HomeMy WebLinkAbout901180.tiff RESOLUTION
RE, APPROVE OIL AND GAS DIVISION ORDER FROM ASSOCIATED TRANSPORT
AND TRADING COMPANY, P.O. BOX 5493 , DENVER, COLORADO 80217 ,
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 Nielson Enterprises , Inc. , and
WHEREAS, said lease covers land more particularly described
as follows:
TOWNSHIP 2 NORTH - RANGE 65 WEST
Section 18 : SE/4
Weld County, Colorado
WHEREAS, Associated Transport and Trading Company 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 Associated Transport and Trading
Company, P.O. Box 5493 , Denver, Colorado 80217 , 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.
901180
a 444 ., t,,
Page 2
RE: DIVISION ORDER - ATTCO
The above and foregoing Resolution was, on motion duly made
and seconded, adopted by the following vote on the 26th day of
November, A.D. , 1990 .
" BOARD OF COUNTY COMMISSIONERS
ATTEST: WEL /fU�NTY, COLO DO
Weld County Clerk to the Board �!///l e
Gene R. Brantner, Chairman
BY: Dfia,A� 11;--f-,i--, ,_ 19. a ge Kenn y, ro- em
eputy Clero the Bo
APPROVED AS TO FORM: Constance Ha rt
C.
Q
ounty Attorney
Gor
901180
•
• • ` - DIYISIQti DtDER
, .
• r
w (COMBINED CAS AND OIL)
to: ASSOCIATED M ATW►L SAS, DC. (W61'1
ASSOCIATED TSAMS*ORT AND TMADIMG =PAM ('ATTCD') 30399 (Gas)
Post Office Dos 549'3
Denver. Colorado 80217 mateft. 50447 (011
ATM: •Division Order Sepertaant
ate November 9, 1990
Plant
The undersigned, and each of us, certify and guarantee that we are the legal owners of and hereby warrant the title to our
respective interests in the proceeds derived from the sale of ies end Oil (as more individually defined herein) produced and
saved from the use #2 lease or unit located in the County or perish of Weld
State of Colorado Bore particularly described as follows:
TOWNSHIP 2 NORTH - RANGE 65 WEST
• Section 18: SE/4
OWNER MD. CREDIT TO
DIVISION OF INTEREST DECIMAL
SEE ATTACHED EXHIBIT "A" FOR OWNERSHIP LISTING
Effective II:00 A.M. October 1, 1990 , and until further notice, you are hereby authorized to take or retain
possession of all Gas and Oil fro, said property(ies) on and after the effective day and to give credit as set forth above for
all proceeds derived fro' the sale thereof fro,• said property(ies) subject to the conditions, covenants and directions set out
below:
FIRST: It is understood that the Gas produced fro' the above-described property(ies) is being sold
under that certain Gas Purchase and Processing Agreement dated October 12 , 19_0, between
Basin Operating Company es 'Seller' and ASSOCIATED NATURAL GAS,
INC. as 'Buyer', and that all terms and covenants contained therein, and in any amendments, extensions,
or renewals thereof shell govern and be binding upon the parties hereto in all respects which shell
include, but not be restricted to, the price to be paid for said Gas and the time when such payments
are to be made. As used in this Division Order, the term 'Gas' shall be deemed to include cesinghead
gas, gasoline and ell products which Associated Natural Gas, Inc. may receive and/or recover by
processing fror Ges produced fro' wells on said property(ies).
All covenants appearing on the reverse side hereof ere incorporated herein by reference and the undersigned agree that each shall
be deemed and considered an essential part of this Division Order in like manner and with the same effect as if printed above
our signatures.
The undersigned expressly waive any claim against ANGI end ATTCO for any end all amounts which may be due us frog others for
production prior to the effective date hereof.
s Sign Below Taxpayer identification or
Si• typ 1l s ter Mailing ress) Social Security Number
kTTES /c�/ /� 84-6000813
Gene R. Brantner, Chairman
j. -�! _1_. WP1 d Crnmty Rnarrt of Copimissioners
ark & the Board Address
P.O. Box 758. Greeley. CO 80632
w Address
Address
B 1283 REC 02234449 11/29/90 16: 43 X0.00 1/003
F 1654 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO C /�
Of\ I I Nj L
9011110
SECOND: The word roil* 1f used herein shell include, but is not limited to, condensate ono atl
aerketable liquid hydrocarbr• produced end loved hereunder, but oxcl“Sing that recovered tree
processing of Gas. All Oil r, wed end purchased hereunder shall be mere, Ole Oil and shall Sean
the property of ATTCO es soon es the Semi is Peceived into its ewtedy me. that of ony carrier it
detignotes. ATico shall rot be expected to receive Oil indefinite qusn , Nor for fixed periods,
nor to provide stol e.
TIME: The oil received and purchased hereunder shall be delivered f.o.b. to any carrier ATTCO
designates Which gathers end receives said Oil end ATTCO agrees to pay for such oil to the undersigned
according to the division of lnteratts herein specified at the price agreed mpon between ATTCO end the
less* operator.
FOURTH: Quantities of Oil purchased hereunder shall be determined by the eethod of messuroment end
computation employed be ATTCO tor ATTCO's agent designated to receive such Oil including but not by way
of limitation, the gauging of starer tanks using regularly compiled tank tables, the use of certified
truck gauges, end the use of meters or any ether reasonably accurate method of measurement end
computation. ATTCO shall correct the volume and gravity toe temperature of 60° fahranheit and shall
deduct free such corrected volume the full percentages o/ basic sediment, water end other impurities
as shown by its test. ATTCO Day refute to receive any Oil it considers to be not merchantable.
FIFTH: ►ayeents are to be Dank monthly by checks o1 ANGI for Gas end ATTCO for Oil to be delivered
er mailed to the parties thereto entitled at the add hove given, provided that if the amount
due any owner is less than Twenty-live and 001100 Dollars ($25.00) per month, ANGI or ATTCO, at its
option, may defer the asking of such payment until such time as the aggregate amount due exceeds said
sum. The undersigned authorize ANGI and ATTCO to withhold from the proceeds of any end all Gas end
Oil referred to herein, the amount of any tax pieced thereon, or on the production thereof, including
but not limited to any severance, production or occupation tax, by any goverresental authority, local,
state and/or federal, and to pay the same in our behalf with the proceeds so withheld. -
SIXTH: In the event o1 any adverse claim of title or in the event title shall not be satisfactory to
ANGI or ATTCO at any time during the term of this Division Order, each of the undersigned agrees to
furnish complete abstracts of title and other evidence of title satisfactory to ANGI end/or ATTCO and
authorizes some to withhold payment without obligation to pay interest on the amount so withheld, until
satisfactory indemnity shall be furnished to ANGI and ATTCO. Each undersigned party as to the interest
of such party hereunder respectively agrees, in the event suit is filed in sny court affecting title
to said Gas and/or Oil, either before or after severance, to indemnify and cave harmless MCI and ATTCO
against any mnd all liability for loss, cost, damage and expense which ANGI or ATTCO may suffer or incur
on account of receiving and paying said party the proceeds derived trot the sale of said Gas and/or
Oil. Inhere ANGI and/or ATTCO, pursuant to the provisions hereof, withholds payment or ony part thereof,
each undersigned party from whom payment is withheld severally agrees to indemnify and hold ANGI and
ATTCO harmless of and from all liability for any tax, together with all interest and penalties incident
thereto, imposed or assessed against or paid by them on account of the sun or sums so withheld from
payaent to said party and deduct •Il such taxes, interest end penalties so paid by them from any sums
owing by ther to said party. If .suit is filed affecting the interest of the undersigned, written
notice thereof shall be given ANGI and ATTCO at the above address by the undersigned, together with
a certified copy of the complaint or petition filed. If ANG1 or ATTCO are made • party to such
proceedings, the undersigned agrees to indemnify sere against any judgment rendered therein and to
reimburse ANGI and ATTCO for any costs, attorney's fees or other expenses incurred in connection
therewith.
GEYENTFI: The undersigned severally agree to notify ANGI and ATTCO of any change of ownership and no
transfer of interest shall be binding upon ANGI or ATTCO until transfer order and the recorded
instrument evidencing such transfer, or • certified copy thereof, shall be furnished to ANGI or ATTCO.
Transfer of interest shall be made effective 8:00 a.e. on the first day of the calendar month in which
proper notice is received by ANGI and ATTCO. ANGI and ATTCO are hereby relieved of any responsibility
for determining if end when any of the interests hereinabove set forth shall or should revert to or
be owned by other parties as a result of the completion of discharge of money or other payments from
said interests and the signers hereof whose interests are effected by such money or other payments,
if ony, agree to give ANGI and ATTCO notice in writing by registered letter addressed to ANGI and ATTCO
at the above address, directed to Division Order Department, when any such money or other payments have
been completed or discharged, or when any division of interest other than that set forth above shall,
for any reason, become effective and to furnish transfer order accordingly and that in the event such
notice shalt not be received. ANGI and ATTCO shall be held harmless in the event of, and are hereby
released fro( any and all damage or toss which might *rise out of any overpayment. Should adjustments
be necessary, ANGI and ATTCO shall have rights (but no duty) to set off any and at individual or joint
liabilities the undersigned has with same, including but not limited to proceeds from this *nd other
lease interests owned by the undersigned.
EIGHTH: If any portion of the proceeds derived fros the sale of Gas is subject to refund under any
order, rule or reputation of the Federal Energy Regulatory Commissi on or the provisions of the Natural
Gas Act or Natural Gas Policy Act of 1978, ANG1 say hold without interest the portion of the proceeds
subject to refund unless indemnity satisfactory to ANGI has been furnished, or until ANGI's refund
obligation has been finally determined. 11 any portion of the proceeds derived frog the sale of Gas
is paid over by ANGI under any order, rule or regulation of the Federal Energy Regulatory Commission
or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1978, ANGI and ATTCO are
authorized to recover the amount of the refund applicable to the interest of each of the undersigned
free future payments (Gas and oil) or at ANGI's election, it may invoice the undersigned therefor, plus
the legal rate of interest ANGI is or may be required to pay in connection with the undersigned's
portion of the refund. •
NINTH: If the undersigned is a working interest owner an8/or operator, he or she guarantees and
warrants that all Gas and Oil tendered hereunder has been or will be produced and delivered in
eomptiance with alt applirable federal trete ono 'coat taws, orders, rules and regulations.
TENTH: This Division Order shall become valid and binding upon each and every owner above named upon
execution hereof by such owner regardless of whether or not any of the other above-named owners:have
so signed. No teraination o1 this Division Order shall be effective without giving thirty (3O) days
prior written. notice. If the provisions of this Division Order ere in oocflict with the provifions
of any oil and gas lease covering the above-described property(ies), the provisions of this Division
Orde- shell prevail. Each undersigned owner ratifies and confirms his oit and gas lease as being in
null force ano effect as of the date hereof. In consideration of the purchase of Gas and Oil hereunder,
consent is given ANG1 and ATTCO and any pipeline eoapany which same may cause to connect with the wells
and tanks on seid land, tc disconnect and remove such pipelines, in case of tereinetion by either ANGI
or ATTCC' or the undersignedr of ony purchases under this Division Order . In the event of conflict
betweer. the provisions of this Division Order and applicable lax or regulations, the provisions of this
Dnvirnor. Order shell be deemed modified se as to wooly with such la. or regalarnon
B 1283 REC 02234449 11/29/90 16: 43 X0. 00 2/003
F 1655 MARY ANN FEUERSTEIN CLERK & RECORDER WELD COe CO
EXHIBIT A
50447
OWNER. NO CREDIT TO PERCENTAGE INTEREST
4430 ENERGY MINERALS CORPORATION 2. 324230 OI
10997 MAYNARD W. NICHOLS 0. 195310 OI
28827 AMOCO PRODUCTION COMPANY 2. 519530 OI
28846 ROBERT L SNYDER 0. 814610 OI
28849 TOMMY D ABLES 0. 203650 OI
28850 NORMAN M BODILY 0. 203650 OI
28851 .JOHN D CRANOR 1. 000000 OI
10997 MAYNARD W. NICHOLS 0. 390630 RI
2971 WELD COUNTY C/O 0. 439450 RI
BOARD OF COUNTY COMMISSIONERS
9578 CAROL BELL 1. 464840 RI
29579 PHYLLIS BOLLMAN 1. 464840 RI
29580 FAYRENE MEYERS 1. 464850 RI
29581 EUGENE MUSE 1. 464850 RI
29582 POTTS FARM ACCOUNT 5. 810540 RI
C/0 HARVEY 0 POTTS MANAGER
28825 BASIN EXPLORATION INC FOR 80. 239020 WI
NIELSON PROPERTIES
*** 100. 000000
B 1283 REC 02234449 11/'29/90 16:43 X0.00 3/003
F 1656 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
r
ATTCO
ASSOCKED TRANSPORT & TRADING COMPANY •
r.. - ..
November 9, 199O
J
TO ALL INTEREST OWNERS:
Basin Exploration , Inc. has recently acquired all of Nielson
Enterprises Inc . ' s oil and gas properties in Colorado and has
reached an agreement with Associated Transport and Trading Company
to distribute the oil revenues from said properties and Associated
Natural Gas, Inc . to distribute the gas revenues. The effective
date of the change of the distribution from Nielson to Associated
will be October 1 , 199O.
To accommodate this transfer , enclosed please find Oil and Gas
Division Orders for execution in accordance with the attached
instruction sheet. Return to the below listed letterhead address
at your earliest convenience. Should executed Division Orders not
reach Associated Natural Gas, Inc . within 45 days , revenues will
be suspended pending receipt of same .
Oil checks are issued on the 2Oth of each month; gas checks
are issued on the last day of each month. Both ANGI and ATTCO have
a $25.00 minimum value before a check is issued. Monies less than
$25.00 remain in a minimum suspense account until the $25. 00 is
reached or all monies are released once a year in December ( if the
minimum is not met ) .
On Working Interest ownership, Lease Operating Expenses will
be netted against revenue unless other arrangements are currently
in place with Basin.
ATTCO/ANGI look forward to being of service to you.
Yours very truly ,
ASSOCIATED TRANSPORT AND TRADING COMPANY
ASSOCIATED NATURAL GAS, INC.
Barbara L . Buck
Manager , Division Orders
BLB : blg
Enclosure
900 REPUBUC PLAZA • 370 SEVENTEENTH STREET • DENVER,COLORADO 80202 • (303)595-3331 • FAX(303)595-C480
MAIUNG ADDRESS: P.O. BOX 5493 • DENVER, COLORADO 80217
Hello