HomeMy WebLinkAbout891284.tiff RESOLUTION
RE: APPROVE OIL AND GAS DIVISION ORDER FROM NATIONAL COOPERATIVE
REFINERY ASSOCIATION, 1775 SHERMAN STREET, SUITE 3000,
DENVER, COLORADO 80203, 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 Walsh Production, Inc. , and
WHEREAS, said lease covers land more particularly described
as follows:
Township 7 North, Range 60 West, 6th P.M.
Section 33 : WI
Weld County, Colorado
WHEREAS, National Cooperative Refinery Association has
submitted an Oil and Gas 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 a member of
the Weld County Attorney' s staff 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 Oil and Gas
Division Order as submitted by National Cooperative Refinery
Association, 1775 Sherman Street, Suite 3000 , Denver, Colorado
80203 , 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.
LEVO/$ e( $ -^4( lir,
891284
Page 2
RE: DIVISION ORDER - NATIONAL COOPERATIVE REFINERY ASSOCIATION
The above and foregoing Resolution was, on motion duly made
and seconded, adopted by the following vote on the 6th day of
December, A.D. , 1989.
BOARD OF COUNTY COMMISSIONERS
ATTEST: WELD COUNTY, COLORADO
Weld County erk and Recorder
and Clerk to the Board C.W. r , C irman
Ci)1,77jt.4ka e. rk el ene R. Bran ner, Pro-Tem
Deputy County C
Constance
L. arbert
EXCUSED DATE OF SIGNING - AYE
George K
ounty Attorney
Gor
891284
482199667 -
Analyst SB DIVISION ORDER
NATIONAL COOPERATIVE REFINERY ASSOCIATION
TO: NCRA DATE November 15, 1989
1775 Sherman St. LEASE NAME .Weld-Weitzel 11-33
Suite 3000 \� LEASE NO NCRA Cp #96170
Denver, CO 80203 , 1
In accordance with and subject to the terms appearing on the reverse side the signatory parties hereto, and each of them,
guarantee and warrant that they are the owners in the proportions set out below of all the oil, gas and. liquid hydrocarbons
produced from the following described premises and until further written notice NCRA is authorized to receive oil, gas and
liquid hydrocarbons therefrom, giving credit as directed below, effective as of 7:00 a.m., on the day of
first runs 1s -- . (August 30, 1989)
1vrnship 7 North, Range 60 West, 6th P.M.
Section 33: W1
Weld County, Colorado
N O
o U Credit to Division and Kind of Interest
o
ri
u Board of County Carmissioners •
m Weld County, Colorado .1250000 RI
o izl
o
o a4 Janes B. McNay and
Q Nancy L. McNay, JT .0100000 ORI
wWalsh Production, Inc. .0112500 ORI
o Z
N ORI Sub-Total .0212500
ri
a Fina Oil and Chemical Company .4250000 NWI
cn
co
z Frank H. Walsh .2125000 NWI
o H
.1 [el
t Walsh Production, Inc. .2162500 NWI
ri x
N WI SUb-Total .8537500
to i*7
tc
I !!
TOTAL 1.0000000
w
Each of the signatory parties hereto agrees to indemnify and hold NCRA harmless
against all and every loss, cost, expense or damage of any kind whatsoever which
it may suffer or incur by or on account of having paid said signatory party for
crude oil or other hydrocarbons purchased in accordance with the decimal of
interest set forth above opposite the name of said signatory party. •
RI - ROYALTY INTEREST ORE - OVERRIDING ROYALTY INTEREST
NWI - NET WORKING INTEREST PP - PRODUCTION PAYMENT
.a 1991294
050 REV�rznn
LE r T^W
n
�� R •
`xlti COVENANTS: •
`
n\ The following covenants are a part of this division order:
1
1. Said oil shall become the properly of NCRA upon the delivarV thereof to it or to any carrier, pipeline, person, firm or corporation d•Signm0 by NCRA to receive said oil. .
2. The oil purchased and received hereunder shall be delivered FOB to any carrier, pipeline, tanks or other factional designated by NCRA which gathers and receives said oil.
and NCRA earns to pay for such oil to the respective owners thereof according to the divlai es re on of Intert hein specified at the price posted by NCRA for oil of the same grade.
gravity and quality from the field or area in which the aldnceacnbed lean or premises is located on the date said on is received by NCRA. lea enY trucking Or pipeline galh- 'I
✓ing charges'including transportation taxes,deemed naceetry by NCRA. Where automatic metering devices are used or where required by purchase contracts NCRA Ie authorized e
to ute the average daily runs for each month as the actual daily runs from such premin6
3. Quantities of oil purchased hereunder shall bo computed from regularly compiled tans tablas for the tanks from which Oil Is delivered. Or from certified tank truck gaup- i�_
u on oil taken in lank trucks, or in accordance with any rules and regulations prescribed by any authorized governmental entity, or in accordance with the conditions specified in r:
the price posting of NCRA, or in accordance with any accepted practices or customs prevailing at the time end place of delivery. NCRA may deduct from all oil received all bi- .
si edimt,dirt,water and other impurities,and,in addition. may correct the volume of oil tO normal temperature of 60 degrees Fahrenheit in accordance with Correction Table r1
crofter en
• American Society for Testing Materials-01270. Where a well crocer oil after liquid hydrocarbons have been injected into the seme, deductions may be made by NCRA for
um of oil equivalent to the amount of liquid hydrocarbons so injected. Other adjustments and deductions may be made by NCRA as are provided for in the applicable price
posting by NCRA. NCRA may require that such oil be treated when necessary 10 render it merchantable. NCRA has the unqualified right to refuse to receive any ail net consid- Ie
ered merchantable by it or of acceptable quality. Before making payments to the owners hereunder there shall be deducted therefrom any severance, gross production,Occupation
or Other taxes imposed on such oil or the production or the purchaser thereof Imposed by law and required to be deducted by NCRA as purchaser thereof until Such time as any
such law so imposing such taxes is declared invalid by final and unappe•lable judgement. NCRA is not required le receive Oil in any definite 9Wntities or for any flied periods
or to provide storage Iheref Or.and content is hereby given NCRA and any pipeline company which NCRA may cause le connect with the wells or tanks on said premises to dbeon-
nect and remove such pipeline and other equipment owned by it in the event of the termination of purataaa by NCRA under this division Order.
4. The proceeds of such oil, after deducting any taxes or other charges es are herrn provided, and ricer as is provided in Paragraph 9, shall be paid monthly for oil re-
ceivod and purchased during the preceding month according to the division of i brit rat out herein by check or draft therefor mailed to each party at their address herein des-
ignated ce•ant if the amount payable to any party hereunder shall be less than $5.00.payment shall be made annually with the understanding testcease
s NCRA to purchase
N 0 oil under this division order NCRA will pay to each payee all sums accumulated to his credit to which his title is clear.
0 a 5. in giving credit arc making payment for oil produced from said premises NCRA iiiauthorized to rely upon the written Statement of the operator of the wens located thereon
es to the depth, horizon or formation from which the oil delivered to NCRA has been or is being produced. All working interest owners and all parlor hereto who are connected •
\ is with the operation of the said lease herein refereed to guarantee and warrant that all oil sold hereunder has been and will be produced and hndled in compliance with the pro-
em n rigors of the Federal Fair Labor Standards Act of 1938 a heretofore or hares,ter amended end a„ ether applicable I. state and Other governmental laws. rules and repu-
LJ la ions.
6. Should she oil produced from any formation in or under the herelndacribed premises be commingled with other oil prior to the lime it becomes property of NCRA. whether
Q such other oil be produced from one or more formations having die ferent ownership in or under the hereindeeorlb•d premises or in or under other premises,the commingled oil
told hereunder shall be deemed to be the interest of the undersigned in that portion of the total commingled oil dell which is allocated to the hereindecribed land on the
1-1 basis of the formula prescribed by the operators of the lease, or units covering the formations or tracts of land Involved and the data supplied NCRA with respect thereto, and
Q Tj] NCRA is tuthorited to accept such information,rely upon the same and to make settlement and disbursement hereunder an the Wei* Of the quality and gravity Of Such commingled
0 sLS� oil so allocated without liability to the undersigned. For pricing purposes regardless of the actual date of the flow from the separate tracts to the measuring facility the formu-
la prescribing and supplied by the operator or •poatara shall be applied to the daily rune made by NCRA from the measuring facilities.
•
O X 7. Should the interest in no undersigned in the oil produced from the hereindeecnbed land or from any formation underlying said land be unitized with other lands or other
formations. tither voluntarily.by operation of law or by order of slate Or Other pevernmentel authority, this division Order shall thereafter be deemed to be modified to the u-
fr TB-1 ecessa tent necessary to conform with the applicable unitiation agreement or plan, end all revisions or amendments thereto, but otherwise to remain in full Ferriand effect as to all
he otbw provisions. in such event the portion of t unitizetl oil sold hereunder shall be the interest of the undersigned in that portion of the total unitized oil which is allocated to
the herein described land or formation underlying said lad and shall be deemed for all purposes to have been actually produced from said land or formation undekiying said land.
0 8. Each of the undersigned hereby warrants and agrees to forever defend the title to the oil credited to such undersigned owner according to the division of interest herein-
O above indicated. as well as all interest hereafter acquired, aid further agrees to indemnify and save harmless NCRA or any ether purchaser of said Oil, and any canner deaig-
M1l need by I NCRA Or other purchaser 10 receive the aid ail,and each of them,against all and every charge or expense of any kind whatsoever which they Or any of them may suf-
for orincur by or On account of receiving or purchasing or transporting said oil,or by reee•n of any and all claims of any kind whatsoever as le said oil,adverse to the under-
0 .c4signed.
N e 0 9. Without impairment of any warranty herein contained abstracts or ether evidence. of the undersigned's title to aid oil shell be surmshed al any lime upon demand. If,in the
opinion of NCRA.the undersigned does not hoe good and merchantable title to the oil produced and the interest claimed therein by Such undersigned.Or in case Of adverts claim.
n-I of title to the land from which said oil may be produced or to which said oil b allocated under any unit ion.or to any of such oil,NCRA may withhold,without interest and
s-I without h u ability the purch • price or proceeds of said oil, until indemnity satisfactory to NCRA has been furnished or until such title is made acceptable to NCRA, or until such
adverse claim is settled to its satisfaction. If suit is f tled affecting the interest of any of the undersigned.written notice thereof shall be given NCRA at the above address by the
party or parties affected,together with a certified copy of the complaint, petition or bill of particulars filed,and the party or parties affected thereby agrees to indemnify NCRA
N-1 against any judgment rendered therein and to reimburse NCRA for any coat, attorney.' fees or other expenses incurred in connection therewith. In the event NCRA is the operator
O1 f,;t of the lease or wells described heron it shall have the right to deduct from any payments due any working interest owner hereunder an amount equivalent to any operating excen-
W t.) pants or charges due but unpaid by such working interest owner.
\ 10. NCRA will not be responsible IOr any change 0f ownership in the absnce of actual notice and proof thereof satisfactory to NCRA, and receipt by NCRA of a proper and
r z executed transfer order reflecting such changes of ownership. Each of the undersigned agrees to notify NCRA In writing of any change in hie ownerchip and agrees that any trans-
0 H fer, assignment or conveyance of any of his mt hereunder shall be made subject to this division order end of folio at 7:00 o'clock a.m, on the first day of the calendar
month following the receipt of said notice. satisfactory proof thereof and transfer order by NCRA. Without regard to whether any contingency or Condition is expressly staled In
\ jdt this division order.NCRA is hereby relieved of any responsibility for determining when any of the Interest herein shall Increase,diminish,change,be extinguished or revert to oth-
N E.y sr parties as a result of the completion or discharge of money.production or Other prymente from said interest Or the prOduelien attributable thereto.Or at a result of the expir-
ation of any time or term limitation ieither definite or indef'noel.or as a result of the increase or deeruu in Ion. or as a result of a change in producing depth or for-
es N matron,the method or means of production.or as a result of a change in the allocation of production affecting the above tract.or any portion thereof under any agreement or by
Pie order of governmental authority.or resulting from arty other contingency.and until NCRA receives the of id notice.satisfactory proof and transfer orders to the contrary.NCRA
is hereby authorized to remit pursuant to the above division of interest. In Me wort the aloreasid written notice.sails,victory proof and transfer orders are not received by NCRA.
•J NCRA shall be held harmless for error resulting in over or under payment. Or a wrong payment Of any sums.
r's1O w II. Each party hereto ratifies and confirms that oil and gas lease covering such party's interest together with all gas sales contracts,unit designations or other agreements our-
o W r-_ suant to which gas and I quid hydrOar bone therefrom are being produced. processed and sold under this division order,
O1 12. The term oil as used herein shall be interpreted under such provisions hereof as are applicable. as including gas and distillate,condnub. and other liquid hydrocarbons
aq Z produced with or ealtrActed from such gas. except that there being no posted price for ass.the price or msrket value Of gas shall be that price received by NCRA in its sale of
I—I z the gas, and the price for the above shown liquid hydrocarbons shalt be the price agreed between NCRA aid the purchaser or the Operator of the premises.
N ry 13. This division order shall become valid and binding on ach and everyone of the undersigned as soon as signed by him, regardless of whether or not it has bon signed
0 by other parties, and shall be binding upon the undersigned. their assigns and successors in interest and Shall inure 10 the benefit Of NCRA. its Sue•tore and assigns.
'she 14. you are author,ted and directed to deduct ing expenses as furnished by the lease operator from the undersigned's interest,as set out heron,in the oil produced and
U YZI saved Iron the above described lands and remit same to the lease operator. The undersigned will look to the lease operator for detailed statements of all charges and credits
l-ya of operating expenses at such intervila as agreed upon by the aerator, and the undersigned working interest owner. NCRA is hereby held harmless as to all deductions made a-
au gamst the undersignor a interest.
O O1 •
ken O
N O
N N
M W
IMPORTANT-To Avoid Delay In Payment-Your Correct Address and Social Security Number or
Tax Account Number Must Be Shown.
Witness: Attest Owner's signature:
BOAR) OF COUNTY COMMISSIONERS
$ t_S WRID ODUNPY, ODLORADO
V r AA,. ,
.12,2„....11-42 BY: 47/1:,,14-4-**
Y tan tier
TITLE: Chairman; Board of Commissioners
Owner's Address:
915 10th Street
F 4 TAIN TINS P.O. Box 758
FORYOUR p: Greeley, CO 80632
'L.:). Owner's Social Security or Tax Account No. 84-6000813
•
•
' , If an individual your signature must be witnessed. If a partnership all partners must sign. If a corporation
execution and attestation must be by authorized officers, indicating the officer's corporate title.
831284 •
ti , National,.Cooperative Refinery Association
r-"Itt 1775 SHERMAN STREET, SUITE 3000.-• DENVER,=COLORADO 80203 • 303/861-4883 • FAX 303/860-0018
^: q\ November 15, 1989
Supply
and Transportation
Division
RE: Weld-Weitzel #11-33
Weld County, Colorado
NCRA CP #96170
DEAR INTEREST OWNER:
NCRA is the purchaser of the crude oil production from the
above-referenced well .
In order to distribute proceeds to you, we have prepared and
enclose two (2) copies of our Division Order for execution. Please
read carefully the attached sheet as to proper execution instructions
and review, execute and return one (1 ) copy of the Division Order to
my attention at the above address. You may retain the other copy for
your records.
• As soon as we receive the properly executed Division Order, we
should be able to place your account in a "pay" status.
Thank you for your assistance and cooperation. Please feel free
to contact us should you have any questions.
Sincerely, Q_
Cyx Moat
Shelley Brook
Division Order Coordinator
Crude Purchasing Department
SB:pja
enclosures ;
891284
_Supplying Relined Fuels FARMERS UNION CENTRAL EXCHANGE, INC., (CENEX), SAINT PAUL, MINNESOTA •FARMLAND INDUSTRIES, INC., KANSAS CITY, MISSOURI
To Our Member-Owners! ,ti- GROWMARK,INC.,BLOOMINGTON,ILIJNOIS • MFA OIL COMPANY,COLUMBIA MISSOURI
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