Loading...
HomeMy WebLinkAbout951469.tiffite yy3J%V QIVISION ORDE (COMBINED OIL AND GAS) TO: R.P. KAUFFMAN COMPANY, INC. ("KPK") 1675 Broadway, Suite 1970 Denver, Colorado 80202 ATTN: Division Order Dept. Division Order No. %j k" - �Sgj Date The undersigned, and each of us, certify and guarantee that we are the legal owners of and hereby warrant the title to our respective interests in the proceeds derived from the sale of Oil and Gas (as more individually defined herein) produced and saved from the SPINDLE 4 NORTH FACILITY located in the County of Weld, State of Colorado more particularly described as follows: FIRESTONE UNIT DM1 NW/4NW/4-30-T2N-R67W CREDIT NET REVENUE INTEREST WORKING INTEREST W D COUNTY BOARD OF LAND SSIONERS WILLIAM B. GAUL III AND AND RHONDA L. GAUL NICK HATTELL AND LUCILLE HATTELL DONNA LOPEZ GEORGE DEPAULO JOSEPHINE LEPORE SAM DIPAOLO ADAM LEPORE JOSEPHINE PROSTAR HANNES BASZLER JOE DIPAOLO GREGORY G. DIPAOLO ANNA M. DIPAOLO JOHN DIPAOLO WILLIAM H. TRIPPENSEE MARGARET E. BLISS HERMILO A. CALDERON SILVIA L. MONTEZ LILLIE MATTEL MARY L. MARTINEZ MICHAEL D. HATTEL HELEN D. CASTILIAN TRUST FRANK J. FIORI . 00792960 RI . 00016810 RI . 00135100 RI .00030220 RI .00043550 RI .00069330 RI .00043550 RI .00138660 RI .00135100 RI .00010890 RI .00043560 RI .00010880 RI .00010890 RI .00010890 RI .00067550 RI . 04075170 RI . 00087100 RI .00103100 RI . 00035550 RI .00103100 RI .00174210 RI .04075160 RI .00174210 RI - 1 - LEG /z 2443794 B-1498 P-2" 06/23/95 02:57P PG 1 OF 4 weld Loon[_. C:> VIerk Recorael REC DOC 0.00 9514e9 CREDIT NET REVENUE INTEREST WORKING INTEREST HARVEY YOUNG .00337040 WI H.L. WILLETT .09992110 WI RICHARD N. DODGE .00707010 WI UNION PACIFIC RESOURCES .15529540 WI PARMER A. GILLESPIE, JR. .00337040 RI K.P. KAUFFMAN COMPANY., INC. .62709820 WI .0033704 WI .1141955 WI . 0080799 WI . 1552954 WI .0033704 WI .7156884 WI Effective 8:00 a.m. March 1, 1995, and until further notice, you are hereby authorized to take or retain possession of all Oil and Gas from said property(ies) on and after the effective day and to give credit as set forth above for all 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 November 8, 1991, between KPK as "Seller" and Associated Natural Gas Inc. as "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 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 all products which KPK may receive and/or recover by processing from Gas produced from wells on said property(ies). SECOND: The word "Oil" as used herein shall include, but is not limited to, condensate and all marketable liquid hydrocarbons produced and saved hereunder, but excluding that recovered from processing of Gas. All Oil received and purchased hereunder shall be merchantable Oil and shall become the property of KPK as noon as the same is received into its custody or that of any carrier it designates. KPK shall not be expected to receive Oil in definite quantities, nor for fixed periods, nor to provide storage. THIRD: The Oil received and purchased hereunder shall be delivered f.o.b. to any carrier KPK designates which gathers and receives said Oil and KPK agrees to pay for such Oil to the undersigned according to the division of interests herein specified at the price agreed upon between KPK and the lease operator. FOURTH: Quantities of Oil purchased hereunder shall be determined by the method of measurement and computation employed by KPK or KPK'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 tank gauges, and the use of meters or any other reasonably accurate method of measurement and computation. KPK shall correct the volume and gravity to a 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. KPK may refuse to receive any Oil it considers to be not merchantable. FIFTH: Payments are to be made monthly by checks of KPK for Oil and Gas to be delivered or mailed to the parties thereto entitled at the addresses above given, provided that if the amount due to any owner is less than Twenty-five and 00/100 Dollars ($25.00) per month, KPK at its option, may defer the making of such payment until such time as the aggregate amount due exceeds said sum. The undersigned authorize KPK to withhold from the tax ceedseoeds f any and thereon, all ll as and the Oil referred to herein, the amount of any or production thereof, including but not limited to any severance, production occupation tax, by any governmental authority, local, 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 KPK 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 KPK and authorizes same to withhold payment without obligation to pay interest on the amount so withheld, until satisfactory indemnity shall be furnished to KPK. Each undersigned party as to the interest of such party hereunder respectively agrees, in the event suit is filed in any court affecting title to said Oil and/or Gas, either before or after severance, 244;-0: F' -11:Y „ - O ' : j <�; 0:5--P PC 2 p?• 4 951469 to indemnify and save harmless RPR against any and all liability for loss, cost, damage and expense which EPA may suffer or incur on account of receiving and paying said party the proceeds derived from the sale of said Oil and/or Gas. Where ROC, 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 EPA harmless of and from all liability for any tax, together with all interest and penalties incident thereto, imposed or d against or paid by them on account of the sum 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 affecting the interest of the undersigned, written notice thereof shall be given EPIC at the above address by the undersigned, together with a certified copy of the complaint or petition filed. If APR is made a party to such proceedings, the undersigned agrees to indemnify same against any judgment rendered therein and to reimburse EPA for any costs, attorney's fees or other expenses incurred in connection therewith. SEVENTH: The undersigned severally agree to notify RPR of any change of ownership and no transfer of interest shall be binding upon EPIC until transfer order and the recorded instrument evidencing such transfer, or a certified copy thereof, shall be furnished to RPR. 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 RPR. APR is 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 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 RPK notice in writing by registered letter addressed to RPR at the above address, directed to the 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, became effective and to furnish transfer order accordingly and that in the event such notice -shall not be received, APR shall be held harmless in the event of, and are hereby released from any and all damage or loss which -might arise out of overpayment. Should adjustments be necessary, RPR shall have rights (but no duty) to set off any and all individual or joint liabilities the undersigned has with the 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, RPK may hold without interest the portion of the proceeds subject to refund unless indemnity satisfactory to RPR has been furnished, or until RPR's refund obligation has•been finally determined. If any portion of the proceeds derived from the sale of Gas is paid over by EPA 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, RPK is authorized to recover the amount of the refund applicable to the interest of each of the undersigned from future payments (Oil and Gas) or at RPR's election, it may invoice the undersigned therefor, plus the legal rate of interest APR is or may be required to pay in connection with undersigned's portion of the refund. NINTH: If the undersigned is a working interest owner and/or operator, he or she guarantees and warrants that all Gas and 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. 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 owners have so signed. No termination of this Division Order shall be effective without giving thirty (30) days 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 lease as being in full force and effect as of the date hereof. In consideration of the purchase of Oil and Gas hereunder, consent is given KIM and any pipeline company which same may cause to connect with the wells and tanks on said land, to disconnect and remove such pipelines, in case of termination by either EPA or the undersigned of any purchases under this Division Order. In the event of conflict between the provisions 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. - 3 - 2443-t4 ,:_r,- tir,/23 iq-, (:2:5-Y PC3 _ 0i- 951469 The undersigned expressly waive any claim against EPIC for any and all amounts which may be due us from others for production prior to the effective date hereof. SIGNATURE QF itiWITNE SE TTTS7: k BY: c _ OWNERS SIGN BELOW TAX PAYER ID M OR (ENTER MAILING ADDRESS) SOCIAL SECURITY # DrrK. HALL, lal WELD COUNTY BOARD q)F COMMISSIONERS I ADDRESS (6/21/95) -i PO BOX 758 84-6000813 GREELEY, CO 80632 2443794 B-1498 P-287 06/23/95 02:57P PG 4 OF 4 951469 Hello