HomeMy WebLinkAbout880398.tiff RESOLUTION
RE: APPROVE GAS AND GAS LIQUIDS DIVISION ORDER FROM DIVERSIFIED
OPERATING CORPORATION, 1600 STOUT STREET, SUITE 1900 , DENVER,
COLORADO 80202 , AND AUTHORIZE CHAIRMAN TO SIGN
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, Weld County, Colorado, is the holder of a certain
lease with Rio Grande Exploration Company, and
WHEREAS, said lease covers land more particularly described
as follows:
Township 8 North, Range 58 West
Section 6 : S}NWI
Weld County, Colorado
WHEREAS, Diversified Operating Corporation has submitted a
Gas and Gas Liquids Division Order on the subject property, and
WHEREAS, Weld County is entitled to a one-eighth royalty
interest on production, and
WHEREAS, in order to receive said royalty interest, Weld
County must execute said Division Order, a copy of which is
attached hereto and incorporated herein by reference, and
WHEREAS , said Division Order has been reviewed by the Weld
County Attorney, Thomas O. David, and found to be in order, and
WHEREAS , the Board deems it advisable to approve said
Division Order on the parcel of land described herein.
NOW, THEREFORE, BE IT RESOLVED by the Board of County
Commissioners of Weld County, Colorado, that the Gas and Gas
Liquids Division Order as submitted by Diversified Operating
Corporation, 1600 Stout Street, Suite 1900 , Denver, Colorado
80202 , on the hereinabove described parcel of land be, and hereby
is , approved.
BE IT FURTHER RESOLVED by the Board that the Chairman be, and
hereby is , authorized to sign said Division Order.
880398
Page 2
RE: DIVISION ORDER - DIVERSIFIED OPERATING CORPORATION
The above and foregoing Resolution was , on motion duly made
and seconded, adopted by the following vote on the 23rd day of
May, A.D. , 1988 .
L_. .� • -
BOARD OF COUNTY COMMISSIONERS
ATTEST: Pc� WEL OUNTY, COLORADO
Weld County Clerk and Recorder 111,16
and Clerk to the Board ene R. Bran er, Chairman
2d .) C. , P -Tem
Deputy Coun Clerk
APPROVED AS TO FORM: Ja •uel'i, Wtj
Go . , .�•. . L
County Attorney / . l�Jf ►"�"1�,
Frank amaguchi
880398
AR21.42148 —
lease #+ COWe-1005
0.0. #+ 130
DIVERSIFIED OPERATING CORPORATION
GAS AND GAS LIQUIDS DIVISION ORDER
May 11 . 1988
Tot Diversified Operating Corporation
1600 Stout Street. Suite 1900
Denver, Colorado 80202
(303) 595-3957
m to
The undersigned, and each of them, guarantee and warrant that they are the o
legal owners in the proportions set out below of all the gas and gas liquids, ,
or the proceeds thereof , produced from the
r �+
to
Rim #6-8A n
lease or unit located in the County of Weld , State of Colorado, described z m it
as follows:
z ha
zNJ
Township 8 North, Range 58 West "'
Section 6: S/2NW/4 td
Coo
and commencing as of 7 A.M. on the date of first production, you are authorized P o
to receive gas therefrom for purchase under the provisions of the gas contract cn u,
hereinafter referred to, and until further notice, either from you or us, pay H N
zw
therefore as follows: w n
INTEREST m
co
CREDIT TO m
xFa
al
For Division of Interest, see Exhibit "A" attached hereto and made a part hereof . a -
n
n
O
Subject to the following provisions and conditions: z
am
FIRST: This Division Order is executed subject to a contract made and z o
entered into by and between Diversified Operating Corporation, as Seller
0
and Red Wave. Ltd. . as Buyer dated March 1 . 1988, and any amendments •
ni o
thereto or modifications thereof. n
The purchase price for said gas shall be the price therefore designated in o\
said contract, and payment thereof (less applicable taxes deducted by n o0
purchaser) shall be made to the parties above named in the proportions above O W
set forth, at the respective times and under the conditions contained in said
contract, except as provided in Paragraph Six hereof, and said contract is
hereby adopted, ratified and confirmed by the undersigned parties, to the same
extent as if originally executed by each of them.
SECOND: In the event of a dispute hereafter at any time concerning title
to said described land, or to gas purchased hereunder Diversified s gas purchased
e
Corporation may hold the purchase price. without t_u. es_:
of hereunder until indemnity satisfactory to Diversified Operating Corporation,
has been furnished, and in the event any action or suit is hereafter filed in
any court affecting either the title to the land above described, or to the gas
produced therefrom, to which any of the undersigned are parties,
written notice
to Diversified
of the filing of said action shall be immediately furnished
Operating Corporation, by the undersigned, stating the court in which the same
is filed and the title of such action or suit.
THIRD: You are hereby authorized, at your election, to withhold from the
proceeds accruing hereunder to the undersigned, the amount ofan any severance,
production, occupation, excise or other tax levied by
l
authority against the interest of the undersigned in the production, or
proceeds attributable thereto, and to pay same in behalf of the undersigned.
FOURTH: You will not be responsible for any change of ownership in the
absence of actual notice and satisfactory proof thereof. Each signer hereof
agres to ng of any ge n is wnership and anyetransfer. assignment, or+conveyance cofn any+ofa his o agrees that
interest hereunder shall
880398
be made subject to this division order and effective at seven o'clock a.m. on
the first day of the calendar month in which notice is received. Without
regard to whether any contingency is expressly stated in this division order,
you are hereby relieved of any responsibility for determining when any of the
interests herein shall increase, diminish, be extinguished or revert to other
parties as a result of the completion or discharge of money or other payments
from said Interest, or as a result of the expiration of any time or term
limitation (either definite or indefinite) , or as a result of the increase or
decrease in production, or as a result of a change in the depth, the method or
the means of production, or as a result of a change in the allocation or
production affecting the above tract or any portion thereof under any agreement
or by order of Governmental authority, or resulting from any other contingency, or
and until you receive notice in writing to the contrary, you are hereby N J
authorized to continue to remit pursuant to the above division of interest. In
the event said written notice is not received by you, you shall be held
harmless for error resulting in over or under payment, or a wrong payment of n
any such sum or sums. 0
2 !•.)
FIFTH: This Division Order shall become valid and binding on each and z N
every owner named hereunder, his or its personal representatives, heirs, 'j
successors and assigns, as soon as signed by such owner regardless of whether C
or not all of said owners have so signed; but you shall not be required to make N
payments in the manner herein provided until after all such owners have Eno
executed this division order or other similar division orders satisfactory to
you and it is agreed that your rights under this division order are assign- z w
able. This division order shall remain effective for so long as any gas
purchase contract covering Said Lands (or any amendment or extension of said P %
contract) remains in effect, or, if this instrument covers the sale of oil, z
until cancelled by any party upon giving sixty (60) days written notice in x n
advance of such cancellation.
Pi Fa
SIXTH: If the amount accruing to the interest of any party hereto shall n
be less than $25.00 for any month, you are hereby authorized to accumulate the o
monthly accruals to such interest and to make payment when such accumulations
equal or exceed $25.00. All accounts will be paid at least annually regardless
of the amount.
No
t9 0
SEVENTH: By the execution hereof and in consideration of the payments to d
be made to the undersigned as herein provided, the undersigned, and each of
them, hereby ratify, adopt and confirm the lease or leases covering the lands PI.)
herein described and agree that such lease or leases are in full force and ' o
effect in accordance with all of such lease terms and provisions, and do hereby 22
lease, let and demise unto the record owner of same, all of the interest of the
undersigned in the lands covered thereby in accordance with the terms and
provisions of said lease or leases, to which lease or leases and the recording
thereof reference is here made for all purposes.
EIGHTH: All written notices provided for herein shall be given to the
party to receive the same, at the address of such party state herein. All of
the provisions herein contained shall apply to each signer hereof separately
and not jointly.
INSTRUCTIONS FOR SIGNING
Execute in ink exactly as your name appears above and have your signature
witnessed. If executing on behalf of a corporation, indicate your official
title and affix corporate seal attested by the secretary or assistant
secretary. It is necessary to only execute one copy of this division order
which may be signed in counterparts. BE SURE TO FURNISH CORRECT MAILING
ADDRESS, INCLUDING ZIP CODE, POST OFFICE BOX NUMBER OR COMPLETE STREET ADDRESS.
DO NOT DELETE OR REMOVE ANY PORTION HEREOF.
(Witness sign below) (Signatu and addresses of Owners)
ATTEST: i ', "
By:
ene rantner, airman
r Address: 915 10th Street
Weld C Cl k'& fecorder P.O. Box 758
Greeley, CO 80632
Deputy C iinr} erk Tax Identification No.
84-6000813
880398
EXHIBIT "A" Page 1 of 1
May 11 , 1988
CREDIT INTEREST BPO INTEREST APO
Commonwealth Energy Associates-III,L.P. .3066231 WI .2250000 WI
.0093750 ORRI .0093750 ORRI
Golden Bear Company .0766558 WI .0562500 WI
'TJ W
Marvin R. Brown .0766558 WI .0562500 WI o i
Hi kip
John Penn Lee .0383279 WI .0281250 WI u' -4
.0127500 ORRI .0127500 ORRI z
zn
Paul Abbey .0122649 WI .0090000 WI
.0127500 ORRI .0127500 ORRI z N)
Za
Terry J. Cannon .0122649 WI .0090000 WI N
.0127500 ORRI .0127500 ORRI ma
Zoo
t9
Diversified Operating Corporation .2989576 WI .2193750 WI coo o
IA LH
Fina Oil & Chemical Company none .2187500 WI Z W
Mile Hi Oil & Gas, Inc. .0056250 ORRI .0056250 ORRI boo
oo
to
Weld County Colorado . 1250000 RI . 1250000 RI x
C—
Q ..
U'
to
C)
n
0
0
• to
Pi� o
• o
do
t-I
e
n
O w
0
O w
Rim 46-BA Well
West Rim Prospect
Weld County, Colorado
880398
a/
1`'1 MAY 1.6 19:0
DOC ...._� ..__.. „
atinwer. arr a
Diversified
Operating May 11 , 19ee
Corporation
TO: ALL INTEREST OWNERS
RE: Division Order #130
Rim #6-BA Well
West Rim Prospect
Weld County,
COLORADO
Gentlemen:
We are enclosing our Division Orders for your execution. Your careful
and prompt attention to the following Items will be greatly appreciated.
1 . Please verify that the information stated on the Division Orders.
as it applies to you, is correct.
2. Sign the Division Orders in the designated space and have your
signature witnessed, being sure to include the mailing address
for your revenue checks to be forwarded.
3. Fill in your Social Security or Tax Identification Number on the
line provided. Federal law requires us to withhold 20% of all
revenue payments if this number is not furnished.
4. If executed by a Corporation, the signature should be attested
and your Corporate Seal affixed.
6. Return one executed copy of the Division Order to this office.
The second copy should be retained for your records.
Upon receipt of your signed Division Order, we will place your
interest in line for payment. Please allow thirty (30) to forty-five (45)
days for processing.
Very ly yours,
DIV RS FIE PERATING CORPORATION
Paul Abbey
Land Manager
PA:bh
enclosures
//1 330398
I ludson's nny Centro •Suite 1000 • 1000 Slut Shoot •Drover,Colnrnrlo 00202• 303/595-3057
Hello