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HomeMy WebLinkAbout920831.tiff AR2302455 RESOLUTION RE: APPROVE GAS AND OIL DIVISION ORDER TO ASSOCIATED NATURAL GAS, INC. , FROM BASIN EXPLORATION, INC. , 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, has received a Gas and Oil Division Order to Associated Natural Gas, Inc. , P.O. Box 5493, Denver, Colorado 80217, from Basin Exploration, Inc. , and WHEREAS, said Division Order covers land more particularly described as follows: Township 2 North, Range 66 West, 6th P.M. Section 18: Si limited to production from the J Sand Formation (Unit #1) Weld County, Colorado 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 Gas and Oil Division Order to Associated Natural Gas, Inc. , P.O. Box 5493, Denver, Colorado 80217, from Basin Exploration, Inc. , 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. B 1350 REC 02302455 09/03/92 15: 14 $0 .00 1/006 F 0218 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO 920831 nc`r� c � l�n)C i (fu/aPoRi rb) DIVISION ORDER - ASSOCIATED NATURAL GAS, INC. (UNIT #1) PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 31st day of August, A.D. , 1992. ((O� a t; # J BOARD OF COUNTY COMMISSIONERS ATTEST: �rI/(,y,f/ WELD CO TY, COLORADO Weld CountGGy'C1erk ttto✓Vttim Board 4 (' G rge Ken dy, C airman BY Deput Cl r to the Board onstance L. Har ert, Pro-Tem APPROVED AS T FORM: i t C. W. Kirb S4GC County Attorney Gord a W. H. Webster B 1350 REC 02302455 09/03/92 15 :14 $0 .00 2/006 F 0219 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO 920831 BD:LS DIVISION OtDfl (COMBINED CAS AND OIL) TO: ASSOCIATED MORAL CAS. INC. (4801') AO0CIAT® TRANSPORT AND TRADING COMPANY (•ATTCO•) Peet Office Net 6493 8129 (Gas) Denser. colored, aced? ATTN: Divialen Order Deportment Lease No. 51J 18 (Oi 1 Date Auaust in. 1992 Plant The undersigned, and each of us, certify and guarantee that we are the legal owners of and hereby warrent the title to our respective interests in the proceeds derived from the sale of Gas and Oil (as more individually defined herein) produced and saved from the ci C Gas Unit #1 lease or unit located in the County or Parish of Weld State of rnlnrerin more particularly described es follows: TOWNSHIP 2 NORTH, RANGE 66 WEST SECTION 18: S/2 limited to production from the J Sand Formation• OUN[M NO, ctrlflT m DIVISION or INTEREST DECIMAL FOR DIVISION OF INTEREST SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART HEREOF. Effective 8:00 A.M, date of first sales , and until further notice, you are hereby authorized to take or retain po ion of all Gas and Oil from said property(ies) on and after the effective day and to give credit at set forth above for all proceeds derived (roe the sale thereof free said property(ies) subject to the conditions, covenants and directions set out belw: eIt5T: It is understood that the Gas produced from the above-described propertyf its) is being sold under that certain Gas Purchase and Processing Agreement dated **June 17 , 1992 , between Racin Fxpinratinn Tnr as 'Seller' and ASSOCIATED NATURAL GAS, INC. at 'Buyer•, and that all terms and covenants contained therein, and in any amendments, extensions, or renewals thereof shall govern and be binding upon the parties hereto in all respects which shall include, but not be restricted to. the price to be paid for said Gas end the time when such payments are to be made. As used in this Division Order, the term 'Gas' shalt be deemed to include casinghead pas, gasoline and all products which Associated Natural Gas, Inc. may receive and/or recover by processing from. Gas produced from wells on said property(iet). **EFFECTIVE WHEN LOW PRESSURE GATHERING CONVERTS TO HIGH PRESSURE GATHERING . 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 and ATTCO for any and all amounts stitch may be due us free others for production prior to the effective dale hereof. Signs to it s Enter Sign Delay Tacieyer identification or ter nailing d tls) Social Security Number ATTEST; 84-6000813 RK ORGE K NED , CHAIRMAN BY: /92 WELD COUNTY BOARD OF CQMMISSIONERS EPUTY TD BOARD . Address •� � P.O. BOX 758 - "JH GREELEY, CO 80632 • Address • Address B 1350 REC 02302455 09/03/92 15:14 $0 .00 3/006 • B920857 F 0220 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO i•+sra�...r- � •®Grp ORIGINAL SECOND: The word 'Olt' es used herein shell include, but is not limited to, con0anaate end all marketable liquid s-drocarbons produced end saved hereunder, t excluding that recovered from recessing of Gas. 011 received and purdyaad hereunder shall _ merchantable Oil and shall become the property of ATTtu es soon as the same is received into its custody or that of any carrier it designates. ATTCO shall not be expected to receive Oil in definite quantities, nor.tor fixed periods, nor to provide storage. THIRD: The OIL received and purchased hereunder shell be delivered f.o.b. to any carrier ATTCO designates division of inteestsrs and receives aaid he einl and ATTCO specifiedd at the n to iceee reed such oil towe the iceundersigned tease operator. Pr 0 Upon between ATTCO and the FOURTH: Quantities of Oil purchased hereunder shalt be determined by the method of measurement and computation employed by ATTCO or ATTCO's agent designated to receive such Oil 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 and computation. ATTCO shall correct the volume and gravity toe temperature of 60° Fahrenheit and shalt deduct from such corrected volume the full percentages of basic sediment, rater and other impurities as shown by its teat. ATTCO may refuse to receive any Oil it considers to be not merchantable, FIFTH: Payments are to be made monthly by checks of ANC! for Gas and ATTCO for Oft to be delivered or mailed to the parties thereto entitled at the addresses above given, provided that if the amount due any owner is less than Twenty-five and 00/100 Dollars ($25,00) per month, µC! or ATTCO, at its option, may defer the making of such payment Until such time as the aggregate amount due exceeds said sum. The undersigned authorize AM) and ATTCO to withhold from the proceeds of any and all Gat and Oil referred to herein, the amount of any tax placed thereon, or on the production thereof, including but not limited to any severance, production or occupation tax, by any governmental authority. state and/or federal, and to pay the same in our behalf with the proceeds so withheld. - Y. local, SIXTH: In the event of any adverse claim of title or in the event title shall not be satisfactory to ANG! 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 µ6I and/or ATTCO and til satisfactory essame me tovwtth oldlpayment nt without to ANC!ation to and A7TCpay interest on the amount so withheld, of such party hereunder respectively agrees, in the event suitcisufiledtineany court affecting title to said Gas end/or Oil, either before or after severance, to indemnify ands d party as to the interest against any and ell liability for loss, cost, damage ad expense which ANGI or ATTCO says uffe and incur on account of receiving and paying said party the proceeds derived from the sale ofy said f Gas and/or Oil. Where µG1 ad/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 µG1 and ATTCO harmless of and from ell liability for any lax, 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 payment to said party and deduct all such taxes, interest and penalties so paid by them from any sums owing by them to said party. If .suit is filed effecting the interest of the undersigned. written notice thereof shall be given µC! and *TIC° at the above address by the undersigned, together with a certified copy of the complaint or petition filed. If µC! or ATICO are made a party to such proceedings, the undersigned agrees to indemnify same against any judgment rendered therein and to reinburse h µG1 and MICA for any costs, attorney's fees or other expenses incurred in connection therewith. SEVENTH: The undersigned severally agree to notify ANGI and ATICO of any change of ownership and no transfer of interest shall be binding upon µGI or ATTCO until transfer order and the recorded Transfer of evidencing °halt be such ansfer, or a made effectiver8:O0 a m,fied on therfirst f. day of the ll be calm calendar µGt or which proper notice is received by ANG! and ATTCO. µGI and ATMC0 are hereby relieved responsibility month in which for determining if and when any of the interests hereinabove set forth shall or should ssssstto or be owned by other parties as a result of the completion of discharge of money or other payments frost said interests and the signers hereof whose interests are affected by such money or other payments, if any, agree to give µC1 and ATICO notice in writing by registered letter addressed to µG1 and ATICO 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, µ6I and ATTCO shall be held harmless in the event of, and are hereby released troy any and all damage or loss which might arise out'of any overpayment. Should adjustments be necessary, µGt end 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 and other lease interests owned by the undersigned. EIGHTH: If any portion of the proceeds derived from 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, µG1 may hold without interest the portion of the proceeds oblsubject to refund unless indemnity satisfactory to ANGI has been furnished, or until ANGJ's refund is lust eid ion overabybeen finally uder any order, l Ife o any r repolat ionoof the federalderived from the sate of Gas or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1978, ncl tongATTC0 Commission authorized to recover the amount of the refund applicable to the interest of each of l the undersigned ere from future payments (Gas and Oil) or at ANGI's election, it may invoice the undersigned therefor, plus the legal rate of interest µGI is or may be required to pay in connection with the undersigned's portion of the refund.f rINTH: Ifhatthe udersigned is and Oil ate working ered merest wonha assa/oeen r operator, he or she guarantees and compliance with all applicable federal, state end local laws, orders, rulesran and ucreguend l aationsi vered in 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 owner►•have so signed. Np termination of this Division Order shall be effective without giving thirty (3D)Ida s prior written notice. If the provisions of this Division Order are in conflict with the proviiions of any oil end gas lease covering the above-describedY Order shall serval'. Each undersi ned owner es and dpc firms s), the provisions leaseof this Division fin full force and effect es of the date hereof In consiider tiofs the hispurch cis and gas se of Gas and i as hereunder, eind in consent is given ANG! end ATTCO and any pipeline company which same may comae to connect with the lts and tanks on said land, to disconnect and remove such pipelines, in case of termination by either µG! or ATTCO or the undersigned of any purchases under this Division Order. In the event of conflict between the provision[ of this Division Order and applicable law or regulations, the provisions of this Division Order shall be deemed modified so as to comply with such law or 'regulation. • B 1350 REC 02302455 09/03/92 15 : 14 $0 . 00 4/006 920831 F 0"221 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO EXHIBIT A 8129 CLC GAS UNIT #1 (Gas) 51118 CLC GAS UNIT #1 (Oil ) OWNER NO CREDIT TO PERCENTAGE INTEREST 4430 ENERGY MINERALS CORPORATION 1 . 055960 OI 9454 KEN PERKINS OIL & GAS . 21086O OI 28840 ESTATE OF J P FIELD . 013250 OI MARGARET F BOUDREAU EXEC 28842 MATTHEW R HOOVLER . 033960 O1 29001 CANNON LAND COMPANY 7 .941760 OI o F-' N G) N (n 29527 MARCUS DEGENHARDT . 033960 OI nJo Z IC 29534 BOB D HILL . 033960 OI o zw z o 587 FARMERS RESERVOIR & IRRIGATION . 203760 RI m � . COMPANY • N 25363 WELD COUNTY . 543440 RI CA• o BOARD OF COUNTY COMMISSIONERS M te H O Lo 29001 CANNON LAND COMPANY 7.941770 RI z-- n M ✓ N 29367 ROBERT M STAHL AND . 164860 RI M• E-, MARY E STAHL I-. 29535 LAUREL JURGENSEN . 207780 RI n " O z 29537 EILEEN J JURGENSEN . 831140 RI z o E 29539 LOIS G SHORT .415570 RI r o o 29540 SHANNON JURGENSEN . 207780 RI 0 n0 O a 29577 DARRELL L BEARSON AND . 269320 RI NELVA M BEARSON 39971 WELCO VENTURE 1 . 345910 RI 920Ni C/O PETERSON MGMNT CO INC ur IGINAL EXHIBIT A 8129 CLC GAS UNIT #1 (Gas) 51118 CLC GAS UNIT #1 (Oil ) OWNER NO CREDIT TO PERCENTAGE INTEREST 56099 ROBERTS FAMILY TRUST . 371910 RI RAY M & NORMA J ROBERTS TTEES 38936 BASIN OPERATING C/O CENTRAL 78. 173050 * wI BANK-K GARDNER, ENERGY DIV 100 . 000000 * Basin Exploration, Inc. 77.99908% WI Basin Operating Co. .17397% WI B 1350 REC 02302455 09/03/92 15 :14 $0 .00 6/006 F 0223 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO 920821 Hello