HomeMy WebLinkAbout920832.tiff ARL'3OE456 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 112)
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.
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F 0224 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
920832
cam ' /LNG. (AI itt90Riiro)
DIVISION ORDER - ASSOCIATED NATURAL GAS, INC. (UNIT #2)
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.
. , 0i BOARD OF COUNTY COMMISSIONERS
ATTEST: , WELD COUNTY, COLORADO
Weld County C16'Hk'to the Board
Geor a Ke nedy, Chairman
BY: Stee� 1-1\nath nOL� C.-- e4/4 i�Gc A
Deputy(1C1erk to the Board Constance L. Harbert, Pro-Tem
APPROVED AS T FORM:
C. W. Kir�
Co my Attorney Gor ac
W. H. Webster
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F 0225 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
920832
BD:LS DIVISI D_d
(COKAINED CAS AND OIL)
TO: ASSOCIATED NAi1RtAL SAS, INC. (*MCI')
ASSOCIATED 1RANS►OSr AND TRADING COMPANY ('ATTCO')
Peet office Noe S4V3
Danvers ooterade Sgt17 6476 (Gas)
ATM: Division Order Department Lease No. 51119
Date •Auauct 111. 1992
Plant
The undersigned. and each of us, certify end guarantee that we are the legal owners of and hereby warrant the title to our
respective interests in the proceeds derived from the sate of Cos and Oil (as more individually defined herein) produced and
saved from the CI C Gat Unit #2 tease or unit located in the County or Parish of Weld
Stet* of Cnlnrarin more particularly described as follows:
TOWNSHIP 2 NORTH, RANGE 66 WEST
SECTION 18: S/2 limited to production from
• the J Sand Formation
•
MINER NO, CSrDrT TO Division or INTEREST
DECIMAL
FOR DIVISION OF INTEREST SEE EXHIBIT "A" ATTACHED HERETO AND
MADE A PART HEREOF.
Effective 5:00 A.M. date of first sales , and until further notice, you are hereby authorized to take or retain
po ion of all Cos and Oil from said property(iec) on end after the effective day and to give credit as set forth above for
Lit proceeds derived from the sale thereof from said property(ies) subject to the conditions, covenants and directions set out
below:
FIRST: It is understood that the Gas produced from the above-described property(ies) is being sold
under that certain Gas Purchase and Processing Agreement dated **June 17 , 1992, between
Raain Fxpinratinn Tnr as 'Seller' and ASSOCIATED NATURAL GAS,
INC. as 'Buyer', end that all tern 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 and 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 d 1 prnducts which Associated Natural Gas, Inc. may receive and/or recover by
processing frost Gas produced from wells on said property(ies). **EFFECTIVE WHEN LOW PRESSURE
GATHERING CONVERTS TO HIGH PRESSURE GATHERING .
All covenants appearing on the reverse side hereof areincorporated herein by reference and the undersigned agree that each shell
be deemed and considered en essential part of this Division Order in like manner end with the same effect es if printed above
our signatures.
The undersigned expressly valve any claim against ANGI end ATICO for any and all amounts which may be due us from others for
production prior to the effective date hereof,
Sign es f it s Owners Sign Delay Taxpayer identification or
ter Nailing Addre Social Security Number
A • 84-6000813
G GE KENN , G 1R IA 09
WELD COUNTY BOARD. OF COMMISSION S •
DEPUTY { Q,BOARD 1 Address P.O. BOX 758
99y _e _--r__,
GREELEY, CO 80632
•
• Address
Address
•
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F 0226 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
ao ORIGINAL
SECOND: The word 'Oil' es used herein shall include, but is not Slatted to, condensate and all
marketable liquid '-'rocsrbons produced and saved hereunder, excluding that recovered from '
processing of Gas. 011 received and purchased hereunder shall merchantable Oil and shall become
the property of ATTCO as soon as the same is received into its custody or that of any carrier it
designates. ATTCO shalt not be expected to receive 01l in definite quantities, nor for fixed periods,
nor to provide storage.
THEND: The Oil received end purchased hereunder shall be delivered f.o.b. to any carrier ATTtD
designates which gathers and receives said Oil and ATTCO egrets 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
tease operator.
FOURTH: Quantities of Ott purchased hereunder shell be determined by the method of measurement and
computation aaployed 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 coepiled tank tables, the use of certified
truck gauges, end the use of meters or any other reasonably accurate method of measurement and
computation. ATTCO shall correct the volume and gravity tom temperature of 60° Fahrenheit and shall
deduct from such corrected volume the full percentages of basic sediment, water and other impurities
as shown by its test. ATTCO may refuse to receive any Oil it considers to be not merchantable,
FIFTH: Payments are to be made monthly by checks of ANSI for Gas and ATTCO for Oil to be delivered
or mailed to the parties thereto entitled at the add hove given, provided that if the amount
due any owner is Ins than Twenty-five and 00/100 Dollars ($2).(X)) per month, ANSI 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 ANSI end ATTCO to withhold from the proceeds of any and all Gas and
Oit 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 governeental authority, local,
•
state and/or federal, and to pay the sere in our behalf with the proceeds so withheld.
SIXTH: In the event of any adverse claim of title or to the event title shall not be satisfactory to
ANG1 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 ANG1 and/or ATTCO and
authorizes same 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 at 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 after severance, to indemnify and save haratess ANGI end ATTCO
against any end all liability for loss, cost, damage and expense which ANSI or ATTCO 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 ANSI 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 tun or sums so withheld from
payment to said party and deduct ell such taxes, interest and penalties so paid by them from any sums
owing by them to said party. If .suit is filed affecting the interest of the undersigned, written
notice thereof shall be given ANG1 and ATTCO at the above address by the undersigned, together with
• certified copy of the complaint or petition filed. If ANSI or ATTCO are made • party to such
proceedings, the undersigned agrees to indemnify same against any judgment rendered therein end to
reimburse ANGI and ATTCO for any costs, attorney's fees or other expenses incurred in connection
therewith.
SEVENTH: The undersigned severally agree to notify ANSI and ATTCO of any change of ownership and no
transfer of interest shall be binding upon ANGI or ATTCO until transfer order end the recorded
instrument evidencing such transfer, or a certified copy thereof, shall be furnished to ANG1 or ATTCO.
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 ANSI and ATTCO. ANG1 and ATTCO are hereby relieved of any responsibility
for determining if and when any of the interests hereinabove set forth shall or should revert to or
be owned by other parties as • result of the completion of discharge of money or other payments from
said interests end the signers hereof whose interests are affected by such money or other payments,
if any, agree to give ANSI and ATTCO notice in writing by registered letter addressed to ANSI end 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 froe any and all damage or loss which might out'of any overpayment. Should adjustments
be necessary, ANGI and ATTCO shell have rights (but no duty) to set off 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.
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. ANSI may hold without interest the portion of the proceeds
subject to refund unless indemnity satisfactory to ANGI has been furnished, or until AN61's refund
obliuet ion hes been finally determined. If any portion of the proceeds derived from 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. ANSI and ATTCO are
authorized to recover the amount of the refund applicable to the interest of each of the undersigned
from future payments (Gas and Oil) or al ANSI's election, it may invoice the undersigned therefor, plus
the legal rate of interest ANSI it or may be required to pity in connection with the undersigned's
portion of the refund,
NINTH: If the undersigned is a working interest owner ahii/or operator, he or she guarantees and
warrants that all Gas end oil tendered hereunder has been or will be produced and delivered in
compliance with all applicable federal, state and local laws, orders, rules and regulations.
TWIN: This Division Circler 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:hive
so signed. Hp termination of this Division Order shall be effective without giving thirty (30)'deys
prior written.notice. If the provisions of this Division Order are in conflict with the provisions
of any oil and gas lease covering the above-described property(ies), the provisions of this Division
Order shall prevail. Each undersigned owner ratifies and confirms his oil and gas tease as being in
full force end effect as of the date hereof, in consideration of the purchase of Gas and Oil hereunder,
consent is given ANGI end ATTCO and any pipeline company which same may cause to connect with the welts
end tanks on said lend, to disconnect and remove such pipelines, in case of termination by either ANGI
or ATTCO or the undersigned of any purchaser under this Division Order. In the event of conflict
between the provisions of this Division Order end applicable law or regulations, the provisions of this
Division Order shall be deemed modified so as to comply with such law or regulation.
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F 0227 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
9208=
EXHIBIT A
6476 CLC GAS UNIT #2 (Gas)
51119 CLC GAS UNIT #2 (Oil )
OWNER NO CREDIT TO PERCENTAGE INTEREST
4430 ENERGY MINERALS CORPORATION 1 . 055960 OI
9454 KEN PERKINS OIL & GAS . 210860 OI
28840 ESTATE OF J P FIELD . 013250 OI
MARGARET F BOUDREAU EXEC
28842 MATTHEW R HOOVLER . 033960 OI
29001 CANNON LAND COMPANY 7 . 941760 OI
Pi 01
29527 MARCUS DEGENHARDT . 033960 OI o r
N W
N 01
CO O
29534 BOB D HILL . 033960 OI
th
x
1c
587 FARMERS RESERVOIR & IRRIGATION . 203760 RI O
COMPANY zz o
N
25363 WELD COUNTY . 543440 RI m
ul
BOARD OF COUNTY COMMISSIONERS a en
x
29001 CANNON LAND COMPANY 7 . 941770 RI co N c,
Httl O
H O
zW
29367 ROBERT M STAHL AND . 164860 RI n -,
MARY E STAHL r N x
29535 LAUREL JURGENSEN . 207780 RI x N
fh ..
N
M v1
29537 EILEEN J JURGENSEN . 831140 RI n
O
x
O
29539 LOIS G SHORT .415570 RI tal
• o
$ o
trio
29540 SHANNON JURGENSEN . 207780 RI d
n
O in
29577 DARRELL L BEARSON AND . 269320 RI
NELVA M BEARSON 9208:;2p o
39971 WELCO VENTURE 1 . 345910 DIfTGINhL
C/O PETERSON MGMNT CO INC
EXHIBIT A
6476 CLC GAS UNIT #2 (Gas)
51119 CLC GAS UNIT #2 (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 02302456 09/03/92 15 :15 $0 . 00 6/006
F 0229 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO
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