 14 `. 00 1/003 F 0494 MARY A. FEUERSTEIN CLERK & RECORIe_c WELD CO, CO I AR19893?3 OIL AND GAS LEASE AGREEMENT Made and entered into the 12th day of October 19 84 , by and between Edward J. Eisenman 1612 1st Avenue of Greeley, Colorado party of the first part, hereinafter called lessor (whether) one or more)and Basin Exploration, Inc. 155 E. Boardwalk, Ft. Collins, CO , party of the second part, hereinafter called lessee. 80525 WITNESSETII, That the said lessor, for and in consideration of Ten...or...mo.re DOLLARS, cash in hand paid,receipt of which is hereby acknowledged and of the covenants and agreements hereinafter contained on the part of the lessee to be paid,kept and performed,has granted,demised,leased and let and by these presents does grant,demise, lease and let unto the said lessee,for the sole and only purpose of mining and operating for oil and gas,and laying pipe lines,and building tanks, power stations and structures thereon to produce,save and take care of said products,all that certain tract of land situate in the County of Weld State of , described as follows, to wit: S2 NW4: Property description attached hereto (Reception No, 1580689) and made part hereof of Section 15 Township SN Ranget.;.n.44.≥ZW emRand c tainiri.32...629 acres, more or less. It is agreed that this lease shall remain in force-7�1YA�l..� .TX2. 1U9V.IIS 09O41191,and as long thereafter as oil and gas, or either of them, is produced from said land by the lessee. In consideration of the premises the said lessee covenants and agrees: I. To deliver to the credit of the lessor, free of cost, in the pipe line to which the lessee may connect his wells,the equal one-eighth part of all oil produced and saved from the leased premises,as royalty or,at lessee's 0 election,to pay the lessor for such royalty the market price prevailing the day the oil is run into the pipe line,or in storage tanks. To pay the lessor as royalty one-eighth of all other minerals and hydrocarbons which the lessee produces and saves from said lands. 2. To pay for the gas from each well found upon the said premises, which shall produce gas in marketable quantities, a royalty of one-eighth percent of the net proceeds derived from the sale of such gas,or of the gasoline that such gas may be converted into and marketed off the premises. ``IIf�f no well be commenced� g on g said land on or before the 31 day of December g19 84 dsRQt �%RRRRRRm� M � �IMMR _li Nat tAxx0txo0wmxalxaawxKnttfbxxxxxxxxxxx,x XIXKOth84xoox ORt COW XP0 b©Ox810W(POttetba Ra6(bt*XM70nzxaxd%x *K dblidsTeltaiddhlt8Ka`eihM914ditYeAR ItHAD CE*Xi RdXUKjlatI61>bKMitUntEKdiliKdOldt Mill K0hKi1DFNdeit19319 kJhMYilfd43MKIR geuxixatoalavx'xinne 17lexaoxsidpcaakmAitxxxo4De$lbxooimotitxEo787o1(lazolxotxotwxixxoaxxoix101ewxWSis4itxgoe$ee xo cbx dfaxc4micu intitxatit3tw p tmexatmotesmax4t ltX x((XP/c/t��Ydtructu metmriaX mtvtK unsi iaximutas�naw utI. dIXBtWY@hXsfdb1WeXtltK. t-r flatted y I- Should the first well drilled on the ove d cribed Ia e a r le,then and in that event,if a second well is not com- menced on said land within twelve m the from the expiration of the last rental period which rental has been paid,this lease shall terminate as to both parties,u ess the lessee on or before the expiration of said twelve months shall resume the payment of rentals in the same amount an in the same manner as hereinbefore provided.And it is agreed that upon the resumption of the payment of rentals,as abov provided that the last preceding paragraph hereof,governing the payment of rentals and the effect thereof, shall continue ' force just as though there had been no interruption in the rental payments. If said lessor owns a les interest in the above described land than the entire and undivided fee simple estate therein,then the royalties and rentals herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee, Lessee shall have the right to use,free of cost,gas,ppil apr produced on said land for its operation thereon,except water from wells of lessor. 3c-9j 4' f< When requested by lessor, lessee shat ry its pi a line elcfw plow depth. No well shall be drilled nearer tha feet to the house or barn now on said premises,whithout the written consent of the lessor. Lessee shall pay for damages caused by its operations to growing crops on said land. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises,including the right to draw and remove casing. • y If the estate of either party hereto is assigned,and the privilege of assigning in whole or in part is expressly allowed—the covenants hereof shall extend to their heirs,executors,administrators,successors,or assigns,but nq change In the owf(frship '., of the land or assignment of rentals or royalties shall be binding on the lessee until after the lessee has been furnished with a 1 written transferor assignment or a true copy thereof;and it is hereby agreed that in the event this lease shall be assigned as to a part or as to parts of the above described lands and the assignee or assigns of such part or parts shall fail to make default in the • payment of the proportionate part of the rents due from him or them,such default shall not operate to defeat or affect this lease in so far as it covers a part or parts of said lands upon which the said lessee or any assignee thereof shalt make due payment of z i'o 2 said rental. g,=i Lessor hereby warrants and agrees to defend the title to the lands herein described,and agrees that the lessee shall have in a.° the right at any time to redeem for lessor,by payment,any mortgages,taxes or other liens on the above described lands,in the `Hance o event of default of payment by lessor,and be subrogated to the rights of the holders thereof.War Clause for'Oil and Gas Lease: -,i z r Z ' This lease shall not be terminated,in whole or in part,nor shall lessee be held liable in damages,for failure to comply with ' r ,"AI the express or implied covenants hereof,if compliance therewith is prevented by,or if such failure is the result of,any Federal or i` H State laws,executive orders,rules,or regulations.If,at the end of the primary term hereof such term has not been extended by It*: �J'" proQpetiou o r ftlt;as in this lease provided,and lessee,by reason of any above recited causes,is unable to drill a well on the - leaeed.ptefgis s he 9i'sjr gas,the primary term and the rental provision hereof shall be extended automatically from year to Xtar•urltirthe first gM}iv4sary hereof occurring ninety(90)or more days following the removal of such delaying cause.During xny_perio1{I�tik�i t ssec' usable to produce and/or market any products from the leased premises by reason of any of the above r ,)0 zrecitpd��lst4 ts-leeSa shall remain in full force and effect. '' , li';': _a 'QC5Rfi(tiny Whtreof We Sign, this the ha�h ` �e'�/4mp�r 19.. .`.iIS ,- In L//^ A�9`1\GWityless:0 el w o 1-- s a d =S l'eL n ten„ \IS N; _ Edward J. E' emman i�°mom • .� >~ . • ` SS No: yeo _ c3— $/e7 (SEAL) '"irc�my.m.SiD?ca V loan Ir ld Re No. 941 PRODUCERS 88 Br.dford Publishing.5825W.61h Ave.,Lnhewood.00802N—(303)233.6900-2-52 O 22(2y B 1050 RFC 01989373 11/21/84 15 : 14 $9 . 00 2/003 F 0495 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO I ACKNOWLEDGMENT TO THE LEASE Colorado STKTE4OF,;..‘, County of [Meld I Nancy u. Tisenman a Notary Public in and for said Weld County,in the State aforesaid,do hereby certify that Edward J. Eisenman ,who is personally known to me-to be the person whose name is subscribed to the foregoing Lease,appeared before me this day in person,and acknowledged that he Isigned,sealed and delivered the said instrument of writing as his free and voluntary act and deed for the uses and purposes therein set forth. Given under my hand and MY seal,this 13th day of November 19 84 My commission expires 6-26-88 19 ,. 1it ._.•.,""•. l'-/- -/- 10 4 ASSIGNMENT Q,. r-`1Br no •,. ., : ••ttiO.,Q- a • I KNOW ALL MEN BY THESE PRESENTS,That I, t t .41�p.�y/ (��te 2iithi f named lessee,in consideration of the sum of one dollar($1.00)and other good and valuable considerationssfofak in handp�id,thie4eel kel whereof is hereby confessed and acknowledged,do hereby sell,assign,transfer,set over,and convey unto '!S. ,je,ff��SS'.;.._.,...:.!}:../ his heirs and assar,,t9 withih le�ipssgrant and conveyance,to have and to hold the same for the term and under the conditions therein contained. •�� r""'f•f, IN WITNESS WHEREOF, I have hereunto set my hand and seal this day of 19 I ACKNOWLEDGMENT TO ASSIGNMENT STATE OF County of ss. I, ,a Notary Public in and for said County,in the State aforesaid,do hereby certify that who personally known to me to be the person whose name subscribed to the foregoing Lease,appeared before me this day in person and acknowledged that s gned.sealed nd delivered the said instrument of writing as free and voluntary act and deed for the uses and purposes therem set tom. Given under my hand and seal,this day of , 19 My commission expires 19 Notary Public W • . I— w— R—. N_ r4 r� �.r--s� in___ S --re-- 2 —_,---cam--cv— a — — _ _ cu z o a� I — : : ff _-�_—�-- to __.,n--- y —_ __ _— 0 _m _ - I I__ o l 3 in • to 3/46 rs 13 ••• iEl N ' V T -^ i o0 R. 6 in W • cv a ? 00 CI) u a a CO CO gee w a ^ v40 • rra cep m V (1) 0 0 r-1 V1 � co o pay ., s_ i 0 Et p 0 z W w N C7V o �� li ] r b > D 4 0 °o T o 4 w O S _ ..La U ,..9 ..SC - CO • 0 u 0 u d O •—• m Z ra C4 o E Yo, wm o O o al o ' +, S- W s o` .,4 I LO 0 in .2 • AR1985574 B 1046„ .EC 01985574 10/19/84 10.. -2 $9. 00 1/003 F 2167 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO OIL AND GAS LEASE AGREEMENT Made and entered into the 12th day of Qctober 19 84 r by and between Alvin J. Herman and Barbara M. Herman 1411 East 24th Street of Greeley, Colorado party of the first part, hereinafter called lessor (whether) one or more) and Basin Exploration, Inc. 155 E. Boardwa].k.,...Ft.....C.ol.lins.,...CO.., party of the second part, hereinafter called lessee. 80525 WITNESSETH,That the said lessor; for and in consideration of Ten or more DOLLARS, cash in hand paid,receipt of which is hereby acknowledged and of the covenants and agreements hereinafter contained on the part of the lessee to be paid,kept and performed,has granted,demised,leased and let and by these presents does grant,demise, lease and let unto the said lessee,for the sole and only purpose of mining and operating for oil and gas,and laying pipe lines,and building tanks, power stations and structures thereon to produce,save and take care of said products,all that certain tract of land situate in the County of Wel d State of Colorado , described as follows, to wit: S% NWa: Property description attached hereto (Reception No. 1461634).._and made part hereof of Section 15 Township 5N Range Unt WD2Cnd coraiimng..lg 4 38 acres, more or less. It is agreed that this lease shall remain in force fgfXXII XX-XXXXXXX9FAI6){4 1€dR9G,and as long thereafter as oil and gas, or either of them, is produced from said land by the lessee. In consideration of the premises the said lessee covenants and agrees: I. To deliver to the credit of the lessor, free of cost, in the pipe line to which the lessee may connect his wells,the I, equal one-eighth part of all oil produced and saved from the leased premises,as royalty or,at lessee's election,to pay the lessor for such royalty the market price prevailing the day the oil is run into the pipe line,or in storage tanks. To pay the lessor as royalty one-eighth of all other minerals and hydrocarbons which the lessee produces and saves from said lands. 2. To pay for the gas from each well found upon the said premises, which shall produce gas in marketable quantities, a royalty of one-eighth percent of the net proceeds derived from the sale of such gas,or of the gasoline that such gas may be converted into and marketed off the premises. If no well be commenced on said land on or before the 31 day of December , Iq 84 this lease shall terminate�assXtooxboth parties,Xtl�(ijX(0X)QX��g(sj*XXX,XX(XkpQ�QXeX(tttAQ(.XX(�X(.X )XQ�)(��(X(f�Xt IX XX.jX(tk�(X��SX)X(PXXXX(t��l)x( SX rgl �(Y.JW(dX4JX(�itGl4X�6 iiiatiffi gligi E kilasJ(XfnlakiXxYiiiiiik ( Xtlti;(iM Ydd(JfK MHO XXXXXXXXXXXXXXXXXXXXXXXXXXXXK>1dlMXdfK XJIJfdIMXIXXXAX4XXXXaYtXaYXKD�Sd�IXi4t1E1GtAXX41(bKd(efWAA1 'f)�av1py�XXXO14 (X ,XA AX XiygE�Ka�r 48EXrXdX((pXo`ygEXXX�JGIQ%yc{Oryy$eQXcpt XypKy)Q{ XDX(dx6X,Xp(yy fPy�LXOdQp61ypXXj�ffiXXXit�il'e(yX+11 (yfpgP{af ypXXX BMQXIXX( Should the first well drilled on the above described land be a dry hole,then and in that event,if a second well is not com- menced on said land within twelve months from the expiration of the last rental period which rental has been paid,this lease shall terminate as to both parties,unless the lessee on or before the expiration of said twelve months shall resume the payment of rentals in the same amount and in the same manner as hereinbefore provided.And it is agreed that upon the resumption of the payment of rentals,as above provided that the last preceding paragraph hereof,governing the payment of rentals and the effect thereof, shall continue in force just as though there had been no interruption in the rental payments. If said lessor owns a less interest in the above described land than the entire and undivided fee simple estate therein,then the royalties and rentals herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee. Lessee shall have the right to use,free of cost,gas,oil and water produced on said land for its operation thereon,except water from wells of lessor. When requested by lessor, lessee shall bury its pipe lines below plow depth. No well shall be drilled nearer than 200 feet to the house or barn now on said premises,whithout the written consent of the lessor. Lessee shall pay for damages caused by its operations to growing crops on said land. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises,including the right to draw and remove casing. If the estate of either party hereto is assigned,and the privilege of assigning in whole or in part is expressly allowed—the covenants hereof shall extend to their heirs,executors,administrators,successors,or assigns,but no change in the ownership of the land or assignment of rentals or royalties shall be binding on the lessee until after the lessee has been furnished with a written transferor assignment or a true copy thereof;and it is hereby agreed that in the event this lease shall be assigned as to a part or as to parts of the above described lands and the assignee or assigns of such part or parts shall fail to make default in the payment of the proportionate part of the rents due from him or them,such default shall not operate to defeat or affect this lease in so fakas it covers a part or parts of said lands upon which the said lessee or any assignee thereof shall make due payment of said r₹ht/L., .Less(er hereby warrants and agrees to defend the title to the lands herein described,and agrees that the lessee shall have 47,0 the rigl at any time to redeem for lessor,by payment,any mortgages,taxes or other liens on the above described lands,in the WIeift Ofkltp,fault of payment by lessor,and be subrogated to the rights of the holders thereof.War Clause for Oil and Gas Lease: '^$'e - 'This lease shall not be terminated,in whole or in part,nor shall lessee be held liable in damages,for failure to comply with ti 2 ti 0 0 the express or implied covenants hereof,if compliance therewith is prevented by,or if such failure is the result of,any Federal or z s State laws,executive orders,rules,or regulations.If,at the end of the primary term hereof such term has not been extended by z 2 W rc g production or drilling as in this lease provided,and lessee,by reason of any above recited causes,is unable to drill a well on the a W o g r- leased premises for oil or gas,the primary term and the rental provision hereof shall be extended automatically from year to o n,2 1 W year until the first anniversary hereof occurring ninety(90)or more days following the removal of such delaying cause.During 'u a>W any period that lessee is unable to produce and/or market any products from the leased premises by reason of any of the above : z r a recited causes, this lease shall remain in full force and effect. tt 8 ii ii i Woo - m In Testimony Whereof We Sign, thi e /,3 a day.. of..... 61� 2---4 , 198` 2 r�z W° /2 / Witness / ) ,,,�`,r te, o a/. . . .,t,�(-. .�..../� ... ""- —trJ .-.. ... i ,' \W (SEAL) rcr-zWO`°v� w u5 21 WO r ara M. Herma X Alvin J . H rman (SEAL) z i-; SS No: . t/. 7s SS No: ��u4 �a y5� ,5 - �y — vas3 a"2 iui8 No. 941 PRODUCERS 88 Bradford Publishing,5825 W.6ih Ave.,Lakewood.CO 80214-003)233-6900 182 n:.ex. ,tak: bti5'ti B 1046 REC 01985574 10/19/84 10 : 22 $9. 00 2/003 F 2168 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO • ACKNOWLEDGMENT TO THE LEASE STATE OF ��`c-a U I // County of -�c.C-.s�— ss. I -..---C_..,GZ<-c.tt._4 ,- e-n-s,c-_c--.' �^ a Notary Public in and for o5'aia�.''•H��:e4i: ,.c.,-e.cen- County,in the State aforesaid,do hereby certify that. 5t.rz4 AA41.- ,/2 1 7 --e / ri'*-+e-J ' te.,;^-, CZ N" I a--, - who a personally known to me to be the person.49 whose name 4/c2 c-¢..,.subscribed to the foregoing Lease,appeared before me this day in person,and acknowledged that.....eA-47fr ,„ ,\ Ifc�t nddelivered the said instrument of writing as /fr a' ` free and voluntary act and deed for the uses and purposes VV �.aka unUr my hand and/2 a��l-t--� seal,this A..? e 2i'day of - - 19 cr`e .• .J 6141§comitission expires.7Chet<„f RP, j le. Notary Public 4. OF 00%.*/ /0 o? . /Ci'Ll 4-,--e A.' '-'// " ,n,,,,,,,,,,1,,', ASSIGNMENT 1.C7-u..cJ2_c O ,. 6 t)63/ KNOW ALL MEN BY THESE PRESENTS, That I, , the within named lessee,in consideration of the sum of one dollar($1.00)and other good and valuable considerations to me in hand paid,the receipt whereof is hereby confessed and acknowledged,do hereby sell,assign,transfer,set over,and convey unto his heirs and assigns,the within lease,grant and conveyance,to have and to hold the same for the term and under the conditions therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and seal this day of 19 ACKNOWLEDGMENT TO ASSIGNMENT STATE OF ss. County of I, ,a Notary Public in and for said County,in the State aforesaid,do hereby certify that ,who personally known to me to be the person whose name subscribed to the foregoing Lease,appeared before me this day in person and acknowledged that signed, sealed and delivered the said instrument of writing as free and voluntary act and deed for the uses and purposes therein set torch. Given under my hand and seal,this day of 19 My commission expires , 19 Notary Public W rt— cm-0,_E. C4 ---- —car--—cv n— ci -- -- - I I E 2 _ n — .,', n cn cu z __,0________4,______a____ n — MO— ,v) 111 _l ,, 'o —cV---Pr ro al o W O y tr T C b O .. N 0 v 9 3 T g i• 1 v a 64 o H o 0 S 1 u. 4 O „ o P. U w < da o o v m O T tL w L O O C v • W .C O Q ti Y p H >. ca W m B 1051 ' 01991335 12/07/84 13 : $6 . 00 1/002 ARJ.99133S F 2234 b,..4Y ANN FEUERSTEIN CLERK & Lcr:CORDER WELD CO, CO OIL AND GAS LEASE AGREEMENT Made and entered into the 28th day of November 19 84 by and between Willis B. Kramer and Imogene L. Kramer 2350 Cherry Avenue Greeley, Colorado 80631 of party of the first part, hereinafter called lessor (whether) one or more) and Basin Exploration, Inc., 155 E. Boardwalk Drive, Suite 300, party of the second part, hereinafter called lessee. Fort Collins, Colorado 80525 WITNESSETII, That the said lessor, for and in consideration of Ten and More DOLLARS, cash in hand paid,receipt of which is hereby acknowledged and of the covenants and agreements hereinafter contained on the part of the lessee to be paid,kept and performed,has granted,demised,leased and let and by these presents does grant,demise, lease and let unto the said lessee,for the sole and only purpose of mining and operating for oil and gas,and laying pipe lines,and building tanks, power stations and structures thereon to produce,save and take care of said products;all that certain tract of land situate in the County of Wel d State of Col orado ,described as follows, to wit: Section 15, T5N, R65W, 6th PJI. s1/2 of the NWa of Section X Township X Ran e X and contain One (1)and as long more or less. camber 31 It is agreed that this lease shall remain in force R tp 7pi;RSf Df1lRJ�(OC44, thereafter as oil and gas, or either of them, is produced from said land by the lessee. In consideration of the premises the said lessee covenants and agrees: I. To deliver to the credit of the lessor, free of cost, in the pipe line to which the lessee may connect his wells,the equal one-eighth part of all oil produced and saved from the leased premises,as royalty or,at lessee's election,to pay the lessor for such royalty the market price prevailing the day the oil is run into the pipe line,or in storage tanks. To pay the lessor as royalty one-eighth of all other minerals and hydrocarbons which the lessee produces and saves from said lands. 2. To pay for the gas from each well found upon the said premises, which shall produce gas in marketable quantities, a royalty of one-eighth percent of the net proceeds derived from the sale of such gas,or of the gasoline that such gas may be converted into and marketed off the premises. If no well be commenced on said land on or before the 31st day of December 19 84 this lease shall terminate as to both parties, (fK0SxgXX*X4X))4X)(J6xWxd(fJ6xd(d6J(d(4lJ6K)SD(9(d(rxK INKdGxxB(OaNKkKKd4xe( IXXXX&X&IV IX,McX.XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX (XLXXXXxxxxxxXXXXXXXXXXXXXXXXXXXXX acs( XeX#XS(XIIMIXN014) 0)( X*Xt))xXIXxd6KKt4Mx KK*X0X(X*X&XXKXKeXii9 XXXXXAX iXXWGXKX*X3IKdO6X XXXXXXxXXXxxXxXXXXXXXXXx_XXXXRxatxxva (VK XXDOXigtO i X104KXiWWX0MOMX15NMOSWaXin Jf.X cAXiEXAXa X,XXX,WifaXXXXXXXKXXXXnXXXX YaXr�cdXXXXXVEXI X BWAI X AAXS4UMIV OniX,X,XaXtM)1MotC4Ka�imkxxa�Kdome X4(60Xx xa t(exibxXXMIXX0X0(?(GIK a(XKaaK�ctzXii,X �X M,9(XxxxXsc 6MX � g � ;mt iac z,,army � fi Should the first well drilled on the above described land be a dry hole,then and in that event,if a second well is not com- menced on said land within twelve months from the expiration of the last rental period which rental has been paid,this lease shall terminate as to both parties,unless the lessee on or before the expiration of said twelve months shall resume the payment of rentals in the same amount and in the same manner as hereinbefore provided. And it is agreed that upon the resumption of the payment of rentals,as above provided that the last preceding paragraph hereof,governing the payment of rentals and the effect thereof, shall continue in force just as though there had been no interruption in the rental payments. If said lessor owns a less interest in the above described land than the entire and undivided fee simple estate therein,then the royalties and rentals herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee. Lessee shall have the right to use,free of cost,gas,oil and water produced on said land for its operation thereon,except water from wells of lessor. When requested by lessor, lessee shall bury its pipe lines below plow depth. No well shall be drilled nearer than 200 feet to the house or barn now on said premises,whithout the written consent of the lessor. Lessee shall pay for damages caused by its operations to growing crops on said land. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises,including the right to draw and remove casing. If the estate of either party hereto is assigned,and the privilege of assigning in whole or in part is expressly allowed--the covenants hereof shall extend to their heirs,executors,administrators,successors,or assigns,but no change in the ownership of the land or assignment of rentals or royalties shall be binding on the lessee until after the lessee has been furnished with a written transferor assignment or a true copy thereof;and it is hereby agreed that in the event this lease shall be assigned as to a part or as to parts of the above described lands and the assignee or assigns of such part or parts shall fail to make default in the payment of the proportionate part of the rents due from him or them,such default shall not operate to defeat or affect this lease in so far as it covers a part or parts of said lands upon which the said lessee or any assignee thereof shall make due payment of said rental. Lessor hereby warrants and agrees to defend the title to the lands herein described,and agrees that the lessee shall have the right at any time to redeem for lessor,by payment,any mortgages,taxes or other liens on the above described lands.in the event of default of payment by lessor,and be subrogated to the rights of the holders thereof.War Clause for Oil and Gas Lease: This lease shall not be terminated,in whole or in part,nor shall lessee be held liable in damages,for failure to comply with the express or implied covenants hereof,if compliance therewith is prevented by,or if such failure is the result of,ary Federal or State laws,executive orders,rules,or regulations.If,at the end of the primary term hereof such term has not been extended by production or drilling as in this lease provided,and lessee,by reason of any above recited causes,is unable to drill a well on the leased premises for oil or gas,the primary term and the rental provision hereof shall be extended automatically from year to year until the first anniversary hereof occurring ninety(90)or more days following the removal of such delaying cause.During any period that lessee is unable to produce and for market any products from the leased premises by reason of any of the above recited causes, this lease shall remain in full force and effect. In Testimony Whereof We Sign, this the 26th clay of November 1984 I Witness: , ��// X j .a ?.._Xfria-n- Willis B. Kramer Imogene ,L. Kramer ' (SEAL) SS# �-7 .3 - �- 25 c SS# No. 941 PRODUCERS 88 Bradford Publishing,5825 W.6th Ave.,Lakewood,CO 80214—IID5)23 -6900-2.82 �'lll 261,-1 Pict . )9133 I) 12/0 / c;j 13 : 1 / I, ,._. "; MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO ACKNOWLEDGMENT TO THE LEASE STATE OF Colorado County of Weld SS. Nt..kie Boos a Notary.Public In and for GIel d y, ycertify Will is B. Kramer- aaj..it..... said Count in the State aforesaid,do het that ,, - --- J Imogene L. Kramer who they personally known to rue tti'66.rfc person S' whose name S subscribed to the foregoing Lease,appeared before me this day in person,and achnoyi?ge`dsTth4t1.1/Eeff S^ signed,sealed and delivered the said instrument of writing as their free and voluntary act and Qced for tit• pse,a9d"purioses therein set fonts. _._ " '— . - - ' - r • � c Given under my hand and _seal,this 26th day of._.^Ioseralxr...{�.el clf.U7 `14, 1?3(i..:. My commission expires _{%Y 'ommfssion-Expires Oct.9R-198i# r fyDtaiTPirac ,,rnnn.''' �• ASSIGNMENT KNOW AI.1. MEN BY THESE PRESENTS,That 1, the within named lessee,in consideration of the sum of one dollar($1.00)and other good and valuable considerations tome in hand paid,the receipt whereof is hereby confessed and acknowledged,do hereby sell,assign,transfer,set over,and convey unto , his heirs and assigns,the within lease,grant and conveyance,to have and to hold the same for the term and under the conditions therein contained. IN WI I NESS WHEREOF, I have hereunto set my hand and seal this day of , 19 ACKNOWLEDGMENT TO ASSIGNMENT STATE OF }ss. County of I ,a Notary Public in and for said County, in the State aforesaid,do hereby certify that who personally known to me to be the person whose name e subscribed to the foregoing Lease,appeared before me this day in person and acknowledged that (f1Cre1 set If,011.1,'d ut,' tt fed tiro said Iasi1 umcnt of writing as fry? 4 n.0i.I at,'ry en end deed for the Uses 500 purposes 4 Given under my hand and seal,this day of 19 My comet issinn expires , 19 Notary Public W -- -- -=s —cr-- . a - -m . -- - _�. _ -cmv--- _V 2 0 ,1S _ to t- a - -_or- to -_.a u N u O of u as w m ' v O U -o 0 K to W -' O` •CA Op LO - U •r O o C s- -o x o W F U o o Y S.- CL O r0 O ¢ A A y h tj n' w •+-+ 'o U o u w .� t6 5_ ¢ rv/ • p a u i r6 m p A" o T O w O O C U e z —a" a, o QmoP- ►'� IL u O X i� 0 '- 5D i. w ti (h o O et 0 W s o o C w CJ -P +-5 Q L' C •in “-) •r- s_ 0 to Z o r/1 W .- go on, in u_ AR1991271 B 1051 J 01991271 12/07/84 12: 1 i $12 . 00 1/004 F 2117 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO • OIL AND GAS LEASE AGREEMENT Made and entered Into the 10th day of November Iq 84 r J by and between James E. Vetting and Michele I . Vetting 22670 Weld County Road 54 of (Weld County) Greeley, Colorado 80631 art of the first part, hereinafter called lessor (whether) one ormore) and Basin Exploration , Inc. , 155 E. Boardwalk Drive, Suite 300partyofthe second part, hereinafter called lessee. Fort Collins, Col orado 80525 WITNESSETH, That the said lessor, for and in consideration of Ten ($10.00) DOLLARS, cash in hand paid,receipt of which is hereby acknowledged and of the covenants and agreements hereinafter contained on the part of the lessee to be paid,kept and performed,has granted,demised,leased and let and by these presents does grant,demise, lease and let unto the said lessee,for the sole and only purpose of mining and operating for oil and gas,and laying pipe lines,and building tanks, power stations and structures thereon to produce,save and take care of said products,all that certain tract of land situate in the County of Weld State of Colorado described as follows, to wit: A portion in Section 15, Township 5 North, Range 65 West of the 6th P.M. All that part of Lots 1 and 2 of the SEa of the NWa and Lots 1 and 2 of the SWa of the NW4, also described as the 51/2 of the NWa lyina north of the canal of the Greeley Irrigation Company of Colorado 65W and containing 40. gross acres, more or less. of Section l5 Township 5N Range It is agreed that this lease shall remain in force for a termUt.Q.11-1.18.5. eXt4&i0M00Mt4Mwx,and as long thereafter as oil and gas, or either of them, is produced from said land by the lessee. In consideration of the premises the said lessee covenants and agrees: I. To deliver to the credit of the lessor, free of cost, in the pipe line to which the lessee may connect his wells,the equal one-eighth part of all oil produced and saved from the leased premises,as royalty or,at lessee's election,to pay the lessor for such royalty the market price prevailing the day the oil is run into the pipe line,or in storage tanks. To pay the lessor as royalty one-eighth of all other minerals and hydrocarbons which the lessee produces and saves from said lands. 2. To pay for the gas from each well found upon the said premises, which shall produce gas in marketable quantities, a royalty of one-eighth percent of the net proceeds derived from the sale of such gas,or of the gasoline that such gas may be converted into and marketed off the premises. 1st January 85 If no well be commenced on said land on or before the day of 19 this lease shall terminate as to both arties, tl1flJY0t9CMNtXdt9bllMMxixl I100 OO1X0f10Xt%%UR XOudXd(000WIl(%E(MKWXke r t i i�J t l Should the first well drilled on the above described land be a dry hole,then and in that event,if a second well is not com- menced on said land within twelve months from the expiration of the last rental period which rental has been paid,this lease shall terminate as to both parties,unless the lessee on or before the expiration of said twelve months shall resume the payment of rentals in the same amount and in the same manner as hereinbefore provided.And it is agreed that upon the resumption of the payment of rentals,as above provided that the last preceding paragraph hereof,governing the payment of rentals and the effect thereof, shall continue in force just as though there had been no interruption in the rental payments. If said lessor owns a less interest in the above described land than the entire and undivided fee simple estate therein,then the royalties and rentals herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee. Lessee shall have the right to use,free of cost,gas,oil and water produced on said land for its operation thereon,except water from wells of lessor. When requested by lessor, lessee shall bury its pipe lines below plow depth. No well shall be drilled nearer than 200feet to the house or barn now on said premises,whithout the written consent of the lessor. Lessee shall pay for damages caused by its operations to growing crops on said land. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises,including the right to draw and remove casing. If the estate of either party hereto is assigned,and the privilege of assigning in whole or in part is expressly allowed—the covenants hereof shall extend to their heirs,executors,administrators,successors,or assigns,but no change in the ownership ..tdf the land or assignment of rentals or royalties shall be binding on the lessee until after the lessee has been furnished with a ` .writtentransfer or assignment or a true copy thereof;and it is hereby agreed that in the event this lease shall be assigned as to a _ part'or alto parts of the above described lands and the assignee or assigns of such part or parts shall fail to make default in the ';payment of the proportionate part of the rents due from him or them,such default shall not operate to defeat or affect this lease ipso Mr as it covers a part or parts of said lands upon which the said lessee or any assignee thereof shall make due payment of said rental. - . This lease shall not be terminated,in whole or in part,nor shall lessee be held liable in damages,for failure to comply with lel the express or implied covenants hereof,if compliance therewith is prevented by,or if such failure is the result of,any Federal or State laws,executive orders,rules,or regulations. If,at the end of the primary term hereof such term has not been extended by production or drilling as in this lease provided,and lessee,by reason of any above recited causes,is unable to drill a well on the leased premises for oil or gas,the primary term and the rental provision hereof shall be extended automatically from year to year until the first anniversary hereof occurring ninety(90)or more days following the removal of such delaying cause.During any period that lessee is unable to produce and/or market any products from the leased premises by reason of any of the above recited causes, this lease shall remain in full force and effect t.. '� Testimony Whereof We Sign, this the t day of ��a"+,---,- ,- 19--?? Witness: . in I .—, ' . Q- tY .9(SEAL) mes E. Vetting Michele I . Vetting (SEAL) SS #S,-3-,s� -X2,..5- SS # 52,E -12,- 824E No. 941 PRODUCERS 88 Bradford Publishing,5825 W.6th Ave..Lakewood,CO 80214—(303)233-6900-2-82 S 2,np B 1051 REC 01991271 12/07/64 12: 01 $12. 00 2/004 b"ti)192, F 2118 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO • ACKNOWLEDGMENT TO THE LEASE STATE OF Colorado County of Weld ss. Rose Mundt a Notary Public in and for said Weld County,in the State aforesaid,do hereby certify that James E. Vetting and .....l ttl eJe I . Vetting who are personally known to me to be the person S J 0`Js,,,•-rosa.nafrrtV..:co subscribed to the foregoing Lease,appeared before me this day in person,and acknowledged that..they /signed,seal d nd delivered the said instrument of writing as tlleir.free and voluntary act and deed for the uses and purposes zS 4' ho elnE1 Ase/{{"�rill. : \% J lGNe un$gt my hand and._Official seal,this 7 t11 day ot...De ember N84 :it : 4-0-er- ID • p r my pommission expires October-...4 , 19 $.8.....li �-^^ � •. . n Notary Pubhc t.,I/.......... :;4Ys s S. ryi/ OF CO\'r ssss ASSIGNMENT /lq,lgru plli0. KNOW ALL MEN BY THESE PRESENTS, That 1, the within named lessee,in consideration of the sum of one dollar($1.00)and other good and valuable considerations to me in hand paid,the receipt whereof is hereby confessed and acknowledged,do hereby sell,assign,transfer,set over,and convey unto ,his heirs and assigns,the within lease,grant and conveyance, to have and to hold the same for the term and under the conditions therein contained. IN WITNESS WHEREOF, I have hereunto set my hand and seal this day of 19 ACKNOWLEDGMENT TO ASSIGNMENT STATE OF l County of }ss. 1, a Notary Public in and for said County,in the State aforesaid,do hereby certify that ,who personally known to me to be the person whose name subscribed to the foregoing Lease,appeared before me this day in person and acknowledged that s gned. sealpd and delivered the said instrument of writing as free and voluntary act and deed for the uses and purposes therein set forth. Given under my hand and seal,this day of 19 My commission expires , 19 Notary Public W I 1 __c .. n m --cr-- co n v 1 2 n — Ol---`'.-- N --.. Tr UO Z rn 6� „__ C O M n � 04r- -c o - m _ — n o O .. ---et----or- to�� -4- n or u N I, 3 v o It vi T y V 0 T 3 2 ° W T ce o EA G o. 0 o (Jaoo 2 a o a fn 2 . U)x y 1 •tCV �� 0° T - A - o v w o zo .O T o �a u s t m x .a a C .a T O O u. 0 u 'b w ,C .4 o r'' I I." o Oe") I n O aa , Hello