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HomeMy WebLinkAbout921195.tiff RESOLUTION RE: APPROVE DESIGNATION OF UNIT AND VOLUNTARY POOLING AGREEMENT BETWEEN WELD COUNTY, COLORADO, R A RESOURCES, INC. , RIVER RANCH EXPLORATION, LTD. , ESTHER M. SCHANK AND ESTATE OF THOMAS D. SCHANK, AND UNITED BANK OF GREELEY NATIONAL ASSOCIATION, TRUSTEE OF THE LINDA SCHANK TRUST 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, R A Resources, Inc. , River Ranch Exploration, Ltd. , Esther M. Schank and Estate of Thomas D. Schank, and United Bank of Greeley National Association, Trustee of the Linda Schank Trust, own working, landowner royalty, and/or overriding royalty interests in and to those leases on property located in the S?NW4 of Section 35, Township 5 North, Range 66 West of the 6th P.M. , Weld County, Colorado, and WHEREAS, the Board has peen presented with a Designation of Unit and Voluntary Pooling Agreement between Weld County, Colorado, R A Resources, Inc. , River Ranch Exploration, Ltd. , Esther M. Schank and Estate of Thomas D. Schank, and United Bank of Greeley National Association, Trustee of the Linda Schank Trust, and WHEREAS, the terms and conditions of said agreement are as stated in the agreement, a copy of which is attached hereto and incorporated herein by reference, and WHEREAS, after study and review, the Board deems it advisable to approve said agreement. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Designation of Unit and Voluntary Pooling Agreement between Weld County, Colorado, R A Resources, Inc. , River Ranch Exploration, Ltd. , Esther M. Schank and Estate of Thomas D. Schank, and United Bank of Greeley National Association, Trustee of the Linda Schank Trust, be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the Chairman be, and hereby is, authorized to sign said agreement. LEO' A —\ 921195 RE: DESIGNATION OF UNIT AND VOLUNTARY POOLING AGREEMENT - SCHANK R2 WELL PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 21st day of December, A.D. , 1992. I t; BOARD OF COUNTY COMMISSIONERS ATTEST: �e+ ; WELD CO NTY, COLORADO iCP w�rz Weld County Clerk to the Board Geo a Ke nedy, Chairman , BY: 110-42Ty '-(_�, rr-.� _ " hT.Pi Deputy Clerk lo the Board Constance L. Harbert, Pro-Tem APPROVED AS TO ORM: C. W. Kir County Attorney Gor a W. . Webster 921195 ChoPV DESIGNATION OF UNIT AND VOLUNTARY POOLING AGREEMENT THIS AGREEMENT is made and entered into as of the dates set forth below, by and between the parties subscribing, ratifying or consenting hereto, such parties being hereinafter referred to as "parties hereto. " WITNESSET H: WHEREAS, the parties hereto own working, landowner royalty, and/or overriding royalty interests in and to those certain Oil and Gas Leases described on Exhibit "A" attached hereto and made a part hereof, which Leases are hereinafter referred to as "subject leases" ; and WHEREAS, the following oil and gas well(s) have been drilled on spacing units that include lands covered by the subject leases; R A Resources, Inc. schank #2 Well, located in the SW/4NW/4 of Section 35, Township 5 North, Range 66 West, Weld County, Colorado, and WHEREAS, the parties hereto desire to unitize, pool and combine their respective mineral interests in the subject leases, insofar as said leases cover the lands described herein below as covering the pooled area, for the purpose of developing and producing unitized substances in accordance with the terms and conditions of this agreement in order to promote conservation and to provide for the most economic development for the oil and gas underlying said lands; NOW, THEREFORE, in consideration of the premises and the mutual advantages to the parties hereto, it is mutually covenanted and agreed by and between the parties hereto as follows: 1. The undersigned parties jointly and severally do hereby adopt, ratify and confirm the subject leases and all of their respective terms and provisions, and do hereby grant, lease, let and demise to R A Resources, Inc. and River Ranch Exploration, Ltd. , their successors and assigns, any and all interest which the undersigned Lessors now have, or may hereafter acquire, in accordance with each and every term and provision of the subject leases, and the undersigned Lessors declare, each for themselves, that the subject leases and all of their respective terms and provisions are binding on the undersigned Lessors and that the same is a valid and subsisting Oil, Gas and Mineral Lease. 2 . That all interests in and to the subject leases are hereby pooled and unitized into a unit for the drilling for and production of oil and/or gas therefrom, such unit, hereinafter referred to as the "pooled area", being comprised of the following described lands in Weld County, Colorado; Township 5 North, Range 66 West Section 35: S/2NW/4 Weld County, Colorado Containing 80 acres, more or less. This Designation of Unit and Voluntary Pooling Agreement shall include only the Niobrara and Codell Formations underlying the pooled area, and the oil and/or gas producible from said formations shall hereinafter be referred to as "unitized substances" . 1 921195 3 . The pooled area shall be developed and operated as an entirety, with the understanding and agreement between the parties hereto that all unitized substances produced therefrom shall be allocated among the leaseholds comprising said area in the proportion that the net mineral acreage interest of each leasehold bears to the entire mineral acreage interest committed to this agreement. 4 . The royalties payable on unitized substances allocated to the individual leases comprising the pooled area and the rentals provided for in said leases shall be determined and paid on the basis prescribed in each of the individual leases. Payments of rentals under the terms of leases subject to this agreement shall not be affected by this agreement except as provided for under the terms and provisions of said leases or as may herein be otherwise provided. As modified hereby, the oil and gas leases subject to this agreement shall remain in full force and effect. 5. There shall be no obligation on the lessees to offset any well or wells completed in the same formation as covered by this agreement on separate component tracts into which the pooled area is now or may hereafter be divided, nor shall any lessee be required to measure separately unitized substances by reason of the diverse ownership thereof, but the lessees hereto shall not be released from their obligation to protect said pooled area from drainage of unitized substances by a well or wells which may be drilled offsetting the pooled area. 6. The commencement, completion, continued operation or production of a well or wells for unitized substances on the pooled area shall be construed and considered as the commencement, completion, continued operation or production on each and all of the lands within and comprising said pooled area, and operations or production pursuant to this Designation of Unit and Voluntary Pooling Agreement shall be deemed to be operations or production as to each lease committed hereto. 7. This Agreement shall remain in full force and effect from the effective date as set forth below and for as long as unitized substances are, or can be, produced from the pooled area. This agreement shall not terminate upon cessation of production if within sixty days thereafter, reworking or drilling operations on the pooled area are commenced and are thereafter conducted with reasonable diligence during the period of nonproduction. 8. The covenants herein shall be construed to be covenants running with the land with respect to the unitized interests of the parties hereto and their successors in interest until this agreement terminates and any grant, transfer or conveyance of any such land or interest subject hereto, whether voluntary or not, shall be and hereby is conditioned upon the assumption of all obligations hereunder by the grantee, transferee, or other successor in interest. 9. This agreement shall be binding upon the parties hereto and shall extend to and be binding upon their respective heirs, executors, administrators, successors and assigns. 10. This agreement may be executed in any number of counterparts, no one of which needs to be executed by all parties, or may be ratified or consented to by separate instrument, in writing, specifically referring hereto, and shall be binding upon all parties who have executed 2 921195 such a counterpart, ratification or consent hereto with the same force and effect as if all parties had signed the same document. IN WITNESS WHEREOF, the parties hereto have executed this agreement as of the day and year set forth below to be effective for all purposes as of the date of first production from the lands covered hereby. LESSEES: ATTEST: R A RESOURCES, INC. Duane D. Bacon Corporate Secretary President RIVER RANCH EXPLORATION, LTD. , a Colorado limited partnership ATTEST: By: R A RESOURCES, INC. , as general partner Duane D. Bacon Corporate Secretary President LESSORS: Date: Esther M. Schank, Individually and as Personal Representative of the Estate of Thomas D. Schank, deceased Date: Bonnie Kuntz Date: Sandra Elder Date: Gary T. Schank Date: Daniel C. Schank ATTEST: BELLY ACRES RANCH, INC. By: Secretary Date: President 3 921195 UNITED BANK OF GREELEY NATIONAL ASSOCIATION, TRUSTEE OF THE LINDA SCHANK TRUST Date: By: (Title) la$4rft ti' f:' BOARD OF COUNTY COMMISSIONERS ATTEST: /°d7 WELD COUNTY. COLORADO Date: O / / k ' secii/Acy y�`` _ ACKNOWLEDGEMENTS STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by Duane D. Bacon, President of R A Resources, Inc. , on behalf of said corporation. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by Duane D. Bacon, President of R A Resources, Inc. , as general partner of RIVER RANCH EXPLORATION, LTD. , on behalf of said partnership. Witness my hand and official seal. My commission expires: Notary Public Address: 4 921195 STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992 , by ESTHER M. SCHANK, Individually and as Personal Representative of the Estate of Thomas D. Schank, deceased. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992 , by BONNIE KUNTZ. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992 , by SANDRA ELDER. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by GARY T. SCHANK. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992 , by DANIEL C. SCHANK . Witness my hand and official seal. My commission expires: Notary Public Address: 5 921195 STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by , as President of BELLY ACRES RANCH, INC. , on behalf of said corporation. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by UNITED BANK OF GREELEY NATIONAL ASSOCIATION, as TRUSTEE OF THE LINDA SCHANK TRUST. Witness my hand and official seal. My commission expires: Notary Public Address: STATE OF COLORADO § COUNTY OF § The foregoing instrument was acknowledged before me this day of December, 1992, by , as of the BOARD OF COUNTY COMMISSIONERS, WELD COUNTY, COLORADO. Witness my hand and official seal. My commission expires: Notary Public Address: 6 921195 R A RESOURCES. INC. 405 SEVENTH STREET I°'--1 n f^"`^',, GREELEY.COLORADO 80631 (303) 353-6066 1 ' - I ^ n n, 1 . Ci ir,` f, TO TI T 1 December 7 , 1992 RE: Schank #2 Well Weld County, Colorado Dear Mineral Owner: A single Designation of Unit on the captioned well was being circulated to each mineral owner for signature. As we are working with very short time constraints in consummating the sale of these properties, we have elected to send a counterpart to each person who is a signatory and I ask that you return it in the enclosed envelope as soon as possible. In the event you have not yet mailed back the iitn of it and Gas Lease sent to you earlier, please enclose that as wofl It is of the utmost importance that you give these documents your earliest attention. Should you have any questions, contact me at the number listed above, or contact Christy Long, a representative of the purchaser, at (303) 694-3700. Cordially, 4nt41r President Enclosures 921195 • 041sHt CLERK TO THE BOARD P.O. BOX 758 ' GREELEY,COLORADO 80632 (303)356-4000 EXT.4225 C. COLORADO December 29, 1992 Duane D. Bacon, President R A Resources, Inc. 405 Seventh Street Greeley, CO 80631 Sir: Enclosed is the Designation of Unit and Voluntary Pooling Agreement signed by the Board of County Commissioners. Please forward a copy of the fully executed agreement to this office. Sincerely,„ 81P/4 4firti Carol A. Harding Deputy Clerk to the Board CAH/bh 921195 'SPINDLE OIL AND GAS, INC. P.O.BOX 910 NIWOT,COLORADO 80544-0910 FAX:(303)6522612 6997 PAIUTE AVENUE,SUITE 5 .105 8L V EN II I S T U[J I LONGMONT,COLORADO 80503 GREELEY.COLORADO(10631 130316523586 f303135360fi6 (303)444.7836 METRO Spindle Oil and Gas, Inc. and its wholly owned subsidiaries; R A Resources, Inc., D-J Energy, Inc., and Dubac Energy, Inc. hereby announce the following changes in officers effective December 14, 1992. The board of directors announce the resignation of the following officers of each of Spindle Oil and Gas, Inc. and each of its subsidiaries: Duane D. Bacon, President Anne Peterson, Corporate Secretary The board of directors have appointed the following officers of Spindle Oil and Gas, Inc. and each of its subsidiaries: Glenn Wm. Simmons, President Thomas M. Alexander, Vice President of Operationa Robert J. Devers, Controller. Spindle Oil and Gas Inc and all of its subsidiaries above also announce the following change in address and telephone numbers effective December 14, 1992: 6464 S. Quebec Street Englewood, CO. 80111 (303) 779-8166 -- Telephone (303) 796-8458 -- Fax This change of address is also for the following partnerships, for which R A Resources, Inc., is the general partner. FARR EXPLORATION, LTD. SEILBACH, LTD.REDBIRD, LTD. BLUEBIRD, LTD. " . ..- PEAK EXPLORATION, LTD. CD - HARVEST EXPLORATION, LTD. . BLISS EXPLORATION, LTD. H O OLY EXPLORATION, LTD. COTTONWOOD EXPLORATION, LTD. - --� XEENESBURG EXPLORATION, LTD. AIRPORT I, LTD. . - JANUARY EXPLORATION, LTD. JAR EXPLORATION, LID. THS EXPLORATION, LTD. CD RIVER RANCH EXPLORATION, LTD. DEEP SAND EXPLORATION, LTD. AIRPORT II, LTD. LONG VIEW, LTD. SOUTH FORK, LTD. For a period of time you may still receive billings and checks with our old address until our supply is exhausted. We would appreciate your noting this change on your records. If you have any questions, please do not hesitate to give us a call. Sincerely, I Robert Devers Controller A 6 t 4 A A•-v Hello