HomeMy WebLinkAbout920081.tiff AR2277353
RESOLUTION
RE: APPROVE GAS AND OIL DIVISION ORDER TO ASSOCIATED NATURAL GAS, INC. FROM
DACONO OIL COMPANY 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
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WHEREAS, Weld County, Colorado, has received a Gas and Oil Division Order
to Associated Natural Gas, Inc. , P.O. Box 5493, Denver, Colorado 80217, from
Dacono Oil Company, and
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WHEREAS, said Division Order covers land more particularly described as
ter ca follows:
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O Township 2 North, Range 67 West, 6th P.M.
W Section 26: NE;
a Weld County, Colorado
WHEREAS, Weld County is entitled to a one-eighth royalty interest on
c•-] production, and
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w WHEREAS, in order to receive said royalty interest, Weld County must
No N execute said Division Order, a copy of which is attached hereto and incorporated
herein by reference, and
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WHEREAS, said Division Order has been reviewed by a member of the Weld
N Z County Attorney's staff and found to be in order, and
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w 5 WHEREAS, the Board deems it advisable to approve said Division Order on the
parcel of land described herein.
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NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the Gas and Oil Division Order to Associated Natural Gas,
Inc. , P.O. Box 5493, Denver, Colorado 80217, from Dacono Oil Company, 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.
920081
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DIVISION ORDER - ASSOCIATED NATURAL GAS, INC.
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The above and foregoing Resolution was, on motion duly made and seconded,
o adopted by the following vote on the 29th day of January, A.D. , 1992.
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U ( f B fr /7" % BOARD OF COUNTY, COMMISSIONERS
u ATTEST: /��l,T,u„��lvl/ l �L'�"j WELD COUNTY, COLORADO
4 Weld Counky;Glerk to the Board
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n Geo a Ken edy, C airman CD /
BY: 7/i£..d—Jf/��1 : 7/77
1r t' �s.,s� 4�-t-c f�_
Deputy Clerk to the Board_- � Constance L. HarbPro-Tem
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APPROVED/ AS TO FORM: „,.// s �{
co C. W. Kirb
County Attorney L, Gord cy
o H W. H. Webster
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920081
DIVISION OLDER
(COMFIT° CAS AND OIL)
TO: ASSOCIATED NATURAL CAS. INC. ('ANSI*)
ACCOCIATID TRANSPORT AND TNADING COMPANY (*MCP')
Peet Sfftee Nut 3493 • ` Gag'_-
Denver. (blonde 80217 Oil 50871A
ATTN: Division Order Deportment Leese No.
Date November 27, 1991
Plant
The undersigned, end each of us, certify end guarantee that we ere the legal owners of end hereby warrant the title to our
respective interests in the proceeds derived from the sale of Gas and Oil (as more individually defined herein) produced and
sewed free the u.sa rn.nty r -- lease or unit located in the Canty or Parish of Weld
Sate of Colorado sore particularly described es follows:
Township 2 North. Rance 67 West
Section 26: NE/4
• As to production frog the Sussex formation
CURER ND. QEDIT TO DIVISION Of INTEREST PECINAL
See attached exhibit "A" for ownership listing
B 1325 REC 02277353 02/05/92 14: 39 $0 . 00 3/007
F 0834 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
Effective B:OD A.N. Date of First Purchase and until further notice, you are hereby authorized to take or retain
po ion of ell Gat and Oil from slid property(let) on and after the effective day and to give credit at set forth above for
d l proceeds derived from the sale thereof from said property(iet) subject to the conditions, covenants and directions set out
below:
IIRST: It is understood that the Got produced from the above-described property(ies) it being sold
under that certain Gas Purchase and Processing Agreement dated November 1 19 91 between
Dacono Oil Company as 'Seller' and ASSOCIATED NATURAL GAS,
INC. es 'Buyer', and that all terms wed covenants contained therein, end in any amendments. extensions.
or renewals thereof shalt oovern and be binding upon the parties hereto in all respects which shell
include, but not he restricted to, the price to be paid for said Cat end the time when such payments
are to be made. As used in this Division Order, the term -Gas' shall be deemed to include casinghead
gas, gasoline and all products which Associated Natural Cat. Inc. may receive and/or recover by
protesting fro.. Gas produced from wells on said properly(ies).
All covenants appearing on the reverse side hereof are incorporated herein by reference and the undersigned agree that each shall
be deemed end considered an essential part of this Division Order in like 'tanner and with the 'see effect as if printed above
our signatures.
The undersigned expressly waive any claim against ANC! and ATTCO for any and all amounts which may be due us from others for
production prior to the effective date hereof.
Owners Sign Delay Taxpayer identification or
Signs es *;Li,
_
(Eiling Addy ) SocialATTEST: } -f. 84-6000813
LEEK T HE BOARI RGE KEN Y, HAIRMAW /
BY: WELD COUNTY BOARD OF COMMISSIO "S01/29/92
DEPU Y E TO BOARD Address P.O. BOX 758 •
GREELEY, CO 80632
•
Address
Address
ORIGIN ,, ~_
9204381
SECOND: The word •011• as used herein shall include, but Is not limited to, condensate and alt
marketable liquid hydrocarbons produced and sand hereunder, but excluding that recovered fro&
procetaing of ems. All Oil received and purchased hereunder shell be merchantable Olt and shall become
the property of ATTCO as soon es the name is received into Its custody or that of any carrier it
designates. ATTCO Shall not be expected to receive Oil in definite quantities, nor for fixed periods,
nor to provide storage,
THIRD: The Ott received and purchased hereunder shall be delivered f.o.b. to any carrier ATTW
designates which gathers and receives said Oil and ATTCO agrees to pay for such oil to the undersigned
according to-the division of interests herein specified at the price agreed upon between ATTCO end the
lease operator,
FOURTH: Quantities of Oil purchased hereunder shall be determined by the method of aessurament and
computation employed by ADW or ATTCO's agent designated to receive such 011 including but not by way
of limitation, the gauging of storage tanks using regularly compiled tank tables, the use of certified
truck gauges, and the use of Meters or any other reasonably accurate method of measurement end
computation. ATTCO shalt correct the volume and gravity tom temperature of 60o Fahrenheit and shall
deduct from ouch corrected volume the full percentages of basic sediment, water end other impurities
es shown by its tett. ATTCO may refuse to receive any Oil it considers to be not merchantable.
f 1f711: Payments are to be made monthly by checks of ANGI for Gas and ATICO for Olt to be delivered
or mailed to the parties thereto entitled at the add hove given,
due any owner is less then Twenty-five end 00/100 Dollars $25.00) month,provided AN that 1f the amount
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Option. may defer the making of such payment until such time as the per gae ANGI dor exceeds Aue TICO, at iid
sum. The undersigned authorize ANGI end ATTCO to withhold from the proceeds of hard all Gas sand
Oil referred to herein, the amount of any lax placed thereon, or on the production thereof, including
but not limited to any severance, production or occupation tax, by tiny governmental authority, tacit,
. state and/or federal, and to pay the same in our behalf with the proceeds so withheld.
SIXTH: In the event of any adverse claim of title or in the event title shall not be satisfactory to
ANGI or Al1C0 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 and/or ATTCO and
authorises sue 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 es to the Interest
of such party hereunder respectively agrees, in the event suit is filed in any court affecting title
to said Gas and/or Oil, either before or alter severance, to indemnify and save harslets ANGI and ATTCO
against any and all liability for toss, cost, damage and expense which ANGI or ATICO may suffer or incur
on account of receiving and paying said party the proceeds derived from the sale of said Gas and/or
Oil . Where ANGI and/or ATTCO, pursuant to the provisions hereof. withholds payment or any 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 of account of the sun or sums to withheld from
payment to said party and deduct all such taxes, interest and penalties so paid by them from any sums
owing by thee. to said party. If 'suit is filed affecting the interest of the undersigned, written
notice thereof shall be given ANGI and AT1C0 al the above address by the undersigned, together with
• certified copy of the complaint or petition filed. If ANGI or ATICO are made a party to such
proceedings, the undersigned agrees to indemnify same against any judgment rendered therein and to
reimburse ANGI and ATICO for any costs, attorney's fees or other expenses incurred in connection
therewith.
SEVENTH: 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 ATICO.
Transfer of Interest shall be made effective 8:00 a.m. 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 and Morn 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 affected by such money or other payments,
if any, agree to give ANGI and ATICO 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 shall not be received. ANGI and AT1C0 shall be held harmless in the event of, and are hereby
released fro. any and all damage or loss which might arise out-of any overpayment Should adjustments
be necessary, ANGI and ATTCO shall have rights (but no duty) to set oil any and all individual or joint
liabilities the undersigned has with same, including but not limited to proceeds from this and other
lease interests owned by the undersigned.
•
EIGiIDI: If any portion of the proceeds derived Iron the sale of Gas is subject to refund 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 may hold without interest the portion of the proceeds
subject to refund unless indemnity satisfactory to ANGI has been furnished, or obligation has been final) y until the sits refund
is paid over by ANGI under zany determined.
rule oranhregulationrtion wof t the e pfederal Eners gy Regulatory gum male has Gas
or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1918, ANGt and ATTCO tare
authorized to recover the *mount of the refund applicable to the in of each of the undersigned
from future payments (Gas and Oil) or et ANG1'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.
MIRTH: 1f the undersigned is a working interest owner aid/or operator, he or she guarantees and
warrant: that ale Gas and Oil tendered hereunder has been or wilt be produced and delivered in
compliance with all applicable federal, state and local 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 oilier above-named owners have
so signed. Np termination of this Division Order shall be effective without giving thirty (10)`days
prior written notice. I the provisions of this Division Order are in conflict with the provisiont
of any oil and gas lease covering the above-described properly)ins), the provisions of this Division
Order shall prevail. tech undersigned owner ratifies and confirms his oil and gas tease as being in
full force and effect as of the date hereof. In consideration of the purchase of Gas and Ott hereunder,
consent is given ANGI and *TYCO and any pipeline co
and tanks on said land, company wpipelines,
same may cause to connect with the wens
or Alla) or the undersigned)of any ct and remove such pipe)hivis in casere of termination the event either conflict
between between the provisions of this Division Order s and applics under habl is a law s orrnregulatior. ns the provisions of of this
Division Order shall be deemed modified so as to comply with such law or regulation,
B 1325 REC 02277353 02/05/92 14 : 39 $0 . 00 4/007
F 0835 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
' ✓ra.,�i3J1,
EXHIBIT A
5O871A WELD COUNTY UNIT /C/
OWNER NO CREDIT TO PERCENTAGE INTEREST
39457 BASIN EXPLORATION INC 2.000000 OI
FOR SPINDLE PROPERTIES
1129 WELD COUNTY 12.500000 RI
39457 BASIN EXPLORATION INC 57.662500 WI
FOR SPINDLE PROPERTIES
4O812 APX WESTERN CORPORATION 27.837500 WI
100.000000
B 1325 REC 02277353 02/05/92 14 : 39 $0 .00 5/007
F 0836 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
97;0081
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ASSOCI$TED €45, INC.
INSTRUCTIONS TO ALL INTEREST OWNERS
THE ENCLOSED GAS DIVISION ORDER OR GAS TRANSFER ORDER SHOULD NOT BE ALTERED
IN ANY WAY EXCEPT TO CORRECT SPELLING ERRORS, UNLESS ACCOMPANIED BY
u DOCUMENTARY EVIDENCE TO SUPPORT THE CHANGE.
L o If your name and interest are correctly shown:
1. Sign your name as shown on the Gas Division Order or Gas Transfer
o 3 Order.
} x 2. Have your signature witnessed by two competent witnesses.
3. If your name has changed due to marriage or divorce, execute the
Gas Division Order or Gas Transfer Order using your present name
O, a and furnish a copy of the marriage certificate or divorce decree.
x 4. If signing for a corporation, signature must be attested,
corporate seal fixed and title of signatory party reflected.
N .;
5. If signed by agent, attorney-in-fact, guardian or any party other
Z than the named interest owner, a certified copy of the power of
attorney or other evidence of such party's right to sign must be
o VI furnished.
6. Gas Division Orders or Gas Transfer Orders for partnerships must
be executed by all partners or by an authorized partner. A
Z certified copy of the instrument giving said partners authority to
�; sign must be furnished.
x 7. Should you fail to provide your correct Social Security Number or
Ca Ja Tax Identification Number, the law provides that we withhold 20%
r of all production proceeds due you. You may also be subject to a
N M further penalty levied by the Internal Revenue Service.
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8. Your correct mailing address should be noted in the space provided
to insure prompt receipt of production proceeds.
9. The white copy or the "Original" of the Gas Division Order or Gas
Transfer Order should be returned to:
ASSOCIATED NATURAL GAS, INC.
P.O. BOX 5493
Denver CO 80217
ATSN: DIVISION ORDER DEPARTMENT
10. Should you have any further questions regarding the enclosed Gas
Division Order or Gas Transfer Order, please contact your Operator
or Associated Natural Gas, Inc. at (303) 595-3331.
11. Please DO NOT DETACH the Exhibit from the Gas Division Order or
Gas Transfer Order if one is included.
900 REPUBLIC PLAZA • 370 SEVENTEENTH STREET • DENVER COLORADO 80202 • (303)595-3331 • FAA $p
MAILING ADDRESS. P.O. BOX 5493 • DENVER, COLORADO 80217 f , J C
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ASSOCIKTED C15, INC.
January 1O, 1992
TO ALL INTEREST OWNERS:
Effective with October . 1991 production, Associated Natural Gas,
O Inc . purchased the Spindle Field Gas Plant from MW Petroleum
o U Corporation (Apache) and will be disbursing revenue on wells for
which Division Orders are enclosed . Effective November 1 , 1991
NO production, Associated Transport & Trading Company will begin
a purchasing oil on these same wells and will also assume
4 disbursement responsibility for revenue. Effective October 1 .
1991 . Basin Operating , Inc . will become Operator of the wells .
vr W To accommodate these changes, enclosed please find Oil and Gas
A Division Orders for execution in accordance with the attached
0 instruction sheet. Return to the below listed letterhead address
at your earliest convenience. Should executed Division Orders not
a 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. For the month of October,
1991 production only , revenues will be disbursed late as we are in
Lc) �2..� the process of getting information loaded into the computer. Both
cvH Associated Natural Gas, Inc. and Associated Transport & Trading
o U] Company 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
M �, December ( if the minimum is not met ) .
N
ZAssociated Natural Gas , Inc. /Associated Transport & Trading Company
look forward to being of service to you.
Yours very truly ,
is) ASSOCIATED NATURAL GAS, INC.
M CO ASSOCIATED TRANSPORT & TRADING COMPANY
aaw
Barbara L . Buck
Manager, Division Order Department
BLB: blg
Enclosure
9?OO8i
900 REPUBLIC PLAZA • 370 SEVENTEENTH STREET • DENVER,COLORADO 80202 • (303)595-3331 • FAX(303)595-0480
MAILING ADDRESS: P.Q. BOX 5493 • DENVER, COLORADO 80217
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