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HomeMy WebLinkAbout981690.tiff 307 GAS DIVISION ORDER TO: NORTH AMERICAN RESOURCES COMPANY EFFECTIVE: January 1, 1997 The below named parties, hereinafter designated as "OWNERS", and each of them by their signatures hereto affixed,do hereby represent, certify and warrant that they are the legal owners in the proportions set out below of all the gas and associated liquid hydrocarbons produced from or allocated to the well, acreage or communitized area more particularly described as follows: Township 1 North,Range 65 West Section 2: N2 Containing 320.00 acres,more or less CO.2315 Hudson#1 J In Weld County, State of Colorado, and are entitled to receive payments for gas taken or sold off of the premises,and until further notice credit for such gas so taken or sold from said premises shall be given as directed below: CREDIT TO DIVISION OF INTEREST MAILING ADDRESS SEE EXHIBIT"A"FOR INTEREST OWNERS NORTH AMERICAN RESOURCES COMPANY, hereinafter called "OPERATOR" may sell and deliver to any purchaser and then remit to the OWNERS as set out herein for all gas and associated liquid hydrocarbons,including condensate produced,saved and sold from said premises as follows: 1. Payment for gas shall be paid to the OWNERS according to the division of interest r N— shown above. Payment therefor may be made monthly by the OPERATOR mailing to such parties its check therefor at the NMin post office address stated, on or before thirty 130) days after receipt by OPERATOR of sufficient information upon which W= settlement therefor may be made. If the amount accruing to the interest of any Owner herein is less than Twenty Five a€9 Dollars($25.00)in any one month,the proceeds of such runs may, at the option of OPERATOR, be accumulated and paid Eim without interest on an annual basis,payment to be made in December of each year. m a— • �� If a refund of a portion of the proceeds derived from the sale of gas may be required under any order, rule or regulation of the Federal Power Commission or other governmental agency having jurisdiction thereof, or the CO S a provisions of the "Natural Gas Act", the price for gas shall be calculated on the basis of the unsuspended or unconditional mm� certificated price for such gas. OPERATOR may hold, without interest, the portion of proceeds subject to possible refund m mew until the amount of the refund, if any, is determined by final unappealable order of the Federal Power Commission or such n - other governmental agency. OPERATOR is also expressly authorized and given the right, in its sole discretion,to withhold rA NM or deduct from the share of any disbursement,directed hereunder attributable to any Owner, a sufficient sum to pay all ad c valorem taxes, applicable State and Local taxes, Resource Indemnify Fund Tax and any other tax (excluding income taxes) -• MIM that will become due and payable by any Owner, and to pay such taxes and render a full account of any such taxes paid by .y n- it to any Owner for whom such taxes have been paid. Cxo• _ c — 2. Settlement for the above interests shall be made on the basis of the net proceeds received from ow the sale of gas based upon the volume computations made or accepted by the purchasers thereof. "Net Proceeds" means r'c mi. the amount received from such sale less transportation, dehydration, separating, treating, processing and compression g o� charges and other costs or expenses,if any. OPERATOR may sell gas to any purchaser of its choice at such quantities and price as it shall deem prudent. However, in the event the sales price for gas is established or regulated by the Federal Power Commission, or other governmental authority,the price applicable to such sales for the purpose of calculating net proceeds shall be the unsuspended or unconditional certificated price for such gas determined by final unappealable order of the Federal Power Commission or such other governmental agency. 3. Payments so made are to be in full settlement for such gas so taken or sold from said premises. 4. OWNERS severally shall notify OPERATOR of any change of ownership, and no transfer of interest shall be binding upon OPERATOR until a request to make such transfer and the recorded instrument evidencing such transfer,or a certified copy thereof,shall be furnished to OPERATOR.Transfers of interest shall be made effective not earlier than the first day of the calendar month in which notice is received by OPERATOR.OPERATOR is relieved hereby of any responsibility for determining if and when any of the interests set forth above shall or should revert to or be owned by other parties as the result of the completion or discharge of money or other payments from said interests and the OWNERS whose interests are affected by such money or other payments, if any, assume said responsibility and shall give OPERATOR notice in writing by certified letter addressed to OPERATOR,when any such money or when any other division of interest WWI wet set 'UI LII euuve sues, Jul ally ,caau"• Lctome effecting', requests for trcrsfer accordingly,and that in the event such notice shall not be received,OPERATOR shall be held harmless in the event of and is hereby released from any and all damage or loss which might arise out of any overpayment. 5. In the event of any dispute or question at any time concerning title to the above described lands, or the gas produced therefrom,OPERATOR may hold the proceeds of all gas runs hereunder,until indemnity satisfactory to OPERATOR has been furnished or until such dispute or question of title is corrected or removed to court affecting title to either the real property above described or to the gas produced therefrom in which any of the undersigned are parties, written notice of the filing of such action shall immediately be furnished to OPERATOR by the undersigned, stating the court in which the same is filed and the title of such action or suit, and OPERATOR or any purchaser of gas runs shall be held harmless from and any judgment rendered in such suit and all reasonable costs and expenses incurred in defending against said claim whether in OPERATOR's defense of the gas purchaser,and the undersigned shall pay said judgment and • said costs and expenses in the proportion and to the extent that the same affects his or their interest. Where, under this provision the proceeds of any gas sales are retained, OWNERS agree to indemnify and hold the OPERATOR harmless from any liability for,any tax proposed or assessed against or paid on account of such retained proceeds, together with the penalties incident thereto, and the OPERATOR may deduct the same from any amount owing by it to OWNERS. In the 981690 • OO10I event of overpayment for gas to the interest of any Owner herein, OPERATOR is authorized upon discovery thereof to recoup such amounts from future accruals to this or any other interest of such Owner for which OPERATOR may make settlement. - 6. This Agreement shah oe binding upon ail parties agreeing hereto irrespective of whether all parties owning an interest in the minerals, royalty, and leasehold estates execute the same, and shall extend to and be binding upon their respective heirs,devisees,executors,legal representatives,successors and assigns.This Agreement may be attached as an exhibit to any other document and incorporated therein by reference for all purposes and execution of any such document to which this Gas Division Order may be attached shall be deemed to be for all purposes of the same force and effect as execution of this document. 7. If applicable, the OPERATOR will comply with all provisions of Executive Order No. 11246 of September 24, 1965, and any amendments or supplement thereto and of the rules, regulations and relevant orders of the Secretary of Labor. Special Provisions: Witness: Y. X 7/13/98 stiffl frcr hair, Bo of County,Com sioners EST: 84-6000-813 D 07�)NT �LERK TD Owner SSp/Tax ID . ""{ I ', 1LEKdr P.O. Box 758 Greeley, CO 80632 ^ r `- Owner Mailing Address � ti It ,pi( IN 111111 111111 IIl11 1.1111 IIIII 111111 III IIIII IIII 1111 2632307 08/11/1998 01:10P Weld County CO 2 of 3 R 0.00 D 0.00 JA Sukl Teukamoto EXHIBIT"A" ATTACHED TO AND MADE A PART OF THAT CERTAIN GAS DIVISION ORDER EFFECTIVE JANUARY 1, 1997 FOR C0.2315 HUDSON #1 J SAND WELL LOCATED IN WELD COUNTY, COLORADO OWNER # OWNER NAME AND ADDRESS INTEREST 10970 Colorado Dept of Transportation .325563% RI 4201 E Arkansas Denver, CO 80222 7524 Farmers Reservoir& Irrigation Company .109829% RI 80 South 27`" Ave Brighton, CO 80601 8147 Alice Thelma Spayd .457812% RI 1532 Tulip CT Longmont, CO 80501 8472 Arlie Marie Swan .457813% RI 2522 Rockdell St La Crescenta,CA 91214-2220 9063 Wilma Hardiman .642804% RI 3628 So Fort Springfield,MO 65807 10943 Vitha Crystal Reynolds .457813% RI 16809 N 59`" Street Scottsdale, AZ 85254 10944 Kathern Harriett Bowers .457813% RI 2522 Rockdell St La Crescenta, CA 91214-2220 10945 Margaret F Kent .642804% RI 639 Jessup, #C Brighton,CO 80601 11300 John L McGill 1.285609% RI 22461 1-76 Access Road Hudson, CO 80642 21529 Weld County Colorado 5.849191% RI Board of County Commissioners P 0 Box 758 Greeley, CO 80632 25593 Rescar Cleaning Corp of Channelview,Inc. 1.831252% RI 22400 1-76 Hudson, CO 80642-9123 7970 Double Eagle Petroleum & Mining Company 2.924595% OR P 0 Box 766 Casper,WY 82602 16339 Richard N Dodge .176099%OR P O Box 3687 Douglas, AZ 85608-3687 8972 Keith M Heimbuck 2.103751% OR 7261 Otis Court Arvada, CO 80003 _ 22 North American Resources Company 82.277252%WI 16 East Granite Butte, MT .59701 TOTAL 100.000000% 111111111111111111111111111111111 HIM 11111NIB 2832307 08/11/1998 01:10P Weld County CO 3 of 3 R 0.00 D 0.00 JR Suki Teukamoto rTh _ North American Resources Company CLET, a Montana Power company TO V" - INSTRUCTION TO ALL INTEREST OWNERS THE ENCLOSED DIVISION ORDER OR TRANSFER ORDER SHOULD NOT BE ALTERED IN ANY WAY EXCEPT TO CORRECT SPELLING ERRORS, UNLESS ACCOMPANIED BY DOCUMENTARY EVIDENCE TO SUPPORT THE CHANGE. If your name and interest are correctly shown: INDIVIDUAL- Sign your name as shown and have your signature witnessed. CORPORATION- Signature must be attested, corporate seal affixed and title of party reflected. PARTNERSHIP- Must be executed by all partners or by an authorized partner. Please provide copy of instrument giving partners authority to sign. AGENT, ATTORNEY-IN-FACT,GUARDIAN ETC - Please provide copy of power of attorney of other evidence of • party's authority to sign. If your name has changed because of marriage or divorce, execute the Division Order with your current name and send a copy of the marriage certificate or divorce decree with your executed Division Order. SHOULD YOU FAIL TO PROVIDE YOUR CORRECT SOCIAL SECURITY NUMBER OR TAX IDENTIFICATION NUMBER, THE LAW PROVIDES FOR A 20% WITHHOLDING OF ALL YOUR PRODUCTION PROCEEDS DUE YOU. PLEASE COMPLETE AND RETURN THE ENCLOSED W-9 FORM WITH YOUR EXECUTED DIVISION ORDER. Please provide your mailing address in the space provided. RETURN ONE COPY OF THE DIVISION ORDER/TRANSFER ORDER IN THE SELF- ADDRESSED ENVELOPE PROVIDED. If for any reason a suspense has been set out for your interest the reason for the suspense will be set out with your Division Order. Please respond to the requirements as indicated. DO NOT DETACH THE EXHIBIT FROM THE DIVISION ORDER IF ONE IS INCLUDED. If you should have any questions about this instrument please contact Mary Kay Thompson at (406) 496-5267. 16 East Granite Street• Butte,Montana 59701-9326 Telephone 406-782-4233 / Facsimile:406-496-5295(Land,Lease&Accounting)•406-496-5300(Engineering) %/j 5 6�a 9 Liao/ North American Resources Company a Montana Power company The Internal Revenue Service has issued guidelines requiring us to maintain certain information on each of our vendors or accounts receiving payment from us. Please provide the information requested below. To avoid possible delays in future payments or the possible deduction of backup withholding, this letter should be completed and returned to us, in the enclosed self-addressed envelope, within fifteen (15) days. Thank you in advance for your cooperation. RETURN LETTER SUBSTITUTE FORM W-9 Please provide your Tax ID Number: EMPLOYER IDENTIFICATION NUMBER SOCIAL SECURITY NUMBER STATE OR NON-PROFIT EXEMPT ORGANIZATION YES NO Are you a Corporation? YES or NO (Circle One) Have you been notified by the IRS that you are subject to backup withholding? YES or NO (Circle One) Certification under penalties of perjury, I certify that: The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me) . Signature Date Print or Type Name Title 16 East Granite Street•Butte,Montana 59701-9326 Telephone 406-782-4233 Facsimile:406-496-5295(Land,Lease&Accounting)• 406-496-5300(Engineering) /_ Hello